UK’s relationship with investing ‘starting to change’ – Vanguard

Seven in 10 (68 per cent) UK savers who do not currently invest are planning to start investing in the future, new Vanguard research has found.

The findings indicated that this shift is particularly prominent among younger savers with 91% of those born between 1997 and 2012, planning to get started.

According to Vanguard’s calculations, people in the UK hold £200bn in excess cash savings – defined as cash beyond three to six months of emergency savings – that could be invested. Vanguard suggested that these savings could provide substantial long-term benefits to both UK savers and the broader economy.

Vanguard’s latest study, based on a survey of 2,000 UK adults, indicated that the main barrier to getting started with investing was “confidence”. The findings showed that 58 per cent of UK savers said they feel under-informed about investing and unsure how to take the first step.

However, the research also showed that once people do make the first step, they tended to say investing isn’t as hard as they thought and their confidence grows. Vanguard reported that 79 per cent of investors increased their confidence once they began investing, while 71 per cent also said that investing wasn’t as hard as they thought it was.

“The UK’s relationship with investing is starting to change,” head of Vanguard Europe, Jon Cleborne, commented.

“Many savers, especially younger people, want to invest, but too often confidence holds them back. This feels like a moment where, with the right support, investing could once again become a normal part of everyday life.”

Cleborne added: “The most important step is simply getting started. People shouldn’t have to become experts on investing before they begin, and they shouldn’t feel they have to do it alone. With the right tools and support, investing can be simple, accessible, and far less intimidating than many people expect.”

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