Savings and tax efficiency high on British minds

London (shakespearefinance) November 3, 2007: Britons are showing more interest in savings and tax efficiency. According to figures from Alliance & Leicester, the total cash savings could reach more than 1 trillion by the end of 2012 provided that the current trends continue.

A study from the financial services firm reveals that nearly 40 per cent of people believe that they need to save in order to have a comfortable financial future. This view was particularly common among the consumers aged below 30.

The amount of money saved in Individual Savings Accounts (ISAs) has now reached 208bn, according to figures from HM Revenue and Customs (HMRC).

Britons are also increasingly getting aware of tax efficiency. According to latest figures from HM Revenue and Customs, the amount of money invested in ISAs has now reached 208bn.

Alliance & Leicester suggests that individual savings accounts will become more popular in the next five years. Ewan Edwards, head of savings at Alliance & Leicester said: "Five years from now Britain's savvy savers are likely to have over a third of their cash savings in tax efficient accounts such as Isas - a massive increase from five years ago, when just a seventh (14 per cent) were sheltered from the tax man in this way."