Young consumers 'not saving for future'

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Young consumers 'not saving for future'

Fri 18th May 2007

Alliance & Leicester believes that younger consumers are not saving for the future in their numbers.

According to the group, despite promoting Alliance & Leicester savings accounts to younger people, the majority of people saving are over the age of 45.

A spokesperson for the group, Ross Dalzell, said that many banks are struggling to get people to save, with the majority of such age groups more likely to take out a loan than to sign up to savings product.

"No matter what products we launch, it's the 45 plus market who are savers," he said.

He added: "Probably 80 per cent plus of our savings [products] are held by older…savvy, wealthy, customers."

Mr Dalzell said that even the Alliance & Leicester premier regular saver product, described as a perfect product for the young saver, was not being taken up often.

He said there was also a "degree of ignorance" among young people over Isa products, although he acknowledged that they were "getting better".

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