Yolt Comments on Post Lockdown Optimism as The Next Set of Restrictions Ease, with 38% Extremely Worried about Their Financial Future

  • e-Payments
  • 12.04.2021 11:45 am

As the next set of lockdown restrictions lift this week, smart money app Yolt’s user data* reveals our financial habits paint a mixed picture when it comes to post pandemic optimism:

  • Two in five (38%) are extremely worried about their financial future**
  • Only a third (35%) who managed to save during lockdown plan to spend their savings once restrictions lift**
  • UK consumers’ top savings goals in Q1 2021 were, an emergency fund (44%) and saving for a holiday abroad (26%)**
  • The cost of living is creeping up, with essential bills such as groceries and mortgage/rent increasing by an average of 3.5% per month
  • When looking at savings behaviours, on average there were 15.4% more withdrawals than deposits into savings per month

Pauline van Brakel, Chief Product Officer at Yolt, comments: It’s a tale of two halves when it comes to post- lockdown optimism, with the priority savings goal an emergency fund, closely followed by saving for a holiday, suggesting people are preparing for the worst, whilst also holding on to hope for the future. Similarly, there is a divide when looking at how consumers feel about their financial future and what they plan to do with their savings once restrictions fully lift, with around two in five saying they remain extremely worried, and a third planning to spend what they’ve accrued during lockdown. We can already see savings withdrawals being higher than deposits, indicating people are already changing their behaviour."

It's likely to be a bumpy road to recovery. On top of this, for many the true financial pinch may not have been fully felt yet, with some incomes having been propped up by the Government’s various initiatives, such as the furlough scheme. Now, perhaps more than ever, is a time for people to be engaging with their finances, using digital tools and services to help them spend smart, save where possible and identify areas where they may be able to cut back.”

Related News