The majority of British savers have not let the unstable financial climate deter them from saving, claims Birmingham Midshires.

According to the bank's quarterly Saving Britain report, 87 per cent of savers continued to put away money over the last three months.

Of the 13 per cent who have ceased to put money away, the most cited reason was being unable to afford to.

The results were described as "encouraging" by the bank's director of savings operations Jason Robinson, who stated that people were obviously not allowing the impact of recent market conditions to affect their savings.

"Clearly the majority of people are keen to maintain their good habits and save as regularly as they can," he said.

Of those who have withdrawn money, 17 per cent have used the funds to pay off outstanding debts or overpay on their mortgages, while 16 per cent have invested in stocks and shares.

By 2012, total personal savings in Britain could reach a record £1 trillion, Alliance & Leicester have claimed.

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