Lockdown Britain has produced a nation of savers, ONS figures showed this week, with people salting away almost 30 per cent of their disposable income on average.
But for those hoping that we might finally have got the savings habit, there’s a catch.
Those figures cover April to June, a three-month period when most shops were shut, along with pubs, restaurants, hotels and B&Bs, and going on holiday was a near-impossible task.
Deprived of the opportunity to spend, Britain put money aside instead – but is not spending the same as saving?
On this week’s podcast, Simon Lambert, Lee Boyce and Georgie Frost dive into the lockdown saving phenomenon and look at what triggered it, whether there was anything other than an inability to spend that drove saving so much higher than in previous recessions and how the paradox of thrift plays out.
They also look at where people can put the money they have set aside – with interest on savings deals negligible – and whether the sudden imposition of a savings habit bodes well for people building up better nest eggs when life gets back to normal.
Some won’t have been so lucky in lockdown, however, with job losses mounting. The team look at how this affects those already committed to moving home.
And finally, are brand new mobile phones a waste of money? Chasing the latest handset is an expensive game, but a new breed of cheap but high quality phones are changing the minds of some of those committed to holding onto old ones.
How to listen to the This is Money podcast
We publish our podcast every Friday to the player on This is Money, above, and on Apple Podcasts (iTunes) and on the podcast platforms Audioboom and Acast, both of which allow you to listen on desktop, mobile, or download an app. We also now publish to Spotify.
To download the Apple Podcasts app if you do not already have it, go to the App store. Or go to either the Apple App store or the Google Play store on Android to download the Acast, AudioBoom or Spotify app.
Press play to listen to this week’s full episode on the player above, or listen (and please subscribe and review us if you like the podcast) at Apple Podcasts, Acast, Audioboom and Spotify or visit our This is Money Podcast page.