Half of UK adults feel less certain about their financial future than two years ago with many cutting back on spending or dipping into savings, according to new research from St. James’s Place (SJP).

The wealth manager’s latest Real Life Advice Report, based on a survey of 8,000 people, found that 49% feel more uncertain about their future, with one in four saying they feel “much more uncertain”. Just 18% feel more confident than in 2023.

Concerns are being fuelled by the cost of living and inflation (76%), geopolitical instability (57%), and economic uncertainty (56%).

Almost half (48%) cited the political climate, while 45% were worried about future government support for pensions, welfare and long-term care.

DELAYING MAJOR DECISIONS

This unease is shaping behaviour. Among those feeling less certain, 41% have cut non-essential spending, nearly one in five (18%) have drawn down savings, and 12% have taken on debt. At the same time, 23% are putting more into savings or investments, while 13% have delayed major decisions such as home purchases or job moves.

The study highlights a divide between those who receive professional financial advice and those who do not.

Over half (51%) of advised individuals said they were optimistic about the rest of 2025, compared with 34% of the non-advised. Eighty-five per cent of advised respondents reported being on track with savings and investment goals, versus 65% without advice.

CLOSE THE ADVICE GAP

Mark FitzPatrick, SJP’s chief executive, said: “Periods of uncertainty, especially when major or unexpected events happen, are unsettling. Professional advice can be invaluable in helping people navigate these moments.”

SJP called for greater financial education, reforms to close the “advice gap”, and clearer regulatory frameworks to enable simplified advice and targeted support.

FitzPatrick added: “Government, regulators and the industry all have a responsibility to ensure people can access the right support to build a more secure financial future.”