With the festive season well and truly over, many Brits will be turning their attention towards financial concerns and saving goals for the upcoming year – and we want to hear your thoughts
As we make our way into the new year, many Brits will be eyeing up ways to boost their savings and tackle those financial challenges – and we want to hear about your money hopes and concerns for 2025.
According to a recent survey, around 45 percent of UK adults are anticipating a bad year for their finances, with the cost-of-living being cited as a key concern. The research, conducted by Go.Compare, revealed that 30 percent were worried about not having enough savings, while one in four 55 to 64-year-olds are concerned about saving for their retirement.
It comes after the Ofgem price cap increased by 1.2 per cent from January 1, meaning the average dual fuel household paying by direct debit has soared from £1,717 a year to £1,738. The price cap is updated every three months, and Cornwall Insight currently predicts it will rise to £1,783 a year – up almost three per cent.
Meanwhile, inflation rose to 2.6 per cent in the 12 months to November 2024, marking the highest rate seen in eight months and higher than the Bank of England’s target inflation rate of two per cent, reports the Big Issue. Inflation increased during 2022 due to the demand of oil and gas after the Covid pandemic, and energy prices soared again after Russia’s invasion of Ukraine, writes the BBC.
The Institute of Grocery Distribution has warned families that food bills could jump by nearly five per cent this year, meaning grocery prices have surged by 40 percent since 2020. Predicting an average 2.4% to 4.9% rise this year, it says food inflation is one of the most significant challenges for UK households.
James Walton, chief economist at the IGD, said: “We do not see food prices going down in the foreseeable future. The rising cost of living, combined with increased employment and regulatory costs, will keep inflation elevated. Consumers will undoubtedly look for ways to save money, but the impact of these cost pressures will be felt across the economy.”
Families are also grappling with surging childcare costs, as Nationwide’s Spending Report found that the average household spends more than £600 per month on the expense, with 60 percent saying childcase costs have put them off having any further children.
And Brits are shunning holidays in a bid to save money, with 40 percent opting to stay at home last year due to feeling the effects of the cost of living, reports InteriorNet. However, around six in 10 UK adults reportedly saving money either every or most months, suggesting Brits are taking positive steps towards financial stability.
Whether you’re setting savings resolutions or cancelling unnecessary subscriptions, we want to hear about your money hopes and concerns for 2025. Share your thoughts by taking part in our poll above or click HERE .
