Inflation fears prompt consumers to run down savings, says Bank

Savings built up during pandemic fall by two-thirds and consumer credit rises by 800m over year

Consumers are starting to run down the savings built up during the pandemic in order to sustain spending patterns threatened by higher inflation, Bank of England figures suggest.

With the cost of living rising, Threadneedle Street data showed a marked drop in December in the amounts being deposited in savings accounts and national savings.