Women with savings goals, but men plan to save more

A free tool available to Natwest customers to help them achieve their savings goals has revealed interesting new data about saving priorities based on age, gender and location.

The number of women using the tool to achieve their savings goals outstrips men by about a third. But men are aiming to save much more – around £9,200 on average compared to £5,600 for women.

The savings priorities of men and women show some moderate differences. Women are slightly more likely to save for a holiday (26%, compared to 21% of men) and for their child (13%, compared to 11% of men).

Men are more likely to save for a car (11%, compared to 7% of women), and for a house deposit (18%, compared to 16% women).

Data concerning age shows that the younger generation are becoming increasingly aware of the importance of setting savings targets. Over three-quarters of customers using the Natwest savings tool are aged between 20 and 40, with 52% in the 21-30 age category.

Perhaps unsurprisingly, the age categories also report different motivations behind their savings goals. Savers under 20 are likely to save towards their first car and the rising costs of running a vehicle. Savers aged 20-40 are more likely to be aiming towards house deposits, with better mortgage rates available for lower loan-to-value ratios.

When broken down by region, the North of England shows the lowest average target balance at £6,000. However, this is the most ambitious target when taken as a percentage of the average starting balance, which is the lowest of any region.

London-based savers are by far the most ambitious in terms of the value of their savings, with an average target balance approaching £10,000.

The Natwest/RBS Head of Savings, Phil Sheehy, commented on the tool's success as an incentive for savers.

"This tool is a great way to help people whose first instinct wouldn’t naturally be to build up their savings. Since the tool was introduced we’ve seen thousands of goals set up and hundreds of millions saved so far."

Are you setting savings goals for this year? Do they help you to save more effectively? Let us know here at Which4U!

Kate Guthrie