Cost of living fears ‘keep savers awake’
Three in five people in the North West are kept awake at night by the high cost of living – more than any other region in the UK, according to the Investor Pulse survey, conducted by investment management firm, BlackRock.
Only half of those in the North West feel in control of their financial future, and confident about making the right savings and investment decisions.
Despite this, only 56 per cent have started saving for retirement and fewer (45 per cent) understand how much they need to save for retirement.
Half of the North West people are concerned they will run out of savings during retirement, but don’t feel they can do much about it.
Among those not saving for retirement, three in five claim not to have enough money to do so.
BlackRock’s Global ‘Investor Pulse’ Survey of 27,500 people globally including 2,000 people in the UK is one of the most comprehensive surveys into savings, investments and retirement ever undertaken. The survey reveals, in line with most of the UK, that those in the North West are risk averse, with only a quarter comfortable investing in the stock market and 64 per cent not prepared to take any risks with their money.
As a consequence, only one in five (18 per cent) in the North West would consider themselves an active investor.
Alex Hoctor-Duncan, Savings and Investments Expert at BlackRock, says: “While it is reassuring to see that over half of people in the North West feel confident about their financial future, it is worrying that concerns around high costs of living is impacting choices regarding their long-term finances.
“With three in five (62 per cent) concerned that they will not be able to live comfortably in retirement, we need to help people to start saving at an earlier stage in order to help alleviate their retirement worries.
“The North West needs to become more engaged with the finances, regularly checking them and starting to save.”