Are your financial plans being prioritised?

New research from Scottish Friendly highlights a concerning gap in long-term financial planning across the UK. Almost one in five adults (18%) cannot identify a financial goal for the next five years or beyond, rising to 30% among households earning £25,000 or less.

Income clearly plays a role. The proportion without a long-term priority falls to 18% for households earning £25,000–£50,000, 7% for those earning £50,000–£75,000 and just 5% among households earning more than £75,000.

At Montfort, our view is that long-term financial planning should not be reserved for those with significant disposable income. In fact, having clear priorities can be particularly valuable when household budgets are under pressure.

A financial plan provides direction, helping people understand what they are working towards and make informed decisions along the way. Even when there is limited capacity to save today, identifying future goals can be an important first step towards greater financial confidence.