Financial self-assurance among Brits has expanded, notable even in the context of economic instability
In a surprising turn of events, recent data indicates a notable increase in financial confidence among UK consumers, despite ongoing economic uncertainty in 2025. This shift is evident in various aspects of personal finance, as revealed in a study commissioned by savings and investing app, Moneybox.
Key findings from the study show that the percentage of adults taking time to learn about personal finance topics has risen from 62% to 67%. Moreover, more than 41% of the adults surveyed now feel 'very confident' in managing their personal finances, up from 32% last year.
Belfast has the most financially confident people, with 74% feeling confident, followed closely by London and Manchester with 68% financial confidence each. The research also indicates a growing number of people are taking a more focused approach to their finances, as the percentage of active investors has climbed from 30% to 40%.
The average credit card debt has dropped from £2,096 to £1,995, and the number of adults with savings has risen from 75% to 83%. Additionally, the number of people who don't feel confident investing has fallen to 56%, down six per cent from last year.
The number of adults with no savings or investments has nearly halved, from 21% to 12%. This is a significant improvement, suggesting that more UK residents are taking steps to secure their financial futures.
Brian Byrnes, head of personal finance at Moneybox, stated that people are making real efforts to engage and educate themselves financially. However, he also emphasised that the financial services industry can still do more to support people on their journey to financial goals.
The improvements in consumer confidence are supported by broader economic data. Disposable personal income rose to GBP 421.7 billion in December 2024, and personal savings increased to 12%, indicating healthier household finances amid uncertainty. Consumer spending also showed mild growth with retail sales up 0.7% in March 2025.
However, the UK economy is growing more slowly after a strong first quarter, and the labour market is weakening with falling job vacancies and payroll employment in 2025. Business sentiment remains weak, with the Institute of Directors reporting a fall in business leader optimism in June 2025 due to tax rises and global uncertainties.
Despite these challenges, the study highlights a resilient consumer base navigating economic challenges with growing confidence. The mixed picture suggests that while consumers are cautiously optimistic and more financially confident, the broader economic environment remains fragile and uneven.
In conclusion, the study reveals a growing trend of UK consumers taking a more proactive approach to their finances, with increased confidence in managing their personal finances, saving, and planning for retirement. However, businesses continue to face challenges, underscoring the importance of continued support and monitoring as the year progresses.
[1] GfK Consumer Confidence Index, May 2025 [2] Institute of Directors, June 2025 [3] Lloyds Bank business barometer, May 2025 [4] Statista Consumer Confidence Index, May 2025
Individuals are increasingly taking interest in personal finance, as demonstrated by the rise in the percentage of adults learning about finance topics, from 62% to 67%. Furthermore, the number of adults who feel 'very confident' in managing their personal finances has surged to over 41%, a significant increase from last year's 32%. This trend is also reflected in the growing number of active investors, as the percentage of investors has escalated from 30% to 40%.
