As we head into the new year, 38% of Brits utilise budgeting apps to strengthen financial stability and influence the way they spend, according to NerdWallet’s Consumer Borrowing Index.
The nationally representative study of 5,000 UK adults underlined the growth of budgeting apps as economic stability becomes increasingly important with the pandemic growing deeper.
Denise Ko Genovese, Senior Editor at leading price comparison site NerdWallet, commented: “Budgeting is key if you want to stay in control of your finances. In the age of contactless and mobile payments, it is all too easy to overspend and find yourself short of money.
“But regularly assessing your expenses and using sound financial tools, such as spend trackers or apps, and setting budgets for certain types of spending can really help you to prioritise your financial commitments and alleviate any risk of spending beyond your means.”
Furthermore, it comes as many high street and digital banks now offer consumers useful budgeting and spend tracking functionality. For many, this has made digitally managing finances the norm when it comes to household and individual budgeting.
The influence of spending tracking apps on financial behaviours for younger generations is notable. Apps have the most sway for millennials by some distance, with 60% of those surveyed admitting that their spending habits are influenced by these apps.