NEWS RELEASE                                                                  October 20 2011

__________________________________________________________ญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญญ______________________________________________

Decline in women’s cash savings intentions pushes UK Financial Activity Barometer to near 9-year survey low

Savings / investment and debt repayment intentions down; borrowing and property purchase intentions up

A fall in savings intentions among women is a key reason for the decline in the headline measure of the Autumn JGFR/GfK NOP Financial Activity Barometer*

The 38th quarterly survey of consumers intended savings, investment and borrowing activity – running alongside the September UK Consumer Confidence Barometer – recorded lower savings / investment and debt repayment intentions, but higher borrowing and property purchase intentions. The latter partially offset the slide in savings / investment and debt repayment intentions.

As a result the headline JGFR FAB Index edged down 1 point to 88.9**on the quarter and is down from 93.7 in September 2010. It is the weakest measure since the survey low of 87.9 in December 2007. Overall 69% of adults expect to save, invest or borrow in the next 6 months, down from 71% in June and 73% in September 2010.

Fewer people intend to save or invest in the latest FAB – a decline from 63% to 60% compared to June and down from 67% compared to a year ago. Overall there has been a fall in some 3 million adults expecting to save or invest.

The drop in savings / investment activity will reflect the squeezed financial circumstances many households are facing and the uncertainties surrounding global stock markets. The fall in people intending to pay down or repay debt (22% v 23% in June and a year ago) is also likely to reflect a greater squeeze on personal finances, particularly when intended credit usage is increasing.

Borrowing intentions picked up from 13% of adults in June and a year ago to 15% with almost all the intended rise in unsecured borrowing. The JGFR Borrowing Index gained 5 points to 61.7, its biggest rise since Q1/Q2 2009.

To read the whole News Release register with the Member’s Page.

For details of the Financial Activity Barometer and the Autumn Financial Activity Bulletin please contact info@jgfr.co.uk or ring 0208 944 7510 / 07740 027968