Monday, October 5, 2009
UK Savings Ratio Reaches 5.6%
The recent figures published by the Bank of England show that an average Brit is now saving more than an average Japanese does, which fact has been registered for the first time in 30 years and has been explained by the difficult economic situation caused by the credit crunch. Official figures show that the proportion of household income that is being saved rather than spent â€“ also known as the savings ratio â€“ has reached 5.6% since the beginning of the economic downturn. Economists believe that UK consumers choose to save their hard-earned money rather than spend them because they are concerned with falling house prices and growing rate of unemployment.