Pandemic is seeing lower income households turn to borrowing, while higher income households increase their savings

Industry News | 22/06/20

Lower-income households are twice as likely as high-income households to have increased their use of consumer credit during the crisis, and are 50 per cent more likely to be saving less than usual, leaving them particularly exposed to the ongoing economic crisis, according to a major new Resolution Foundation report.

The report shows that those most at risk in the crisis have the weakest private savings safety net to fall back on, while the crisis itself is exposing Britain’s wealth gaps, and the ability of low-wealth households to weather the economic storm.

Source: Resolution Foundation