Sep 17 2008
Over a fifth of UK consumers are planning to stop making regular contributions to Child Trust Funds (CTFs), it has been revealed.
According to figures produced by American Express Insurance Services, 21 per cent of people surveyed said they would make such cut backs on saving for their children in order to help make ends meet.
Meanwhile, 44 per cent reported that they would stop saving altogether if their budget becomes too tight.
The study, which involved 2,000 consumers, found that a total of 48 per cent of respondents were planning to reduce their spending in some way as the cost of living exceeds average salary increases.
Earlier this month, Matthew Carter, the director of savings at Nationwide, stated that the government should do more to highlight the importance of saving regularly through initiatives such as CTFs.
According to the expert, more teamwork between the government and the industry needs to take place in order to get UK consumers saving on a regular basis.
