- Analysis of savers’ goals reveals that putting money aside for a holiday is the most common savings priority
- Building financial security and saving for retirement were also popular amongst savers
- Saving for a home was a high priority for 18-25 and 25-34 year olds
Savers have revealed their savings priorities, with holidays, buying a home, building financial security and putting money aside for retirement topping the list, Paragon Bank research reveals.
Paragon’s survey of over 2,000 active savers showed that a third of savers (33%) prioritised putting money aside for holidays, with 32% saving to build financial security. A quarter stated they are saving for retirement.
Other savings priorities included supplementing pension income (24%), buying a home or building a deposit (17%), home improvements (13%), general living costs (12%) and treats, such as spa days (12%).
| Savings priority |
% |
| Holidays and travel |
33% |
| Building financial security |
32% |
| Retirement |
26% |
| Supplement pension |
24% |
| House deposit |
17% |
| Minor home improvements |
13% |
| Day-to-day living |
12% |
| Treats |
12% |
| Hobbies and interests |
11% |
| Helping family |
10% |
The research revealed a swing in the generational priorities of savers, however. Buying a home was the number one savings goal for those in the 18-24 and 25-34 age brackets, whilst retirement was the key target for those aged between 45-54 and 55-64.
Meanwhile, savers in the 65-74 and 75-84 age groups were mainly focused on using savings to supplement pension income.
Common themes ran through most age groups, however. In addition to travel, which was a top three priority for all ages apart from those aged between 35-44, building financial security also appeared in the three key reasons for saving for all age groups, coming out as the top priority for the 35-44 age bracket.
Derek Sprawling, Paragon Bank Managing Director of Savings, said: “It's understandable that many savers will be putting money aside based on what stage of life they’re in. Regardless of your saving goals, maximising your return on your cash is important. Too many people are still leaving their money languishing in poor-paying accounts or, worse, in their current account earning next to no interest. With many attractive rates now available, savers need to be more discerning with their cash and seek out better returns.”
For further information contact:
Michael Clarke
Head of Media Relations
Paragon Bank
07740090746
Notes to editors:
Paragon surveyed 2,268 savers in April 2024.
Paragon Bank PLC a subsidiary of the Paragon Banking Group PLC which is a FTSE 250 company based in Solihull in the West Midlands. Established in 1985, Paragon Banking Group PLC has over £14 billion of assets under management, helping more than 340,000 customers to achieve their ambitions.
Paragon Bank PLC is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Registered in England number 05390593. Registered office 51 Homer Road, Solihull, West Midlands B91 3QJ. Paragon Bank PLC is registered on the Financial Services Register under the firm reference number 604551.