Standard Life has warned that people need to change their attitudes towards savings accounts if they want to avoid financial problems in the near future.
The long-term savings and investments company has said that a cultural shift is needed in the UK, which would see people being encouraged to focus on saving their money. If this does not materialise, British people look set to face a 'perfect financial storm.'
Currently, just 51 per cent of adults living in the UK are ensuring they put money aside for the future on a regular basis, mainly choosing ISAs to do so. Meanwhile, 28 per cent of adults are actively opting not to save a penny.
As the population grows older, putting money aside becomes even more crucial. John Lawson, head of pensions policy at Standard Life, commented, “The speed at which the population is ageing has created a dramatic need to shift from a culture of borrowing to one of saving.”
Standard Life's report also pushes for further investment into educating people on financial matters and for the savings and tax system in the UK to be made easier and more transparent to access.
