Three in four people ‘taking action to cope with financial pressures’

Four out of five adults (81%) are concerned about making ends meet as living costs surge and three-quarters (76%) need to take action to cope with the financial pressures, a report has found.

Over a third (35%) plan to cut back on non-essential leisure and holiday spending, according to the Scottish Widows report.

Nearly a quarter (24%) had already dipped into their savings.

Over half (57%) of those surveyed said they were concerned about their finances in retirement, while half (50%) do not feel they are preparing adequately for later life.

One in nine (11%) of those aged in their 50s reported being worried about having to access their pension savings early to support their short-term financial resilience.

Pete Glancy, head of policy at Scottish Widows, said: “We are facing a myriad of issues and there are no easy solutions.

“It’s sadly understandable that households are being forced to make some tough choices in their budgets, but it’s important they do so whilst taking a longer-term look at their finances.”

He added: “As a guide, we recommend that an individual should look to save a minimum of 12% of their salary to secure a consistent quality of life, but aiming for at least 15% is more likely to provide a comfortable retirement.”

A general survey was carried out across Britain involving more than 5,000 people in May.