Savings Pots Grow

Research suggests families are enjoying rising incomes as they begin to save more.

Scottish families appear to be on a firmer financial footing than six months ago, Aviva's latest Family Finances Report suggests today. The report shows an increase in incomes, savings pots and property values, while debts are starting to fall.

It reveals:

Typical Scottish family incomes are up from £2,021 in December 2013 to £2,181 in July 2014, a rise of 8%.

Scottish family savings pots have increased substantially from £2,561 in December 2013 to £3,383, an increase of 32%.
House prices have soared in value over the same period, with the average family home valued at £189,229, up from £168,260.

Debts have dropped too during this period with typical credit card debt falling from £5,049 to £1,203.

Typical amounts owed on loans and payday loans have also fallen from £1,941 to £844 and from £769 to £162 respectively.

But fears around basic living costs (60%), unexpected expenses (54%) and potential increases to mortgage rates (19%) are causing worries for some families.
 
Louise Colley, protection director for Aviva says: 

"It's great that Scottish families are beginning to see some good news in relation to their financial fortunes. There’s been an uplift in incomes, which has enabled people to put away more in savings and focus on paying down their debts.
 
"It's clear that people feel they're not out of the woods just yet as they are still nervous about increases to living costs and potential mortgage rate rises. With this in mind we'd urge people to take stock of their money matters while the outlook is good, to make sure they've got some protection in place, just in case a rainy day does come along."