Total savings deposits grew by 3% in 2018. This represented a modest increase considering the two increases in the Bank of England (BOE) base rate since November 2017. Nevertheless, with a background of economic uncertainty, the prospect of further rate rises and high street brands committed to helping customers save for the future, Mintel expects that growth rate for deposits will increase in 2019 and 2020.

Savers prefer to retain easy access to their savings. Even among those who have built up significant savings pots, ownership of fixed-rate or limited access accounts is low.

This Report examines consumer ownership of savings products before looking into the important factors that consumers take into account when choosing a savings provider. The sources of information used when researching savings providers and saving plans and expectations are considered. Finally, awareness of and interest in savings superstores is examined.

The focus of this Report is retail deposit and savings accounts for the adult market. Cash ISAs and current accounts are the subjects of separate Mintel Reports, although these products are covered in this Report to some extent, due to their close association. Children’s savings accounts are not covered in this Report, and are the subject of a separate Report.

For more information please see Mintel’s Reports ISAs – UK, November 2018, Current Accounts – UK, July 2018 and Children’s Attitudes Towards Saving – UK, July 2018

There are various types of deposit and savings accounts available to UK adults. The main ones are as follows:

• easy access (or instant access) savings account – the most widely available and commonly held type of account, which does not impose any restrictions on making withdrawals and provides either a variable interest rate or a fixed/guaranteed interest rate for an introductory period

• notice account– this is where the account holder must give a certain number of days’ notice before making a withdrawal so as not to lose any interest

• fixed-term/fixed-rate savings account or bond – offers a fixed rate for a fixed term, usually between one and five years

• regular savings account – where the account holder is required to make regular monthly payments (usually ranging from £25 to £250 or £500 a month) in return for a higher interest rate

• cash ISA (individual savings account) – similar to ordinary savings accounts, in that there are different varieties (eg instant access, fixed term), but all interest earned is paid tax free. In 2018/19, individuals aged 16+ can invest or save up to £20,000 in an ISA

• National Savings & Investments (NS&I) – provides a range of tax-free cash savings products, backed by HM Treasury, the most popular of which are Premium Bonds.

Also covered in Mintel’s consumer survey, but not included in the market size data (retail balances):

• offshore savings account– this is where the account is set up and run by a bank, or a bank’s subsidiary, based outside of the UK, usually in the Channel Islands, the Isle of Man or Ireland. Offshore accounts can offer certain tax benefits and multi-currency options, but are not covered by the UK’s Financial Services Compensation Scheme.