Are UK Consumers Ready to Roll the Dice on Investing?
In her Autumn Budget, the Chancellor made her intentions clear. She wants UK consumers to invest more. From April 2027, future cash ISA limits will be reduced to £12,000, while financial services providers are being encouraged to proactively reach out to customers with investment options and products.
The logic is straightforward. Shifting consumers from saving to investing should help unlock capital, fuelling growth and giving businesses the funding they need to expand and innovate.
The challenge is that the UK currently has the lowest investment rate of all G7 countries. So why are UK consumers so reluctant to move beyond savings accounts and into investments? And what is really holding them back from swapping safe piggy banks for higher risk but potentially higher return options?
Our latest data helps explain why this shift may be harder than policymakers hope.
Investing is not habitual for UK consumers
For most UK consumers, investing is simply not part of their financial muscle memory. While just over half have a cash ISA, far fewer have taken steps into investment products outside of pensions.
52% of UK consumers have a cash ISA
33% have a stocks and shares ISA
21% hold shares
19% have investment funds
Compared to some international counterparts, investing still feels unfamiliar rather than routine.
That lack of experience feeds directly into confidence. 52% of consumers say they are somewhat confident or less confident in their ability to choose investments that match their goals. Perhaps more concerning, confidence is lowest among those most likely to have money to invest. 60% of those aged 45+ say they lack confidence when it comes to selecting investments.
Younger consumers offer a glimpse of a different future. 20% of those aged 25–34 say they feel very confident in their ability to choose investments aligned to their financial goals. But for now, there is a clear gap in knowledge and reassurance that is holding many people back.
This helps explain why support matters so much. When it comes to how they would want to invest:
44% want a professional to give them investment options to choose from
9% want a professional to manage investments entirely on their behalf
Only 30% want to choose and manage all investments without professional guidance
What this means for brands
If the Chancellor’s ambition is to become reality, providers cannot assume consumers are ready to self-serve. Simplicity alone is not enough. Investment propositions need to be built around guidance, reassurance and choice, not just access. Brands that position themselves as partners rather than platforms are likely to see stronger engagement.
Cost-of-Living pressures are amplifying risk aversion
Confidence is not the only barrier. The broader economic context matters too.
After years of rising prices and squeezed household finances, many consumers feel they simply do not have spare money to invest. Not having enough disposable income is the most commonly cited barrier, mentioned by 36% of consumers.
But it is not just about affordability. The uncertainty of investing feels harder to stomach when finances are already under pressure:
32% say fear of losing what they invest is stopping them from getting started
13% say investments feel less secure than savings
When people are worried about paying the bills, products that could leave them worse off feel like a gamble rather than an opportunity.
Brands should provide reassurance, not just access
Investment brands need to recognise the emotional context consumers are operating in. Risk messaging cannot be abstract or technical. Reassurance needs to be practical and human. Showing how other small-scale investors have navigated ups and downs can help normalise volatility. Features that provide visibility and control, such as alerts or exit thresholds, may also help reduce perceived risk.
Turning intent into action will take more than nudges
Encouraging more people to invest is not simply a matter of changing limits or prompting providers to make contact. The data shows that many consumers lack confidence, feel financially constrained, and are wary of risk in the current climate.
If investment is to become a habit rather than a hope, brands will need to meet consumers where they are. That means education without condescension, guidance without pressure, and products that acknowledge real-world financial anxiety.
The opportunity is there. But it will only be realised by brands willing to do more than simply inviting consumers to roll the dice.
Understanding why consumers hesitate is the first step to changing behaviour. At The Harris Poll UK, we help brands and institutions explore how confidence, risk and financial pressure shape investment decisions, ensuring strategies are grounded in robust insight and feel supportive, not overwhelming. If you’d like to explore what this means for your brand, contact us.