Britons ‘banking billions’ at home

UK consumers have managed to hide a whopping £4.6 billion worth of cash around their homes, with the average Brit stashing £127 and an affluent eight per cent sitting on anything between £300 and £1,000 in cold hard currency.

That is according to new research from home insurance provider Cornhill Direct. The company found that 40 per cent of homeowners believe it is a good idea to keep money in the house, while 45 per cent believe that the recent Northern Rock situation could result in more people keeping hold of their own money.

Interestingly, Brits were not put off by feelings of uneasiness about keeping cash at home (one third), nor by the fact that one in ten have had funds go missing.

Mark Bishop, a representative for Cornhill Direct, commented: “Our home contents policy provides protection for money kept in the house, but it is never a good idea to keep large sums in the house.”

Back in May, Virgin Money estimated that Brits were keeping £3.5 billion in cash at home. Based on a forecast of future inflation, it predicted this money would lose around £200 million in purchasing power by 2010.

Tags: power, Northern Rock situation, new research, home contents policy, cent, Cornhill Direct