Young People save more in the recession

New survey reveals shift in saving trends for Britain’s 18-24s

Recent rises in unemployment are having a surprisingly positive effect on the saving habits of young people, according to the latest research by money-saving website MagicFreebiesUK.co.uk

A study of 100 Scots aged between 18 and 24 about their finances has found more than 70 per cent are making an effort to save each month.

This is despite one fifth of them being unemployed.

Around 60 per cent of them are saving the same or even more than they were last year.

And more than 40 per cent of them are saving in case of an emergency such as redundancy.

The results also show, that despite their reckless reputation, more than two-thirds of young people do not spend anything on a credit card each month.

Tom Bryant, founder of MagicFreebiesUK, said: "In the current climate, the future is just so uncertain for much of Britain's youth.

But the survey has proven that young people are taking the situation very seriously.

Almost half of the savers questioned put money aside for the future, rather than to spend on holidays or cars.

And over 50 per cent use a savings account to protect their money."