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Saving for the future

As we enter what many believe could be one of the sharpest downturns in the UK economy in modern times many people are literally living hand to mouth with very little spare money to save. However it is vital that where possible consumers try and put away as much as possible for those "rainy day" situations where even five pounds or £10 a week could make a serious difference.

Savings plans, Christmas funds and long-term insurance policies all have a part to play in the medium to longer term recovery in the UK which has taken a serious battering over the last 12 months. Those who are literally living hand to mouth at the moment will find the situation even worse next year when many experts forecast a tightening of money in the UK economy and further financial heartache for many consumers.

We are already seeing many of the major UK retail companies announcing downbeat figures and downbeat statements for the short-term and many seemingly banking too heavily upon potential interest-rate reductions kick starting what is literally an economy on its knees. What will happen over the next few months is very uncertain but the future for the UK economy does not look very good.

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