Brits raid savings pots dry

Brits are increasingly raiding their saving pots, according to research from the Birmingham Midshires. Brits have shed the saving pounds with two in five British adults (38%) confessing to raiding their savings during the three months to July 2010. The average raiding amount has increased to £1,870 from £1,499. However, this is far short of the all time raiding high in July 2009 of £2,191.

In the three months to July 2010, Britons saved an average of £764, compared with £1,031 during the last quarter.  This is over a quarter (26%) less that the previous quarter.

Commenting on the latest findings, John Bianco, Head of Birmingham Midshires Savings Products said: "Despite raiding increasing in the last quarter, this falls far short of the all time raiding high this time last year of over £2,000. In addition, those who are raiding their savings are doing so for essential reasons such as emergency repairs and increased utility bills rather than spending on luxury items. "