By not investing, we’re all missing out on important growth
Slowly getting richer over a long period of time doesn’t sound as exciting as winning big on the national lottery but a long-term strategy is the one that will benefit most people.
Investing for the long term is what helps millions of people build wealth. Historic data shows that over time, investing consistently generates more money than simply leaving cash in a standard savings account. Yet, Barclays bank notes that UK savers currently have £610 billion sitting in cash that could be working much harder if it were invested.
Based on research published by Barclays in September 2025 (and updated in April 2026), approximately 15 million UK adults are holding these “possible investments” within cash savings accounts. In fact, savers in the UK invest less money into shares than any other G7 nation, choosing the perceived safety of cash instead.
Cash generates less returns than shares and is less likely to beat inflation which means that its spending power decreases leaving savers worse off in real terms.
The missed opportunity of not investing
In April 2026, Barclays published a new paper titled, “The missed opportunity of not investing”.
The paper examines the long term cost of holding cash rather than investing. Drawing upon 70 years of data from the Barclays Equity Gilt Study, the analysis shows how inflation has steadily eroded the real value of cash savings, while diversified investing has delivered far stronger outcomes.
For example, Barclays found that over twenty years (2004-24) cash lost 40.5% of its value in real terms – even when interest was added along the way. In other words, £1,000 held in cash from 2004 would have the spending power of less than £600 by 2024.
The government has been looking for ways to boost the economy, with part of the solution being to get more Britons investing, rather than hoarding their money as cash savings. Only one in three Britons express a willingness to invest savings in stocks and shares.
Why don’t people in the UK invest more with their money?
The government has been actively looking for ways to boost the economy, and part of the solution involves getting more Britons to invest rather than hoarding cash.
YouGov research published in 2025 revealed that only 31% of Britons say they would be willing to invest their savings in stocks and shares, including just 9% who would be “very willing” to do so. Most (55%) describe themselves as unwilling to do so, including 33% who are “very unwilling”. The most common reason given for this reluctance was that they believed it was too risky to invest in stocks and shares.
A lack of confidence and understanding of investments helps explain people’s reluctance to invest in stocks and shares. For many, it can be daunting to invest their money in the stock market. For others they simply don’t know where to start, while the idea of investing hard earned money into something that could go down in value puts many people off.
What is needed is better financial education for both children and adults, this will ensure that all generations understand how to grow their money safely. Building financial literacy is strongly associated with wealth accumulation.
In April 2026 The “Invest for the Future” campaign was launched a UK-wide, industry-funded initiative designed to encourage consumers to move cash savings into investments to combat inflation and meet long-term goals. The initiative has been backed by the government and financial firms and aims to demystify investing for UK savers.
Key Aspects of the Campaign:
How to start investing
British savers are already familiar with cash ISA but an easy way to start investing is to begin with a stocks and shares ISA. As with cash ISAs, investors can put up to £20,000 each tax year and any gains made are tax free. This means investors will not be subject to capital gains, dividend tax and income tax.
The advantage of a stocks and shares ISA is that they’re ideal for new investors, they won’t be put off by complex and confusing tax rules that come with other types of investment accounts.
Stocks and shares ISAs are perfect if you have time to invest for the medium and long term (over 5 years), and you believe you won’t need access to this money immediately.