Only one in three non-savers say they are happy, according to a new consumer survey which also found that over half of savers agreed that having a savings plan had a “positive impact” on their mental health.
The Lloyds Bank Quarterly Savings Report revealed that six in ten (58%) of 25 to 34 years olds believe that money matters were their biggest causes of stress.
The report suggests a significant correlation between saving and personal wellbeing, with regular savers feeling happier and less anxious than their non-saving counterparts.
Almost half of people (46%) say that money matters are their biggest cause of stress. Younger age groups particularly feel this way, with 58% of 25 to 34 years olds stating this.
Almost three in five (59%) 35 to 44 year olds also claim to be anxious and worried about their personal finances.
In contrast, almost three quarters (74%) of regular savers felt happy over the month prior to being asked, as opposed to just over a third (36%) of non-savers.
For those that don’t save, two-thirds (68%) say that they would feel less worried if they did save regularly and over half (53%) of savers agreed that having a savings plan has had a positive impact on their mental health. For those aged 25 to 34, this rises to 64%.
Mark Rawcliffe, head of savings, Lloyds Bank said: “Having savings provides peace of mind that there is a financial buffer for any unexpected costs arising or reassurance of the ability to pay for something if you are saving up for a longer term goal.”
Despite the fact that over four fifths (83%) feel that it is important to save for the future, just under two-thirds (61%) of people still feel that one of the reasons for not saving more is that they don’t have enough money left to be able to save.
One in four people in the UK will be affected by mental health in any given year, says the report, and of these around 4m will also struggle will their financial wellbeing.
Lloyds Banking Group is partnering with Mental Health UK to raise awareness of and help break down the stigmas associated with mental health conditions.
The group has helped to build and launch the Mental Health and Money Advice service, to assist people who are struggling with both mental health and money problems, as well as their friends and families.
The Lloyds Bank Quarterly Savings Report is based on a quarterly poll which sees Ipsos MORI survey 2,000 adults with bank accounts across the UK. The latest fieldwork took place 4 to 10 July 2018.