The over 50s wealth forecast
3 minute read
Over 50s wealth forecast
3 minute read
If you’re over 50, you might be starting to feel financially secure… Maybe your mortgage is paid off. Perhaps your children have grown-up and flown the nest. And it’s possible that you have more savings than ever before.
Whether you’re retired or still working, now’s the time to enjoy your savings and still keep an eye on the future.
But life is uncertain. The economy is constantly changing, and it can feel hard to know what to do with your money.
That is where we come in. We’re here to help you feel clear, in control, and calm about your savings and your plans.
What's happening with inflation and interest rates?
Inflation has been quite high over the past few years. Simply put, this means prices are on the rise. The higher the inflation rate, the faster prices go up.
In October 2022, inflation in the UK reached 11.1%. This is the highest level in 40 years, according to the Office for National Statistics (ONS)1.
As of June 2025, inflation has fallen to 3.6%. That’s much lower than before, but still above the government’s target of 2%. Even now, lots of us are still feeling the cost of rising prices, especially on energy bills and food.
To help combat rising prices, the Bank of England increased the base rate – the interest rate set by central banks – in 2022 and 2023. This rate going up and down can often have a huge impact on your finances. When it goes up, it becomes more expensive to borrow. So, while you might find better saving rates for your savings, in this instance, paying off credit cards or mortgages may become more expensive.
The opposite of this often happens when the base rate goes down – as it has this month. On 7 August, the base rate dropped to 4%2. While you don’t get such a big reward for stashing money away, the cost of borrowing falls.
Taking control of your money after 50
As we get older, it becomes more important to know what our savings are for and how to make them work best. Instead of reacting to every market change, you should plan with purpose and focus on your long-term savings goals.
It’s good to remember, different goals often call for different savings accounts:
- Emergency funds – easy access accounts let you access your money quickly if you need it.
- Short-term savings (like holidays or home repairs) – regular savers or limited access accounts could help you earn interest with restricted access.
- Medium-term goals (for future spending) – a fixed rate account could pay higher interest rates in exchange for no access.
- Retirement planning – you might want to mix cash savings with pensions and investments. To help you consider your options, seek independent financial advice or visit moneyhelper.org.uk.
Why ISAs are still worth it
ISAs let you save money without paying tax on the interest you earn. Every adult in the UK can save up to £20,000 in an ISA each year (for the 2025/26 tax year)*.
Some quick ISA tips!
- Use your full ISA allowance every year, if possible
- Mix fixed rate and variable rate cash ISAs to balance security and flexibility
- Keep up to date on any changes to ISA rules.
How Coventry Building Society can help
We know that people over 50 have different savings needs. That is why we offer:
- A range of fixed and variable savings accounts
- Cash ISA and non-ISA savings options
- Clear information to help you compare your options
- Our UK-based free to call Customer Service centre
- Online Services and our app to help you manage your money where and when you want
1. Source - ONS: Consumer price inflation, UK: October 2022 Consumer price inflation, UK - Office for National Statistics
2. Source - Bank of England, August 2025 Bank Rate history and data | Bank of England Database
Published August 2025
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