The coronavirus pandemic has left a profound and lasting impact on people’s financial habits, with many becoming more cautious about saving while others prioritise spending on experiences to enjoy life in the present, new research suggests.
A survey commissioned by Chase found that around one in four people (26%) believe they have become more focused on saving money over the past five years. This shift is largely driven by a desire for financial security, with respondents citing the need to feel more in control of their finances, build emergency savings, and prepare for future economic uncertainties.
At the same time, however, a significant proportion of people have adopted the opposite approach, choosing to embrace a more spontaneous attitude towards spending. Around a fifth (21%) said that the challenges of recent years, including the pandemic and rising living costs, have encouraged them to prioritise enjoying the ‘here and now’ by spending on experiences.
Changing financial priorities
The research, carried out by Opinium at the end of 2024, reflects a broader shift in financial mindsets. For some, the unpredictability of global events—ranging from the pandemic to economic instability and geopolitical tensions—has reinforced the importance of financial preparedness. For others, the same uncertainties have served as a reminder of the value of living in the moment, leading to increased spending on travel, entertainment, and social activities.
Chase, the consumer banking arm of JPMorgan Chase & Co, noted that this trend is supported by its own data, which shows a rise in consumer spending on shopping and entertainment throughout 2024.
Kuba Fast, UK chief executive of Chase, commented:
“Our research shows that the events of the last five years have significantly changed consumers’ attitudes to money. The unpredictability of recent years, including the pandemic, the increase in the cost of living, and geopolitical uncertainty means that consumers are switching their mindsets to be prepared to deal with anything.”
Confidence in money management
Despite the financial upheavals of recent years, many people report feeling relatively confident about managing their money. According to the survey, 85% of respondents across the UK feel capable of handling their day-to-day finances, while a similar proportion (83%) believe they are in control of their spending.
However, when it comes to setting specific financial goals, enthusiasm appears to be more limited. Less than a quarter (23%) of those surveyed said they had made a finance-related resolution for the year. Yet, among those who had, the vast majority—86%—expressed confidence that they would stick to their goals.
The cost-of-living crisis and financial resilience
The findings come against the backdrop of an ongoing cost-of-living crisis, which has placed increased pressure on households across the UK. Inflation, rising mortgage rates, and higher energy bills have made financial stability a growing concern for many.
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For those who have become more savings-focused, the desire to build a financial safety net is stronger than ever. The pandemic exposed the vulnerability of many households to sudden income shocks, and even as the immediate crisis has passed, the experience has left a lasting impression. Having emergency savings in place has become a priority for millions, with many now adopting a more cautious approach to their finances.
Conversely, for those choosing to embrace spending, the motivation appears to be rooted in a recognition that life is unpredictable. After years of restrictions and financial anxiety, some are now eager to make the most of their time and money, focusing on experiences that bring immediate joy and fulfilment.
A balanced approach
While these contrasting attitudes may seem at odds, financial experts suggest that a balanced approach is key. Being financially prepared for the future does not necessarily mean forgoing life’s pleasures in the present. Many financial advisers recommend a strategy that incorporates both saving and spending—building financial security while also allowing for meaningful experiences.
The Chase survey highlights the extent to which the pandemic has reshaped people’s financial priorities. Whether leaning towards cautious saving or mindful spending, one thing is clear: the events of the past five years have profoundly changed the way people think about money.
