Brits use savings 'to fund DIY projects'

New research has shown that 80 per cent of people who made home improvements in the last year used their savings to do so.

Of those surveyed as part of the annual Halifax Home Improvement Survey, four-fifths claimed that their recent home improvement projects were financed either partly or entirely by their nest eggs.

Just ten per cent of participants said they paid for the work using a credit card while five per cent of people took out a personal loan specifically to pay for the improvements.

Tony Wilcox, head of savings at Halifax, said that this research contradicts the notion that the UK has a buy now pay later culture.

"The fact that the vast majority of people have saved in advance of spending is extremely encouraging. Using savings for such improvements means savers are really seeing the benefits of putting money aside," he said.

According to research by Lloyds TSB Personal Loans, 59 per cent of homeowners have shelved moving plans due to anxiety over the property market while half of those that have decided to stay are planning to upgrade their existing property.