UK spenders resolve to save more money

Over indulgences and over spending at Christmas time may be prompting many consumers to rethink their spending habits in the new year, says Nationwide.

The ongoing credit crunch experienced by the UK in recent months may be serving as a reminder to people that they should be more careful with their finances, as 25 per cent of people hope to save more money next year, the building society has said.

Nearly a quarter of all men and women are putting their finances at the top of their 2008 agenda, while young people are feeling the effects the most according to Nationwide's research, with more 18 to 24 year olds considering changing their saving habits than any other age group.

Although planning ahead for next year's finances may not be the most exciting prospect, Stuart Bernau, a Nationwide executive, has advised people to make simple changes and stick to them.

His money saving tips include: "Simple changes, such as ensuring you utilise your annual tax-free allowance or by making monthly contributions to a regular saving account can help you make the most of your savings."

Nationwide's research was compiled by Marketing Sciences' PanelWizard this December.

The building society recently announced that most of its new savings and banking rates will be reduced by 0.25 per cent.