UK consumers 'need to rediscover thrifty habits'

The government should think about raising financial education targets in a bid to encourage people to save rather than spend their money, it has been suggested, which might help them avoid getting into credit card debt.

According to AEGON and the Association of Independent Financial Advisers (AIFA), this is one of a number of measures that could be taken to make people more financially prudent.

AIFA's director general Chris Cummings believes that thrift is something that UK consumers must rediscover.

He stated: "Given the current economic challenges, we believe it is vital the new government acts decisively to restore a savings culture in the UK."

Among their proposals, AIFA and AEGON also feel that impartial financial advice should be made more widely available to the public so that they can make informed decisions.

Following the formation of the country's new coalition government last month, Mr Cummings also reiterated his desire to see a more financially prudent society.

Posted by Tom Burroughs.