Britons losing thousands a year because of these financial mistakes
British adults cost themselves thousands of pounds on average throughout 2025 through indecision, uncertainty or simply delaying making choices about money matters.
One of the most notable and costly factors in this regard is leaving cash in non-interest-bearing current accounts rather than moving it into an easily accessible savings account that pays more than 5 percent through most of 2025.
Data from consumer research company CACI, analyzed by the Spring savings app, shows that, on average, 6.5 million accounts paying no interest had a balance of more than £10,000 at the end of each month last year; this costs around £9.75bn in lost interest payments. That’s more than £1,500 per account.
While these figures include accounts with much more cash than the average person (for example, more than 300,000 accounts holding more than £100,000 at the end of a month), the same principle applies to casual workers with more modest sums.
While a total of £5,000 could generate £250 in interest over the year at a 5 per cent return, there were many savings accounts available in the first half of 2025 offering much more than this level.
When asked why they don’t move cash to earn interest, almost a third (31 per cent) of people said it was out of habit, leaving money where it came from, while a quarter (26 per cent) said they were afraid of not being able to access their cash immediately.
Easy-access savings accounts usually have no restrictions on withdrawals, but you should check the conditions on specific accounts, for example if there is a one-day delay or if the interest rate is reduced after a certain number of withdrawals. The best rates currently available pay 4.5 percent for unlimited easy access.
However, not moving money wasn’t the only costly problem.
Research from financial charity Money Ready shows that more than one in seven people (15 per cent) lose an average of £640 by delaying important money-related decisions such as a mortgage or loan.
In many cases, this was because there were too many options or a lack of clarity on how to get started.
Not switching banks or utilities providers (22 percent), paying for unused subscriptions or services (20 percent) and letting coupons or loyalty points expire (19 percent) were the next most common reasons for financial loss.
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But still, the biggest culprit was leaving money in low-interest or no-interest accounts; The average annual cost of these accounts was £342, and almost three in ten (28 per cent) admitted to doing so.
Someone who makes poor decisions or no decisions in each of the nine categories surveyed could end up costing them more than £3,000 over the year.
Leon Ward, CEO of Money Ready, said: “We rely on financial literacy every day, often without realizing it. But often people aren’t taught how the system works. Early and consistent education at key stages of life not only prevents costly mistakes, it empowers people to build healthy habits, make safe choices and strengthen their long-term stability.”
“This isn’t a personal problem, it’s a systemic problem. You learn to drive before you hit the motorway. The same should be true of finances. Whether it’s something as small as a voucher expiring or something life-changing like choosing a mortgage, the consequences are huge for individuals and the whole country. Better education and a fairer system give Brits more confidence, control and spending power, which is good for them and for our economy.”
Money Ready launched a financial literacy campaign called The Cost of Not Knowing to raise awareness of how much emotional and financial distress people suffer when they are ill-equipped to make financial decisions.
