The benefits of building financial confidence

Based on a nationally representative study of over 4,000 adults, the Index tracks the nation’s financial confidence alongside evolving attitudes and behaviours towards money. Moneybox’s said its goal is to deepen collective understanding of how to drive meaningful behaviour change and empower people to achieve their financial goals, build wealth with confidence, and create the life they want.

Despite a backdrop of economic uncertainty and market turbulence throughout the first half 2025, the data shows Britons are feeling more confident about saving (84 per cent compared to 79 per cent in 2024), investing (from 33 per cent to 39 per cent), and their ability to manage their personal finances overall (83 per cent vs 79 per cent). Britons are also feeling more confident about their long term financial plans with over half (57 per cent) saying they are confident about planning for a comfortable retirement, compared to 46 per cent who felt this way in 2024.

Further analysis of the data revealed that individuals that report feeling confident managing their personal finances had a net worth that was £86,000 higher than those who don’t feel financially confident - regardless of income.

According to the index, people in Edinburgh had a financially confident score of 64 per cent. This was determined based on individuals' confidence across four key areas, including: saving (84 per cent; investing (38 per cent); managing personal finances (80 per cent) and retirement (56 per cent).

On average, those who feel financially confident in Edinburgh have a net-worth of £342,000 - £91,000 more than those in Edinburgh who feel non-financially confident and have an average net-worth of £251,000. This is across cash savings, investments, retirement savings/pension, and not including salary/income.

People in Glasgow had a financially confident score of 66 per cent - saving (80 per cent); investing (40 per cent); managing personal finances (84 per cent) and retirement (59 per cent).

On average, those who feel financially confident in Glasgow have a net-worth of £309,000.This is £97,000 more than those in Glasgow who feel non-financially confident and have an average net-worth of £212,000.

Moneybox believes that improving financial confidence across the UK has the potential to boost the level of personal net wealth across the UK, by up to £142 billion. And insights from the Financial Confidence Index indicate that the top measures needed to help boost the nation’s financial confidence could be as simple as helping people to better understand their financial situation (57 per cent), giving them improved access to personal sources of advice (51 per cent) while supporting them in finding financial products that meet their goals (47 per cent).

Moneybox’s data also highlights the positive role that goal setting and intentional planning can play in building financial confidence. Among those who feel financially confident, almost half (48 per cent) say they set and follow a budget – an increase in the last year since Moneybox’s first Financial Confidence Index (33 per cent). Similarly, half of financially confident individuals are now setting long-term financial goals, compared to just 34 per cent in 2024.

Brian Byrnes, head of personal finance at Moneybox comments: “Building financial confidence is the key to building wealth over the long term, and our Financial Confidence Index demonstrates this very clearly. Regardless of your income, if you feel confident managing your personal finances, you’re more likely to prioritise building up your savings, investing and planning for your financial future. It's really encouraging, for example, to see over half of those we spoke to feel confident about planning for a comfortable retirement - though ongoing support still remains important to ensure expectations match retirement realities.

“Seeing the dial shifting with increasing numbers of people engaging in positive financial behaviours such as setting a budget and setting long-term goals is encouraging but we as an industry have a role to play, as does the government.

“Initiatives such as the FCA and Treasury’s Advice Guidance Boundary Review (AGBR) will be integral in building financial confidence across the UK. The AGBR’s Targeted Support proposals will enable providers like Moneybox to personalise guidance to their customers, helping them to make more informed decisions about their finances.”