Barclays launches new Financial Confidence Index to track how UK adults are managing money in a changing world

• “State-of-the-nation” analysis estimates the average Brit could cover essential living costs for seven months if they lost their main source of income
• Anonymised data from millions of Barclays UK customers shows households have built up savings and are missing fewer bill payments, while essential costs account for 59 per cent of income and continue to weigh on household budgets
• Everyday confidence isn’t always translating into longer-term financial action – 39 per cent have delayed at least one financial decision due to the conflict in the Middle East
• Planning for major financial setbacks is limited – while many have built cash buffers, uptake of income protection (10 per cent) and life insurance (24 per cent) is low
• Presenter and broadcaster, Gemma Atkinson, and professional dancer and podcast host, Gorka Marquez, have teamed up with Barclays to encourage open money conversations
• This follows news that Barclays has agreed to acquire GoHenry, a money management platform for 6-18 year olds

Barclays has today published the inaugural findings of its Financial Confidence Index ¹, revealing how people across the UK are managing money, making financial decisions and preparing for the future.

The Index combines anonymised data from millions of Barclays UK customers, nationally representative consumer research, and external economic and market analysis from the Centre for Economics and Business Research (Cebr) to create a long-term, trackable picture of financial confidence in the UK.

Its goal is to diagnose confidence gaps – both at a nationwide level and among specific demographics – helping to identify where more support, action or policy changes could be considered.

The Index assesses financial confidence across four pillars – Short-Term Resilience, Understanding Money, Planning Ahead and Day-to-day Money Management – with each pillar scored out of 25 and combined to produce an overall score out of 100.

The baseline Financial Confidence Index score is 61.8 out of 100. The analysis shows many feel confident managing day-to-day finances and adjusting as conditions change, but that confidence is not always matched by action, and longer-term preparedness lags behind.

Confident day to day, but cautious about next steps

The average UK adult says they could cover their essential living costs for 7.4 months if they lost their main source of income, demonstrating short-term resilience.

Barclays proprietary data also shows households have built up savings and are missing fewer bill payments, helping them manage their everyday finances.

However, during periods of volatility, 23 per cent report delaying financial decisions, and 39 per cent say they have postponed a decision specifically due to the conflict in the Middle East. This includes discretionary plans such as holidays (23 per cent), major purchases (13 per cent) and decisions about starting or increasing investments (12 per cent).

This behaviour indicates a broader sense of caution. Many are relatively confident managing money day to day but are less confident making bigger financial decisions – such as investing or planning ahead – in an uncertain environment.

Confidence is not yet driving long-term progress

While everyday confidence is relatively high, it is not always translating into longer-term action. Essential living costs absorb 59 per cent of income on average, meaning that rising inflation or unexpected expenses could start to erode savings.

Feeling underprepared for major financial setbacks is also evident. Only a quarter (24 per cent) say they have adequate levels of life insurance, and 10 per cent say the same about income protection. Looking ahead to retirement, while 74 per cent of UK workers surveyed say they are enrolled in their workplace pension, almost four in 10 (38 per cent) make only the default personal contribution, with just 24 per cent contributing more.

The gap between everyday confidence and longer-term action is also reflected in how people engage with their finances. Nearly six in 10 (57 per cent) rate their understanding of personal finance as ‘strong’, with a correlation between confidence and age (44 per cent of Gen Z rate their understanding as ‘strong’, compared to 63 per cent of Baby Boomers). Yet, more than four in 10 (44 per cent) have not taken any steps to better understand their finances in the past year, potentially leaving themselves exposed to future pressures.

Vim Maru, Chief Executive of Barclays UK, said: “Our new Financial Confidence Index shows that many people are managing day-to-day, but confidence isn’t always turning into action.”

“Financial confidence should be about more than just staying on top of everyday finances – it’s about equipping people to build their knowledge and put protections in place to support the future and help their money go further, for longer. In turn, this can strengthen resilience when uncertainty hits.”

Gemma Atkinson, preseter and broadcaster, said: “Money is something that affects all of us, yet it’s still not talked about openly enough. It’s easy to feel like you should have everything figured out, when actually most people are just learning as they go. For me, having open conversations – whether that’s with your partner, family or friends – can make a real difference. The more we talk about money, the more confident we become to make decisions, plan ahead and take steps that support our future. It’s those small actions over time that can really help your money go further.”

To help people build confidence and navigate key life moments with greater clarity, Barclays offers a range of financial resources through its Money Confidence Hub to support UK adults in developing long-term financial resilience.

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¹About the Barclays Financial Confidence Index

The Barclays Financial Confidence Index is a composite dataset combining Barclays proprietary data and nationally representative consumer research, with external economic and market data analysed by the Centre for Economics and Business Research (Cebr).

Unless otherwise stated, this press release is based on the consumer research for the Index which was carried out between 24th – 28th April by Opinium Research on behalf of Barclays. There were 2,000 respondents, providing a representative sample of UK consumers by age, gender, region, and income group. Opinium adheres to Market Research Society (MRS) standards for respondent verification and transparency. All respondents were verified through Opinium’s rigorous identity validation and data quality processes.

Some survey findings referenced in the press release are drawn from this consumer research and provide additional insight, but do not form part of the core Index model metrics.

The outputs are structured across four pillars that reflect different aspects of financial confidence – Short-Term Resilience, Understanding Money, Planning Ahead and Day-to-day Money Management – each scored out of 25, with the aggregation of all pilL

ars producing a composite UK Financial Confidence score out of 100. Each pillar is made up of four indicators, with each indicator drawing on a specific data source (or sources).

For more information, read the report here.

About Barclays

Our vision is to be the UK-centred leader in global finance. We are a diversified bank with comprehensive UK consumer, corporate and wealth and private banking franchises, a leading investment bank and a strong, specialist US consumer bank. Through these five divisions, we are working together for a better financial future for our customers, clients and communities. For further information about Barclays, please visit our website home.barclays

About Cebr

The Centre for Economics and Business Research (Cebr) is an independent economics consultancy, renowned for delivering rigorous, evidence-based insight to inform strategic decision-making. Established in 1992, Cebr specialises in economic forecasting, impact analysis, and policy research, working with leading UK and global organisations across the private and public sectors. Its clients include multinational corporations, financial institutions, government departments and trade associations. For more information, please visit cebr.com.