Whether we like it or not, we’ve all been staying in more over recent months. Being unable to work has meant financial hardship for many people. It could take some time for them to find their feet again, although hopefully that will be sooner rather than later.
By contrast, many of those who have had the good fortune to retain their jobs, and have been working from home, will have had a boost. Expensive foreign holidays have been a casualty of the pandemic, while commuting costs are slashed, there are no canteen lunches or pre-packed sandwiches, and far fewer takeaway coffees are being consumed. We may miss these perks, but our bank balances probably don’t.
The Bank of England recently produced data showing that households had chalked up savings of around £100bn more than normal as a result of the lockdown.
Some of the extra money has been used to improve conditions at home, whether it is a firepit for the garden, gym equipment for the daily workouts or high-end food deliveries. That still leaves money to spare for those fortunate enough to be in this position.
In addition to pent-up demand for travel and socialising, the pots of extra cash have created an opportunity to sort out financial priorities. That could be paying off credit card debts, bank loans or mortgages. It might also offer the chance to build a nest egg or a pension fund.
If you have excess cash and you’re wondering how to make best use of this windfall, we at Hartey Wealth Management can offer help with financial planning in Shropshire and Chester.