The MidBritain Report - Sep 08
As the US confirms its bail out, the latest issue of The MidBriton Report has shown MidBritons becoming increasingly savvy with their own finances, with coupons, vouchers and special offers proving more and more popular.
This is the third quarterly issue of The MidBritain Report. In light of the current economic climate, it shows some interesting and relevant insights. It monitors changes in MidBritons opinions towards the economy, the government and their political outlook, from the previous report.
The full report can be viewed on the attached pdf, but please read below for a summary of the key points. If you have any questions on The MidBritain Report or any of its contents, please do not hesitate to get in touch via the Contact Us page.
As confirmation of US bail out finally comes through, MidBritons adapt to the current economic crisis
- Record drops and volatility on the UK and US markets coupled with the failure and fall of several seasoned banking giants has made for grim viewing in recent weeks. Britain’s three main political parties held their annual conferences, each setting out the plans they hope will convince the electorate that theirs is the right party to extract us from this mess.
- Meanwhile MidBritons are adapting to the worsening economic situation. According to the latest financial survey conducted by BMRB, MidBritons are making small changes to maintain their way of life and ensure that their money goes further. There has been a notable increase in the use of coupons, loyalty cards and 2 for 1 offers. 8 out of 10 said that despite the current uncertainty, they are in control of their finances and have not significantly reduced their spending due to the credit crunch.
- On average MidBritons have £30k in savings and own 10 financial products. Half are intending to purchase or switch financial products in the next 12 months. By managing their debt MidBritons are able to continually add to their savings. They keep on top of their credit card bills, with two thirds preferring to pay them off in full at the end of each month. By regularly making their mortgage repayments, the average MidBriton only has £84k left to pay on their property.
- MidBritons are better informed and more financially savvy than the average person in the UK when it comes to their financial affairs*. MidBritons like to keep up to date with latest news and information, with just under half regularly reading the financial pages of the newspapers. There has also been an increase in the use of financial sections within newspapers and price comparison websites in the last year. 9 out of 10 MidBritons say that they have an interest in finance and with 56% knowing the interest rate on their savings account, many are astute rate switchers.
- 88% of MidBritons said that a well known brand is important. This can be seen in the choice of companies MidBritons have selected in the ‘top ten’ most trusted financial companies.
MidBritain’s confidence in UK economy continues decline
- Since last quarter there has been a significant increase in pessimism surrounding the economic situation. The vast majority of MidBritons (85%) feel that the economy will get worse in the next 6 months. Prices on the high street (+8% this quarter) drive declining confidence levels. MidBritons’ confidence in the stock market and housing market has significantly worsened. This quarter shows concerns among MidBritons regarding the employment market, which indicates that the country is edging towards a recession.
- Despite negative confidence in the overall economy, concerns over fuel prices have decreased by 20% since last quarter. MidBritons continue to be resilient to the credit crunch with comfort levels remaining constant for credit card loans and mortgages/rent. MidBritons disposable income and savings remains unaffected over the last three quarters.
Cameron remains strong as confidence in Brown diminishes
- If there was an election tomorrow, 42% of MidBritons said that they would vote for the Conservative party. Gordon Brown’s trust rating took a dive in May and despite a slight improvement this quarter, 2 in 3 MidBritons continue to state that they have low levels of trust in the Prime Minister.
- William Hague is the most trusted politician with 1 in 5 MidBritons stating that they trust him a lot. David Cameron and Boris Johnson are also rated highly for trust.
- Interestingly, 41% have said that they are not loyal to one party and the proportion of undecided voters has steadily increased wave on wave.
| Attachment | Size |
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| The MidBritain Report - Issue 3_ Oct 08.pdf | 247.07 KB |
