Banks all over the UK doing secret stashes
Over-40s hide £4.4 billion from their partner in secret stashes
Brits over 40 keep some or all of their savings hidden from their partner, new research has found.
One in ten keeps their funds hidden because they do not trust their partner’s financial decision making.
It was found that 15% of Britons over 40 who live with their partner or spouse have a secret savings stash totalling an average of £1,037, in private investments or secret bank accounts.
This means that 4.5 million Brits could enter retirement with secret savings worth a total of £4.4 billion.
The research found that nearly a quarter of those with secret savings kept their funds hidden as a security measure, in case they split up with their partner.
Women were found to be more likely to keep their financial situation a secret, with 18% admitting to secret savings totalling an average of £1,002. This is compared to 12% of men, who conceal an average fund of £1,072.
Vince Smith-Hughes, Head of Business Development at Prudential, carried out the research. He commented; "By harbouring secret stashes of money, many couples are failing to plan sufficiently for their joint retirement.
“While it is understandable that some people in relationships want to be able to spend their own money, it is important for couples to have regular and open discussions about financial planning for the sake of maximising their retirement incomes. Only then can they decide how to make the best possible joint provision for the future.”
The research found that nearly a fifth of Britons are uncomfortable discussing financial matters with their partners. And two-thirds of couples have not received joint financial advice in the last five years.
Mr Smith-Hughes added; "Consulting a financial adviser together is an important part of this on-going dialogue and can help couples to secure the income and lifestyle they expect in retirement."