aviva uk: the aviva family finances report, spring 2011

8/6/2019 Aviva UK: The Aviva Family Finances Report, Spring 2011

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The Aviva FamilyFinances ReportSpring - 2011


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The typical UK family

While 84% of the UK population lives as part of a family, it is

no longer safe to assume there is such a thing as a traditionalfamily unit. Aviva recognises there are various different types of

modern families (see page four for groups tracked) and looks at

their individual approaches to finances including wealth, debt

and expenditure.

The Aviva Family Finances Report 3

In addition, this seasons report looks at how UK families are working with

their employers to save for retirement and how the introduction of pensions

auto-enrolment in 2012 will be greeted by the millions of UK citizens who

make up these family units.

Overview:

Income Salary increases see monthly family income rise by 6% to 2,062 (pg 5).

Expenditure Significant annual inflation hits major family costs food (+5.09%), fuel and

light (+6.08%) and motoring (+11.34%) (pg 7).

Wealth Fewer families have no savings (28% May 2011 vs. 33% Jan 2011) as peoplestep up to the challenge (pg 9).

Housing More families own their own homes with a mortgage as lending increases, but

house prices fall (pg 10).

Debt Focus on saving sees average unsecured debt increase to 5,878 (pg 11).

Look to the future One in five families is concerned about potential mortgage rate

increases in the near future (pg 12).

Employee pensions Just 28% of full-time employed family heads in the UK has a

company pension (pg 13).

Pension contributions More than one in five (26%) would sacrifice 5% of their salary if

their employer matched their contributions (pg 14).

Auto-enrolment Encouragingly, 55% feel it would be silly not to join a company pension

if their employer also contributed. It is concerning however that one third (35%) feel they will

either opt out or dont yet know what theyll do when automatically enrolled (pg 14).


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1. Living in a committed

relationship* with no plans

to have children


relationship with plans

to have children


relationship with one child


relationship with two

or more children

5. Divorced/separated/widowed

with one or more children

6. Single parent raising one

or more children alone

* For the purpose of this report, a committed relationship is defined as either one where people are married or living together.

The UK modern family

Thirty years ago, it was relatively safe to assume that a nuclear family

consisted of two parents and one or more children. However, as society haschanged, this is no longer the case. In this report, Aviva looks to recognise

the most common types of modern family based on customer profiles and

Government data.



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Average income

The median monthly net income of a UK family (i.e. the family in the middle of the

sample) is now 2,062 (Jan 2011 1,937). This is a six percent increase on the

figures recorded in January and seems to indicate that after several years of austerity,

businesses may be looking to reward their staff with salary increases.

Indeed, there has been a marginal fall in those who earn below 750, from 9% (Jan

2011) to 8% (May 2011) and those who earn between 751 and 1,000 from 10%

(Jan 2011) to 8% (May 2011). We anticipate that with the national minimum wage

due to increase by 15 pence to 6.08 in October 2011, this group will also receive a

boost later in the year.

Income of those in committed relationships who have childrenor plan to have children

Of the family groups tracked, single parents receive the lowest monthly income (874).

This fell from 906 (Jan 2011) earlier in the year and seems to indicate that for this group where 61% receive some type of benefit Government cuts are starting to bite.

At the other end of the scale, those who are in a committed relationship and want

children, have the highest monthly income (2,338). This is a seven percent increase

since January 2011 (2,187) and seems to indicate that dual-income households

without children have benefitted most from employers generosity.

In addition, the number of families with a household income of more than 2,500 has

increased by four percentage points from 34% (Jan 2011) to 38% (May 2011).

Income encouragingincrease in levels of income


Couples with plansto have children

Couples withone child

Couples withtwo children

Single, raisingone or

more children

Married/committed relationship types

MonthlyIncome()

0

500

1000

1500

2000

2500


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Family income sources one in five rely on state benefits

As part of the report, Aviva has looked at the various types of income that typical UK families have access to. In terms of these

sources, there is a clear reliance on the primary income earners full time salary which provides 68% of families with an income

compared to the full time income of the secondary earners (36%).

Eighteen per cent say part-time employment by one or another heads of the household contributes to monthly income. This

has largely remained the same since January although the percentage of people deriving income from a part-time job has fallen

marginally (-1%) possibly as work associated with the festive season has dried up.

Outside salaried work, state benefits (23%) provide some form of income to more than a fifth of UK families. Single parent families

(61% May 2011) and those headed by divorced/widowed/separated people (42% May 2011) are most likely to claim some form

of benefits and also have the lowest median income.

However, while the number of single parents (median income 874) claiming benefits rose by seven percentage points, the

number of divorced/widowed/separated parents (median income 1,138) doing so fell by the same amount over the period.

This appears to suggest that even before the introduction of the changes outlined in the Comprehensive Spending Review

the Government is looking to cut benefits for those who are slightly better off, while at the same time direct them to the lowest-

income groups.

While some need state support to survive, others have benefitted from increased competition in the savings market which has

seen the launch of a selection of products paying competitive interest rates. The number of families who derive some income from

savings hit 7% (4% Feb 2011).

In addition, with 15% of families surveyed in the study saying they own a second property (see page 10), it is no surprise to see that

income from a rental property was also cited by some families (2%) as boosting their income.



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Over the tracked period, housing remained the largest single expenditure for UK families accounting for 22% of their monthly

outgoings. While the majority of tracked family groups spend just over a fifth of their income on housing, divorced/widowed/

separated (27%) and single parent (29%) families spend significantly more.

Food is the next largest expense (11%) for the average UK family and there has been a one percentage point increase from January

2011. This is lower than might be expected especially as annual inflation on food has risen 5.08%. However, with analysts

reporting that lower-cost supermarkets are starting to grow their share of the UK market, it appears that many families are down-

shifting their spending on food and cutting back on luxuries.

The average UK familys third largest monthly expense is fuel and light (6%) and there has been a considerable annual inflation

(+6.08%) when compared to January 2011 (+2.42%). This is even more extreme when considering that annual inflation to

November 2010 was actually negative (-1.88%).

Type of expenditure Average amount spent as

a percentage of monthly

income May 2011

Average amount spent as

a percentage of monthly

income Jan 2011

Housing (mortgage or rent) 22% 20%

Food 11% 10%

Debt repayment 10% 8%

Nursery care / out of school care 10% 9%

Fuel and Light (e.g. gas and electricity bills) 6% 6%

Motoring 6% 5%

Entertainment, recreation and holidays (Leisure Services) 5% 4%

Public transport fares and other travel costs 4% 4%

Fees for childrens activities 4% 4%

Clothing and footwear 3% 2%


Expenditure inflation isimpacting levels of expenditure

UK family finances are under pressure as we see inflationary increases on

the most basic costs housing, food, fuel and light. However, while some

people are undoubtedly struggling, most (96%) have some additional

disposable income. Therefore it is important that they seriously consider

how this can be used to secure their families futures.

Paul Goodwin, head of pensions marketing, Aviva


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While not all households have a car particularly those in inner-city areas those that do spend 6% of their income on motoring.

While the Government did announce a one pence cut in fuel duty in the recent budget, this has done little to alleviate the pressures

on UK motorists according to the RAC.

Indeed, soaring petrol prices mean families will be feeling the 11.34% rise in annual inflation on fuel costs and we are likely to see

people cutting back on unnecessary journeys or using public transport more. However, we have seen annual inflation of 4.21% on

this mode of transport, so costs have risen here too.

While the average family only spends 3% of their income on clothing and footwear, they are likely to have found this significantly

more expensive than the same time last year, due to the 12.25% annual inflation rate.

While 90% of families surveyed do not pay private school/tuition fees, for those that do, they are a significant drain on familyfinances, accounting for 12% of monthly expenditure. Far more common for all families (and only marginally less expensive) is the

monthly cost of nursery/after school care, accounting for 10% of monthly expenditure, and childrens activities (4%).

It is interesting to note that for single parents who are raising one or more children, nursery/after school care can account for up

to 25% of their income. This raises the thorny issue of whether they are financially better off working or claiming benefits, and

therefore highlights the need for affordable childcare options.

Finally, UK families are spending an average of 10% of their monthly income on debt repayment this is two percentage points up

from January 2011. This highlights the importance that indebted families place on climbing back on to a secure financial footing.

Comparison of debt by family type


Family Type

TotalDebt

0

20000

40000

60000

80000

100000

120000

Committedrelationship, noplans to have

children

Committedrelationship

with plans tohave children

Married/committedrelationship

with one child

Committedrelationshipwith two+children

Divorced/separated/widowed

raising onechild alone

Single raisingone+ children

alone

Debts on credit cards, loans & overdraft

Mortgage Debt


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Buy-to-let mortgage

Fixed-term bonds

Income Protection

Critical illness cover

Private Health Insurance

Stocks and shares investments

Private pension

Premium bonds

ISA (Cash or Shares)

Employer pension

Life Insurance

Mortgage on your primary property

Basic bank/building society savings account

3%

6%

11%

13%

13%

14%

17%

22%

34%

34%

38%

47%

80%

The mean average that families have in savings and investments (excluding pensions and property) is 16,125 (up from 15,766

Jan 2011) and they save 145 per month (122 Jan 2011). These amounts seem robust, but are skewed by the relatively few (3%)

families who claim to have more than 100,000 in savings.

In actual fact the typical family (i.e. the family in the middle of the sample) is significantly less prepared having just 1,163 (849

Jan 2011) in savings and saving 32 (22 Jan 2011) per month.

Nevertheless, these figures show a clear picture of UK families stepping up to the challenge and looking to build a financial safety

net in what is an uncertain economic and political environment. Indeed, we have seen the number of families with no savings drop

from 33% (Jan 2011) to 28% (May 2011) and those who save nothing each month fall from 40% (Jan 2001) to 37% (May 2011).

However, while more families have shown a keenness to start saving since the start of the year, they have not had chance to makesignificant progress. The percentage of people with savings of less than 500 has risen to 15% (13% Jan 2011) as people start to

build small pots but have yet to build a big cushion.

In addition, the typical family (i.e. the median) within the two more vulnerable groups single parent families (51% save nothing) and

the divorced/widowed/separated (65% save nothing) continue to save nothing each month. At the other end of the scale, those who

are in a committed relationship and want children are actively working towards this goal and save 81 per month (55 Jan 2011).

Product mix basic products dominate product holdings

The most common products that families use to save are basic building society / bank savings accounts (80%), followed by a cash/

share ISA (34%), or premium bonds (22%). However, some families generally the more affluent also have stocks and shares

investments (14%), fixed term bonds (6%), or a buy-to-let property (3%).

It is interesting to note that the number of families with an ISA has only increased marginally from January (33%) to May (34%) as it might

have been expected that the tax year end would encourage more people to take advantage of their 2011/2012 tax allowances. However, it

appears that the easy access nature of basic savings accounts is more appealing to ordinary savers than the tax breaks available.


Family wealth positiveincrease in savings habits

It is good to see that four out of five UK families have a basic bank or building society

savings account. However, while these figures are heartening, the fact that 20% dont

have a savings account is very worrying. While economic conditions are tough, it isimportant that where possible, families work to put aside something each month.



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The majority of families in the UK own their own home (average

value 205,144) with a mortgage (49%) or outright (14%). In

addition, 23% live in private rental accommodation and 12%

rely on social housing.

The value of the average family home fell by 1% from

207,548 (Jan 2011) to 205,144 (May 2011). This is 26%

above the average UK house price in April (165,609) which is

potentially because families due to their size are likely to live

in larger properties than single people. The number of families

with a mortgage rose from 47% (Jan 2011) to 49% (May 2011)

as mortgage lending climbed to an eight month high in March.

This increase in the number of new mortgages saw the mean

mortgage borrowing increase from 89,018 (Jan 2011) to

97,408 (May 2011).

It is interesting to note that the incidence of families with

a mortgage increased for all groups except for those in a

committed relationship who dont have children 46% (Jan

2011) to 41% (May 2011). However, we saw an increase in

the number of people within this group who had paid off their

mortgage 20% (Jan 2011) to 23% (May 2011) suggesting

that they are older/have fewer financial commitments and seepaying off their mortgages as a priority. This theory is backed

up by the fact that they are among the groups with the highest

amount of housing equity (140,944).

In addition to their main residential property, 15% of families

surveyed claim to own a second property worth on average

182,384 (May 2011). The mean mortgage on the property is

140,748 and the mean equity is 41,637. While this figure

seems high, it may be because some respondents families have

inherited a property or that couples now living together have

each owned a property in the past which they have held on to

possibly while the housing market is in a slump.


Housing wealth property remainspeoples biggest financial asset

For most people, residential property will be the biggest asset that they

ever own. However, as we have seen over the last few years, what goes

up may come down. Therefore, it is important that people ensure they are

using other products to ensure their familys security as well.



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While the typical UK family has concentrated on increasing their savings cushion, they have not necessarily looked at tackling their debts

(excluding mortgage debt). The average credit card/loan/overdraft debt has increased from 5,360 (Jan 2011) to 5,878 (May 2011).

Comparison of debt by family type

The main driver behind this increase appears to be the squeezed middle. Indeed, the largest increases in average debt have been

seen by those families in a committed relationship with one child (4,404 to 5,452) or two or more children (5,248 to 6,200).

Each family will have their own unique reasons behind their debt but it is safe to suggest with this group likely to find credit

more readily available than other groups, an unexpected expense such as a new car or family holiday may account for this

increase. In addition, those in a committed relationship with two or more children (17%) are also the most likely to have more than

10,000 of unsecured debt.

At the other end of the scale, those in a committed relationship who do not want children have paid down their debts (-15%

to 5,736) and we have seen a four percentage point drop in those who owe more than 10,000 to 9%. Clearly for those with

surplus income, debt repayment is a key goal.

While divorced/widowed/separated parents (debts of 4,992 May 2011) and single parents (debts of 4,696 May 2011)

continue to have worrying income to debt ratios, both of these have cut back their borrowing. In January divorced/widowed/

separated parents had debts of 5,781, and single parents had debts of 4,820.

Finally, while 67% of UK families have some form of unsecured borrowing, 33% continue to avoid using this type of credit.

Debt is for many families just another part of their financial management strategy.

However, in an uncertain economy, it is essential to look to pay debts down where

possible and avoid additional financial obligations. It is then good news that a thirdof people continue to have no unsecured debts.


Family Type

TotalDeb

t

0

20000

40000

60000

80000

100000

120000

Committedrelationship, noplans to have

children

Committedrelationship

with plans tohave children

Married/committedrelationship

with one child

Committedrelationshipwith two+children

Divorced/separated/widowed

raising onechild alone

Single raisingone+ children

alone

Debts on credit cards, loans & overdraft

Mortgage Debt


Debt continued evidenceof increasing debt levels


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13/20The Aviva Family Finances Report 13

A spotlight on WorkplacePension Schemes

The UK is facing a pensions crisis with a rapidly ageing population, a lack of

retirement provision, over-reliance on limited state funding and increased

longevity. Research by Aviva in September 2010 found the UKs annual

pensions shortfall stood at 318bn, making it the largest gap per person in

Europe (the shortfall being the difference between the income needed to live

comfortably in retirement, and the actual income people can currently expect).

To help combat this, the Government is introducing rules so all employees are automatically enrolled into

workplace pensions from October 2012.

This initiative will see the mandatory introduction of workplace pensions by all UK employers. In simple

terms, all employers will be required to contribute a minimum of 3% of each employees eligible earnings

towards the pension assuming the employee doesnt opt out. Employees will need to make a minimum

personal contribution of 4%, with a further 1% coming from tax relief, which means total contributions will

be a minimum of 8%. The employee will be automatically enrolled into the workplace pension, but will have

the right to opt out at any stage. This requirement will be phased in between October 2012 and 2016

depending on the size of the employer.

Prior to this launch, Aviva has taken a snapshot of how ordinary families currently engage with employerpension schemes and how they might choose to engage with auto-enrolment.

More than a third (37%) of all full-time employed UK family heads claim to work for a company that does not offer

a workplace pension. There are around a million employers in the UK so the introduction of auto-enrolment in 2012

will cause a significant shift. Just 28% say they have an employer pension that they are actively paying into.

The remainder of working family heads have either chosen not to pay into it (25%), are ineligible (3%) or

perhaps more worryingly, simply dont know what their employer offers (7%). Employer communication of

the benefits on offer appears to be key, with 18% of those who are not members of a scheme citing lack of

communication as the main reason behind not joining.

% of UK families enrolled in an employer pension


0%

5%

10%

15%

20%

25%

30%

35%

40%

Do not belong toemployer pension

scheme

Belong toemployer pension

scheme

Not eligible foremployer pension

scheme

Employer doesnot offer a

pension scheme

Unsure ofwhether employer

offers pensionscheme



Of these people who arent paying into a pension, the increasingly high cost of living was also highlighted as

a cause with 35% (in full-time employment) and 55% (in part-time employment) feeling that they could not

afford to give up part of their salary to put towards their retirement. Other reasons for employees to decide

not to join an employer pension scheme include worries about the rate of return (13%), not having got

around to it (12%) and employers acting as though they dont want people to join (3%).

Almost a third (28%) of people who do pay into a pension scheme appear to focus on the benefits they can

derive by taking this course of action. Indeed, 55% say as their companies also contribute to the scheme it

would be silly not to join and 44% found their companys positive stance towards enrolment ensured they

joined the scheme.

Finally, 15% said that without a company scheme they would not be saving anything for retirement and one

in eight (13%) revealed that they dont trust the Government to look after them in their old age.

While almost one in five (18%) of all full-time employed UK family heads did not believe they could contribute

to a pension and still meet their basic living costs even if their contributions were matched by their employers

the majority of UK workers begged to differ.

With regular warnings in the media and Government announcements highlighting the pitfalls of not saving

for retirement, when asked how much of their salary they would be prepared to contribute, the most popular

response from full time workers was up to 5% of their salary, if matched by employers (accounting for 26%of respondents).

For those earning the median UK salary, this would equate to them contributing 1,294 per year and - when

combined with matching employer contributions - would provide a pension pot of 113,868 over a 44-year

working life (before inflation, investment performance and salary fluctuation is factored in). Using Avivas

pension calculator, a customer might expect a fund of 252,438 - this takes into account inflation and

investment growth. This is significantly higher than the current average annuity pot of less than 30,000 and

would be a significant step towards eliminating the UK pensions crisis.


Its encouraging that the vast majority of families (74%) feel they

should be able to contribute towards a workplace pension - and

good news to see that most employees (55%) feel it would be silly

not to join a company pension if their employer also contributed. It

is concerning however that a third (35%) feel they will either opt out

or dont yet know what theyll do when automatically enrolled. For

the long-term interests of customers, all parties concerned need to

work hard to ensure that opt-out rates are as small as possible.




% of salary

contributed

Contribution by employee Total over 44 year working life (employer

and matching employer contributions

combined)

Monthly Annual Total pension

pot using Avivas

pension calculator

(at 9 May 2011)

Monthly retirement

income, including

state pension*

1% 22 259 51,716 572

2% 43 517 103,428 773

3% 65 776 155,140 939

4% 86 1,035 206,852 1,104

5% 108 1,294 258,564 1,269

6% 129 1,553 310,276 1,435

7% 151 1,812 361,988 1,600

* Using Avivas pension calculator assuming no tax-free cash is taken at retirement.

While some commentators are sceptical about auto-enrolment, the highest percentage of UK families (37%)

would be pleased to be automatically enrolled and would even feel valued by their employer as a result

(7%). Just 15% of UK families said that they would choose to opt out with the highest percentage of thesebeing single parents (22%) who were also most likely to be concerned about how their take home pay

might be affected (28%).

Indeed, while UK family members were generally positive about auto-enrolment, there is a significant piece of

work that needs to be done to inform people of the changes and put their minds at rest. With less than two

years to go, one in five (20%) have yet to form an opinion on this issue and 12% worry that the scheme may

not be the best option for them.

It is interesting to note that women who often have significantly less retirement provision are more

positive about auto-enrolment than men. More (39%) are pleased to be automatically enrolled (men 35%)

and just 14% (men 17%) will consider opting out of the scheme.




One major hurdle that families see as stopping them from contributing to a pension is

the rising cost of living squeezing their disposable income. Indeed, 4% of UK families

claim that after living expenses, there is no additional money. Divorced/separated/

widowed families with one or more children (8%) are most likely to say this followed

by married/committed families with two or more children (5%).

However, for 96% of ordinary UK families, there is sufficient cash to spend on further

expenses. Some choose to take positive financial decisions with this surplus and pay

down unsecured debts (32%), put into a savings account (23%), put it into a long-

term savings vehicle (8%) or pay down their mortgage (7%).

Nevertheless, just 10% look to put this surplus into some form of retirement savings

vehicle. In addition, those who arguably need to take the biggest proactive steps in

this arena are least likely to do so single parents with one or more children (4%).

However, Avivas latest Understanding Consumer Attitudes to Savings study (May

2011) shows that the majority of UK adults feel they will need at least half of their

regular monthly income to get by in retirement and two thirds to be comfortable.

So there is clearly work to be done to meet these expectations.

While some take proactive steps to improve their financial position, others choose

to spend surplus on treats for the family (33%), home improvements (17%) and on

themselves (11%).

How families choose to spend any remaining moneyafter day-to-day living costs

Spend it on treats for my family e.g. days out 33%

Pay off debts not including mortgage (e.g credit cards / loans) 32%

Save into a bank / building society savings account 23%

Save for a specific purpose e.g. house deposit, car, holiday 23%

Spend it on my home 17%

Save for my childrens education / university fees 12%

Put aside for future expenses e.g. new school clothes 11%

Spend it on myself 11%

Save for my retirement 10%

Save into a longer-term savings vehicle e.g. ISA / bond 8%

Pay down my mortgage 7%

Other 5%


It is sobering to note that saving for retirement ranks

ninth on the list of 12 ways to spend any spare money.

If we are to bridge the pensions gap, we have a long

way to go.Paul Goodwin, head of pensions marketing, Aviva


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Region% of people living in committed

relationships who want children

% of people living incommitted relationships

with two or more childrenSalary Debt

House

prices

East of England 10% 39% 1,981 4,742 193,026

London 28% 28% 2,544 7,776 306,863

East Midlands 14% 46% 1,960 3,897 180,441

West Midlands 16% 42% 2,073 4,250 174,148

North East 8% 42% 1,812 4,797 150,862

North West 14% 45% 1,954 6,243 172,789

Scotland 11% 41% 2,014 4,352 169,509

South East 16% 41% 2,429 5,185 255,896

South West 15% 44% 1,839 7,902 216,262

Wales 9% 47% 1,579 7,527 201,705

Yorkshire 16% 43% 1,579 6,622 162,740

UK 15% 41% 2,062 5,878 205,144

Regionaloverview


It is interesting to note that the typical UK family appears to

migrate according to its life stage. London has the highest

number of families living in committed relationships who want

children (18%), but East of England has the highest number of

people in a committed relationship with two children

(48%) followed by East Midlands (45%) and the North

East (45%). These figures appear to show that when

people have children, they look to move outside

London possibly to return to live near one or

both of the parents families.

Families in London (2,544) and the South East (2,429)

continue to bring home the highest median income each month. At the other

end of the scale, families in Wales (1,579) have the lowest median income.

These figures tally up with house prices as London families (306,863) own

the most expensive properties, well above even the South East (255,896) and

significantly higher than the average value of a family home (205,144).

In terms of savings and investments, London families have the most, with an

average of 26,024 put away. However, there has been an improvement across

nearly all regions in terms of a reduction in the percentage of families with

no savings. The greatest change between January and May was seen by

families in the East Midlands where 32% reported having no savings inJanuary but just 22% claimed they still had no savings in May. The only

region reporting an increase was the North East where 40% of families now

say they have no savings up from 37% in January.

With regards to debt, families in the South East (39%) are most likely

to be debt-free (in terms of credit cards, loans and overdraft) and

those in Wales (23%) are least likely to be debt-free. However,

families in the East Midlands have the lowest mean average debt

(3,897), compared to those in the South West who have the

highest debt (7,902).



The second edition of the Aviva Family Finances Report highlights

that UK families are feeling the effects of the uncertain economic and

political climate. However, rather than buckling under the pressure,

they are taking positive steps to protect their loved ones. Over this

period, we have seen many increase their savings, reduce their debts

and even some take their first steps onto the property ladder.

However, while these are all positive steps, many families appearto be looking at short-term goals rather than considering how they

will prepare for their retirement. Employers have the opportunity to

play a key role in helping UK families to make positive steps towards

a financially secure retirement and we urge them to ensure their

employees understand what needs to be done.


So what does this tell us?



Methodology

The Aviva Family Finances Report was designed and produced by Wriglesworth Research. As part of this 4,037 UK

consumers - aged between 18 and 55 - who live as part of one of six family groups were interviewed between

December 2010 and April 2011. This data was combined with additional information from the sources listed below

and used to form the basis of the Aviva Family Finances Report.

Additional data sources include:

Kantar Worldpanel Supermarket Market Shares

British Bankers Association March Lending Figures

Nationwide Building Society April Average House Price

Office of National Statistics Median UK Salary

Aviva Management data Average Annuity

Working Life Consumer Research on 2,400 UK consumers July 2010

Aviva UK Pensions Gap Report - September 2010

Aviva Understanding Consumer Attitudes To Savings Report - May 2011

Technical Notes

A median is described as the numeric value separating the upper half of a sample, a population, or a probability

distribution, from the lower half. Thus for this report, the median is the person who is the utter middle of a sample.

An average or mean is a single value that is meant to typify a list of values. This is derived by adding all the values

on a list together and then dividing by the number of items on said list. This can be skewed by particularly high or

low values.

For further Information on this report and the Aviva Understanding Consumer Attitudes to Savings Report, or for a

comment, please contact Sarah Poulter at the Aviva Press Office on 01904 452828 or [email protected]
mailto:[email protected]:[email protected]


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aviva uk: the aviva family finances report, spring 2011

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