Thursday 22nd May 2008
When saving for the future, there are risks associated with stashing cash in hiding places around the home, according to Newcastle Building Society.
The financial services provider explains that the risk of theft is not the only way in which Britons could find they have less money than they hoped.
Senior marketing executive Steve Urwin says: "The biggest risk to savers is that cash on its own does not earn any interest.
"Therefore, the effects of inflation will erode the relative value of cash over a period of time."
As such, savings will actually fall in value rather than being worth more when it comes time to spend.
Mr Urwin adds that theft remains the "most obvious" risk faced by those who keep their savings in their own homes.
The news follows research from Newcastle Building Society which found that one in ten savers now prefer to keep their funds under their mattresses rather than in a savings account.
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