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Spend or save? Negotiating the cost of living minefield

Social traffic interest in ‘savings accounts’ climbed to some ten times the average volume of Internet traffic within the past month.

Americans continue to use their savings to spend, despite high inflation. - © AFP Jade GAO
Americans continue to use their savings to spend, despite high inflation. - © AFP Jade GAO

Searches for ‘savings account’ have climbed to highest point recorded in the past ten years for Internet searches undertaken in the U.K. This has occurred as many people face skyrocketing costs of living. This includes energy bills, fuel costs, and cost of food in supermarkets.

An analysis of Google search data has revealed that searches for ‘savings account’ rose to a high point in the United Kingdom as of September 2022. The end of September saw price hikes coming into effect across various sectors as well as almost 1,000 mortgage deals being pulled from banks as a result of the mini-Budget issued by the government.

Here the Chancellor and the Prime Minster embarked on a reckless programme of tax cuts that favoured the wealthier at the expense of poorer members of society. Given that these tax cuts were unfunded and the independent Office for Budget Responsibility had not been informed in advance – and hence no spending review was in place – led to an adverse market reaction.

According to Statista, households in have experienced a significant fall in living standards since late 2021. In July 2022, for example, 91 percent of U.K. households reported that their cost of living had increased in the previous month.

The analysis, by savings firm Investing Reviews and provided to Digital Journal, reveals that social traffic interest in ‘savings accounts’ climbed to some ten times the average volume of Internet traffic within the past month. This unprecedented increase occurred as many people began hunting for deals and to open up an account. This is based on Google search data analysis.

The data also reveals that searches for ‘mortgage help’ have risen by 513 percent since the 25th of September.

A spokesperson from Investing Reviews tells Digital Journal: “The British public have been faced with a gradual rise in the cost of living since the pandemic, which has only amplified enormously in the last couple of months, with rising energy costs and mortgage deals falling through, leading to some British residents to look for more ways to save every penny.”

The analysis continues: “Investing money and putting it into different types of accounts, can be a vital way to not only save your money and see profitable returns, however, it is strongly advised to research any savings accounts thoroughly before making any concrete decisions. It will be fascinating to see whether these searches translate into more savings accounts being opened.”

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Dr. Tim Sandle is Digital Journal's Editor-at-Large for science news. Tim specializes in science, technology, environmental, business, and health journalism. He is additionally a practising microbiologist; and an author. He is also interested in history, politics and current affairs.

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