Shrinking savings“Over the last year, the combined impact of the recession, the pandemic and the lockdown has meant that people have less money in hand.
This reflected in the reduced wallet share for savings," said Adhil Shetty, chief executive officer, Bankbazaar.The survey showed that average savings were 32% of income levels, down from last year’s average of 38%.
The steepest drop was recorded for those between the ages of 28 and 45 years. Those between the ages of 22 and 27 were relatively better off, their wallet share of savings having dropped by 5.3% to 34.7%.Shetty added that interest income has become a smaller factor for people.Shift in prioritiesThe one positive outcome of uncertainty is that it has driven home the significance.