Three in four households saving

● But many fear for their financial future as reduced incomes and long-term insecurity despite ‘green shoots’ of confidence

Three-quarters of British households have saved money during the lockdown, new figures have revealed.

UK households have saved an average of £300 on dayto-day expenses as they stop going to restaurants and the cinema, and slash fuel bills as cars sit largely unused up and down the country.

Not paying gym memberships and TV sports packages have also saved a fifth of households money.

However, many households are still struggling, as 19 per cent reported to comparethemarket.com they worry about making ends meet in this week’s figures.

Although high, the figure was a drop from 20 per cent last week.

The proportion of households who meanwhile struggled to manage their finances over the past week dropped two percentage points to 16 per cent – the lowest since the survey began in April.

“We are starting to see green shoots of financial confidence from UK households, but the bad news still outweighs the good news,” said Anna Mcentee, product director at comparethemarket.com.

“The savings households have managed to make during lockdown may offer some temporary respite. However, when lockdown lifts the cost of living will go back to previous levels, rainy day funds have been raided and borrowing will need to be repaid.

“People are still very worried about the long-term hit their finances will take and this anxiety is especially pronounced among those with children at home and extra people to care

“The savings households have managed to make during lockdown may offer some temporary respite”

ANNA MCENTEE