'More consumers' saving for mortgage deposits

Date:Friday 20th March 2009
Author: Max Freedman

An increasing number of consumers in the UK are putting money aside for a mortgage deposit, it has been revealed.

Figures produced by Birmingham Midshires suggest that a nearly a quarter (23 per cent) of savers aged between 25 and 34 are saving for a property, compared with 19 per cent in July 2008.

In addition, ten per cent of savers aged between 35 and 44 are now saving for a mortgage deposit, compared with eight per cent seven months ago.

Commenting on the figures, Tim Hague, director of savings at Birmingham Midshires, said: "One positive thing to come out of the current financial uncertainty may be a renewed understanding of the importance of saving money in advance of making big purchases."

He added that the need for people to prepare for their future finances has never been greater.

Recently, John Charcol warned against possible moves to introduce a cap on mortgage lending, saying such regulations would have a detrimental impact on first-time buyers.