This demonstrates a precarious approach to financial planning and highlights the need to implement a financial contingency plan to cover the basic monthly outgoings says Paymentshield who commissioned the survey.
Neil Galjaard, insurance director at Paymentshield, said: “The survey highlights a worrying trend of UK consumers disregarding their financial future.
“In today’s climate, this lack of forward planning could land many people in financial hot water if the worst was to happen.
“Our survey also highlighted only 4% of Brits have income insurance, which combined with the lack of savings, suggests many have no safety net in place at all and are simply relying on job seeker’s allowance to support them if their savings ran out.
“Consumers need to protect themselves, as burying their heads in the sand won’t help. With savings at a low, Brits need to consider alternative measures, such as income protection, to ensure they can cover their monthly outgoings if their income stopped out of the blue due to sickness or redundancies.”
