No Savings, No Plan? Why Now’s the Time to Take a Closer Look at Your Finances

New research from the Financial Conduct Authority (FCA) has revealed a mixed picture when it comes to how well people in the UK are managing their money.

The good news? More people than ever have a bank account, and digital exclusion has dropped significantly. Back in 2017, 14% of people weren’t able to bank online – today, that figure is just 2%. That’s real progress.

But there are also signs that many households are struggling. The FCA found that one in ten adults have no cash savings at all, and another 21% have less than £1,000 available in case of an emergency. That means nearly a third of us could face serious difficulty if an unexpected cost arises.

Low Financial Resilience: A Worrying Trend

A quarter of adults in the UK are classed as having low financial resilience. That includes people who are missing payments, can’t keep up with financial commitments, or don’t have a savings buffer to fall back on.

It’s a sobering statistic – but it’s not without hope. The FCA also found that when people do seek help, it makes a difference. Of the 1.7 million people who accessed debt advice or management services in the past year, 61% said their situation improved.

The message is clear: support works. Whether it’s speaking to a lender, using a free guidance service like MoneyHelper, or getting professional financial planning advice, taking action is the first step to getting back in control.

Saving is Good – But is It Enough?

Even for those who have managed to save, there’s another challenge. The FCA found that 61% of people with over £10,000 in investible assets were holding most of it in cash. While having a cash buffer is important, keeping everything in cash can mean missing out on the potential for long-term growth through investments.

That’s especially important when we think about retirement. A third of adults with a defined contribution pension have less than £10,000 saved, and many don’t know how much they or their employer are contributing.

If that sounds familiar, you’re not alone. But it’s never too late to put a plan in place – and you don’t have to figure it all out on your own.

What You Can Do Today

The FCA’s new strategy focuses on making it easier for people to access affordable advice and support, whether you’re worried about debt, looking to invest for the future, or planning for retirement.

Here at Chesterton House, we believe everyone deserves to have their entire financial house in order – not just now, but for the years ahead. Whether you’re starting from scratch or looking to make the most of your savings, a clear financial plan can give you the confidence to move forward.

Here are three simple steps you can take today:

1. Check in with your savings – Do you have an emergency fund that covers at least three months of expenses?
2. Review your pension – Do you know how much you’ve saved, how much you’re contributing, and what that might mean for your retirement lifestyle?
3. Consider speaking to a professional – A financial planner can help you make informed decisions, avoid costly mistakes, and build a plan that reflects your values and goals.

The FCA’s findings might feel concerning, but they also shine a light on the power of good advice and long-term thinking. If you’re ready to take control of your financial future, we’re here to help.