00: WOMEN SAVE 17% MORE IN PROPORTION TO THEIR EARNINGS

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1 Press Release Embargoed until: 00: NOT FOR BROADCAST OR PUBLICATION BEFORE HRS Saturday 16 th May 2009 This Halifax Savings Report, part of a series of research pieces published by the Lloyds Banking Group, highlights savings trends in the UK. The research is based on data from Halifax's deposit savings database. Halifax is one of UK's leading savings providers. The analysis is based on savings accounts held with Halifax in 2009 and average earnings data from the ONS in 431 UK local authorities (LA). The figures in this report, by their very nature, exclude people who have no savings. Figures from the ONS Financial Resources Survey show that 24% of households have no savings (Table Assets and Savings). WOMEN SAVE 17% MORE IN PROPORTION TO THEIR EARNINGS Female savers in the UK have average balances equivalent to almost 40% of their average annual gross earnings, whilst men have an average balance of just 23% of their earnings Overall, there is little difference between the average savings balances held by women ( 7,507) and men ( 7,790); the average for all savers in the UK is 7,787 At local authority level, the highest average balances are held by residents in the City of London ( 17,860), Kensington and Chelsea ( 16,155) and Westminster ( 15,131) There is a wide variation in average balances between regions; the highest is in the South East ( 8,648) and the lowest in the North East ( 6,903) London has not only the largest savers, but also some of the lowest in the UK; such as Newham ( 4,570) and Hackney ( 4,602) Nitesh Patel, Economist at Halifax, comments: "Two key features stand out. One is that women generally save more in relation to their earnings than men. Another is the wide variation in savings balances between regions, with generally higher balances in the South East compared to the North. "Savings play an important role when planning for your financial future so it is important to establish good savings habits as early as possible."

2 UK Savings Map: Male and Female Saving as Proportion of Earnings* savings balance as proportion of earnings (Table 1) In all regions women save more in proportion to earnings than men; the highest is in the South West where women have an average savings balance equivalent to 44% of their earnings in the region. For male savers the highest is 28% in Northern Ireland. Savers in East Dorset have the biggest savings balances relative to local average earnings. The average savings balance of 10,709 is equivalent to 55% of average earnings. Savers in six other local authorities have average balances equivalent to over half of average annual earnings; these are Christchurch (54%), Macclesfield (53%), Barnet (52, Derbyshire Dales (51%), North Norfolk (51%) and Penwith (51%). In contrast, savers in Haringey have an average balance of 6,972 equivalent to 11% of average local earnings - the lowest in the survey. Seven of the ten local authority areas in the UK with the smallest levels of savings in relation to earnings are in London; besides Haringey the others are Lewisham (15%), Barking and Dagenham (16%), Newham and Tower Hamlets (both 16%), Croydon and Sutton (both 18%).

3 Largest average savings balances (Table 2) Highest average balances are held by residents in the City of London ( 17,860), Kensington and Chelsea ( 16,155) and Westminster ( 15,131). London and the South East dominate the top ten local authority areas with the highest average balances; these include South Buckinghamshire ( 14,210), Elmbridge ( 13,434) and Chiltern ( 12,758). Twenty seven of the top thirty local authorities with the largest average savings balances are in the south of England. The highest average balance for Scotland is in East Renfrewshire ( 10,534), for Wales it is in Powys ( 10,090) and Ballymena for Northern Ireland ( 9,257). Lowest average savings balances (Table 3) The nation's lowest savers are in London in Newham ( 4,750) and Hackney ( 4,602). These London boroughs are followed by Manchester ( 4,942), Tamworth ( 4,950) and West Lothian ( 5,161). Ten of the thirty local authorities with the lowest average savings balances are in London and Scotland. al variation in average balance (Table 4) There is a wide variation in average balances between regions; the highest is recorded in the South East ( 8,648) and the lowest in the North East ( 6,903); a difference of 25%. Ends. Editors' Notes *Data from 2009 The data used in this research refers to balances at the end of 2009 and relates to the balances per customer (i.e. it is an aggregate of all accounts held by the individual with Halifax). earnings data is based on the ONS Annual Survey of Hours and Earnings figures for April These figures have been then uplifted by the change in recorded in the average earnings index (all economy) for the period April 2008 to January 2009 to derive a provisional earnings estimate for "This report is prepared from information that we believe is collated with care, however, it is only intended to highlight issues and it is not intended to be comprehensive. We reserve the right to vary our methodology and to edit or discontinue/withdraw this, or any other report. Any use of this report for an individual's own or third party commercial purposes is done entirely at the risk of the person making such use and solely the responsibility of the person or persons making such reliance. HBOS plc all rights reserved 2009."

4 Table 1 Savings as Proportion of Earnings 2009 Local Authority as % of Earnings (All) as % of Female Earnings as % of Male Earnings East Dorset South West 55% 77% 38% Christchurch South West 54% 71% 41% Macclesfield North West 53% 67% 41% Barnet London 52% 59% 44% Derbyshire Dales East Midlands 51% 75% 42% North Norfolk East of England 51% 71% 41% Penwith South West 51% 54% 47% Arun South East 49% 62% 33% Rutland UA East Midlands 48% 60% 38% East Devon South West 48% 62% 37% Source: Halifax and ONS (average annual earnings data for April 2008 uplifted by average earnings index for April 2008 to January 2009 for provisional estimates of 2009 average earnings) Table 2: Largest savings balance 2009 Local Authority ( ) City of London London 17,860 Kensington and Chelsea London 16,155 Westminster London 15,131 South Buckinghamshire South East 14,210 Elmbridge South East 13,434 Chiltern South East 12,758 Barnet London 12,546 Richmond upon Thames London 12,524 Mole Valley South East 12,366 Sevenoaks South East 12,110 Source: Halifax

5 Table 3: Lowest savings balance 2009 Local Authority ( ) Newham London 4,570 Hackney London 4,602 Manchester North West 4,942 Tamworth West Midlands 4,950 West Lothian Scotland 5,161 Lewisham London 5,162 Kingston upon Hull UA Yorkshire and the Humber 5,192 Blyth Valley North East 5,231 Barking and Dagenham London 5,237 Corby East Midlands 5,304 Source: Halifax Table 4: al variations in average balances 2009 Female Savings Male Savings North East 6,903 6,614 6,953 North West 7,198 6,897 7,256 7,237 7,396 Yorkshire and the Humber 7,454 West Midlands 7,135 6,870 7,148 East Midlands 7,633 7,409 7,574 East Anglia 8,553 8,315 8,471 Greater London 8,463 8,071 8,568 South East 8,648 8,504 8,452 South West 7,734 7,575 7,595 Wales 7,286 7,029 7,284 Scotland 7,405 6,999 7,566 Northern Ireland 7,334 7,089 7,317 United Kingdom 7,787 7,507 7,790 Source: Halifax and the ONS