One in five Brits 'have no savings''

One in five Brits have no savings whatsoever, with the average monthly deposit falling over the past year, new research has revealed.

According to research by Santander, monthly savings have dropped by seven per cent during the past year, with Brits depositing an average of £112 per month in 2011 - a figure which has now dropped to the current average of £105.

Furthermore, men are better savers than women, putting away an average of £128 per month, compared to their female counterparts' £83.

However, Brits are hoping to improve their spending habits, with 23 per cent of people planning to increase the amount they set aside over the next few months.

This is particularly true of younger savers, as 43 per cent of people aged 18 to 34 are determined to put away some money.

Matt Hall, head of savings at Santander, commented: "The fact that people are saving slightly less this year than last is in-line with expectations, as household budgets continue to tighten but living costs still edge upwards.

"The slight reduction in monthly deposits simply shows that people are managing their money, with a significant proportion of savers planning to increase the amount they deposit over the next few months."

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