How to save money

Many spending habits have changed in light of cost of living shifts, with many understanding the value of having savings. Regardless of how much you can afford to set aside each month, there are money-saving tips available and accessible to everyone.

This page contains 75 money-saving ideas that may help you turn pennies into pounds.

Research from Raisin UK reveals that the average UK household wastes up to £4,600 per year on things like unnecessary subscriptions and current accounts that earn no interest. So, it’s worth exploring how to get better at saving by cutting your monthly expenses.

We’ve based our money-saving tips around three key areas that offer the potential to cut spending and save money: lifestyle habits, budgeting and savings accounts. Whether you want ways to save money on a tight budget, or you’re managing comfortably but have a specific savings goal, our curated collection of money-saving tips is here to help.

The first 50 of our savings tips are all about your lifestyle. We explore practical ways to save money on everyday spending in the UK without sacrificing your quality of life.

1. Shop at cheaper supermarkets

A simple money-saving tip for UK consumers is to switch where you do your weekly shop. Supermarkets such as Lidl and Aldi often offer cheaper fresh and perishable products than stores like Waitrose and Sainsbury's, along with bargains on dry goods, toiletries and homeware.

2. Make sensible swaps

You can also make your money go further by choosing supermarket own-brand items over more expensive big brands. They are commonly made by the same manufacturer as branded goods and can save you several pounds per shop.

3. Get rewarded for shopping

By joining the loyalty scheme at your local supermarket, you’ll enjoy points, coupons and exclusive offers in return that can free up more of your cash to save.

4. Combat world waste & eat well with a reduced price food app

Apps like Too Good To Go and Olio let you pick up surplus food or low-price food boxes from cafés and supermarkets. You pay a small amount, collect at a set time, and get a bargain meal while cutting food waste – it’s cheaper and greener than a takeaway.

5. Buy in bulk

It can sometimes work out cheaper to buy products in bulk. Always check the unit price to make sure you’re actually saving, and plan to use everything before it goes to waste.

6. Use vouchers and discount codes

Available online, in local neighbourhood magazines and sometimes posted directly to you, supermarket vouchers and discount codes can shave a few pounds from your weekly shop. Put vouchers straight in your wallet when you receive them or screenshot the code on your phone. Some supermarkets also offer discount codes and vouchers through their own apps.

7. Check the reduced section

Another way to reduce food waste and potentially cut back on your shopping bill is to check out your supermarket’s reduced section for items with an upcoming use-by date. Some products may also have been damaged in store  but are still perfectly usable (e.g. a washing powder box) and can be purchased at a reduced price.

8. Share your subscriptions

Sharing can cut costs, but many services now limit accounts to one household or allow you to add extra members for an additional fee. Use official family plans or agree to a split with someone who lives with you.

9. Cancel unnecessary subscriptions

Reviewing your subscriptions might help you find ongoing payments you've forgotten about. You can usually cancel them by contacting the service provider or cancelling the direct debit with your bank. Find out more about cancelling recurring payments.

10. Write a shopping list

By planning meals, you're more likely to shop for what you need rather than spending on unnecessary items. 

11. Don’t shop on an empty stomach

Shopping on an empty stomach is rarely a good idea, especially if you don't have a list either. You may only be interested in satisfying your hunger instead of shopping for what you need.

12. Cook at home

With rising restaurant prices making eating out less common, you can still cook special meals at home. Batch cooking and freezing individual portions can help save money and time. Similarly, if you usually stop at the café on your way to work, making your morning coffee at home could potentially save a few hundred pounds over the year.

13. Stop smoking

Smoking is an expensive habit, and even the costs of vaping can soon add up. With the average pack of 20 cigarettes now costing around £16.60 in the UK. a pack-per-day smoker could spend more than £6,000 a year.  That money could go towards your savings goals instead. Even reducing the amount you smoke can help save some extra pounds.

14. Cut down on drinking

The average night out costs Brits £67. Being more intentional about how often you go out and how frequently you consume alcohol can free up more cash.

15. Check your bank account charges

Packaged accounts charge a monthly fee for extras like travel insurance or breakdown cover. Check whether you’re paying for a service that you no longer need. It also helps to stay out of your overdraft when you can. Around three in ten UK adults go overdrawn each month, and bank charges can mean even small dips into the red can get expensive.

16. Use cashback companies

Whether you’re making a large, essential purchase such as a fridge or shopping around for insurance, it can pay off to use cashback companies. The cashback company receives commission for any purchase you make via their site, which they then share with you. Always check the terms and make sure it actually lowers your total cost.

17. Get a cheaper mobile phone deal

If you already own a phone, moving to a SIM‑only deal could save you around 25% compared with a contract that includes a mobile phone. You can do this easily online by calling a provider or by going into a mobile phone store. You may also find that your existing provider will match a deal from a competitor so they don’t lose you as a customer.

18. Use pre-owned clothing apps

Rather than splashing the cash on an entirely new wardrobe, you can shop in a more sustainable way (and for a lot less) by using apps such as Vinted and Depop.

19. Organise your wardrobe

Why not have a clear-out and use second-hand marketplaces to sell your unwanted items? Not only will decluttering bring in some additional cash, but you’ll also be able to assess what you have before making new purchases.

20. Sell anything you don’t need

From books through to houseplants, you can sell anything that you don’t feel like you need. Facebook Marketplace can help find people in your local area in order to save on postage.

21. Rent outfits for special occasions

Rather than buying a new dress or suit for every wedding or special event you attend, renting can often be cheaper. You’ll need to consider how many events you’ll attend and how often you’ll be renting.

22. Share clothes with friends and family

Even better than renting, you can borrow clothes from a friend or family member who is a similar size. This also applies to shoes, which could cut costs down for both of you.

23. Weigh in on clothing donations

A lot of companies provide cash in return for clothes, with the final price based on weight. This may be useful if you have unwanted large winter coats, heavy denim and thick wool items.

24. Shop second hand

Charity shops are a great place to shop for clothes and household items. As well as being cheap, they often offer quirky items you can’t find anywhere else.

25. Free/cheap parking apps

Parking can be an expensive necessity, especially if you live or work in a city centre. However, there are several apps available that can help you cut costs, allowing to reserve private driveways or find cheaper parking.

26. Use hostels/farm stays when travelling

You can cut the cost of travelling by choosing to holiday with a host family, participate in a house swap or look for bunkhouses and farm stays during your travels. This way, you might even enjoy a more authentic experience and make friends for life.

27. Sign up to hotel/accommodation newsletters

If you’re more into five stars than freebies, one way to potentially save money is signing up to hotel newsletters and looking for last-minute cancellations or discount codes. Collecting hotel points and air miles could also save you some cash.

28. See if tourist attractions near you offer locals rates

Many tourist attractions offer discounted rates for people who live within a certain catchment area or share the same postcode. If you’re wondering how to save money, get in touch with an attraction near you to find out.

29. Cycle rather than drive

While you might have to invest in a bike or pay to hire one, you may save on road tax, fuel, insurance and upkeep. You’ll also enjoy some fitness benefits.

30. Take advantage of trial periods – but don’t forget to cancel

Sign up for trial periods while they’re free or cheaper than usual to enjoy the benefits. However, you are often required to input your card details when you sign up, so be sure to cancel before you get charged. A good way to do this is by setting a reminder in your phone or on your calendar.

31. Keep your energy bills down

Gas and electricity costs can soar during the winter months, which can be particularly challenging when you’re living on a tight budget. However, you might be able to save money by changing your tariff or switching suppliers. Moving to another provider is easy to do and, according to Ofgem, usually only takes up to five working days to complete.

32. Before making improvements in your home, check for government grants

Lining your loft with new insulation? Installing new windows? There might well be a government grant that can help you with the cost. The government has committed funding through the Warm Homes Plan to reduce energy costs for low-income households.

33. Seen something you want to buy? Sleep on it

When it comes to online shopping, it's easy to overspend due to the ease, accessibility and convenience. Instead of clicking the buy button straight away, try sleeping on it. If you’re still thinking about it around a week later, consider buying it.

34. Check your workplace benefits and perks

Many workplace schemes offer discounts and benefits that you might not know about. Have a chat with your employer or look on the benefits portal to see if there are any offers relevant to you. 

35. Switch suppliers

By remaining loyal to your suppliers, whether that’s energy, broadband or your mobile phone, you might be missing some good deals. It’s worthwhile shaking things up every now and then to see where you could be saving money, or using a competitor quote to haggle with your existing supplier.

36. Shop around for your insurance

Insurance policies and breakdown cover might be more reasonable elsewhere. See if you could save money by using a price comparison website.

37. Give more meaningful gifts

Birthdays and special occasions can drain your bank account when it comes to gifts. If you’re wondering how to save money, you could try something original and authentic that you made, or a small token of appreciation.

38. Charge interest on late payments

If you freelance or are self employed, chasing up invoices can be time-consuming and frustrating. A good way to make some extra money out of negligent clients is to implement an interest charge on any late payments. That way, your clients will be more inclined to pay you on time and if not, they’ll have to pay extra.

39. Remortgage to avoid loyalty penalties

Many banks and mortgage lenders charge a ‘oyalty penalty to people who stick with the same deal after their fixed term expires, so many people shop around for a cheaper deal. You can find out more about the loyalty penalty charge here.

40. Implement a no-spend day

In an age where we have our digital cash at our fingertips, it’s very easy to spend every day and go over budget. However, if you implement a strict no-spend day once a week, you’ll may be able to save up instead.

41. Earn more than you spend

A good habit to get into is to focus on earning more than you spend. That way you’ll never be left in a tricky financial spot and you may have left-over income to use each month. You can work out how much you earn vs. how much you spend each month with our easy budget planner. You might also check what you're earning on savings and compare rates.

42. Be tactical about shopping online

If you have an account with an online retailer, try leaving items in your basket for 48 hours or more. Often, the retailer may send you a discount code to close the sale.

43. Rent or holiday-let your spare room

If you want to earn extra income with little effort, you could rent out your spare room, providing you have enough space and can cope with someone else living in your home. Make sure you fully understand any tax implications first. 

44. Remove your card from digital wallets

Spending on credit cards and store cards can easily snowball, resulting in expensive interest payments if you’re unable to clear the balance in full. Limit the temptation to spend by removing credit cards and store cards from your purse or digital wallet. Making it that little bit more difficult to spend may help to remove the temptation.

45. Turn off electrical appliances when not in use

Being savings-savvy around the home can free up some money over time and allow you to save more. Even simple tricks like turning appliances off at the wall when they’re not in use will save a little on your energy bills.

46. Put on an extra layer - or turn down the thermostat

Don’t rely on your heating as soon as the temperature drops by one degree. Reach for a jumper instead and you’ll thank yourself when you get your bill later. Even turning down the thermostat from 22°C to 21°C can save the average UK household up to £90 a year, according to the Energy Saving Trust. 

47. Have cold showers in the summer

During the hotter months of the year, you can save some pennies by opting for a cool shower over a hot one. Many people even find it much more refreshing and invigorating in the heat.

48. Invest in solar

While the initial outlay of investing in solar might be high, over time, they can reduce your energy bill and you might be able to sell electricity back to the grid. With many organisations looking to champion sustainability, you may even be able to get a grant for your investment. Contact your local authority to find out more.

49. Invest in a log burner

Similar to solar, a log burner can help cut winter gas bills. In some areas, you’ll need a DEFRA‑approved stove or authorised wood. Used correctly, it can be a cost‑effective and cosy way to heat your home.

50. Make sacrifices where you can

Knowing how to save often comes down to common sense and self-control. There are some sacrifices that can be made which may seem difficult at first, but just require a period of adjustment. For example, by avoiding buying your Friday night bottle of wine, you could save around £7 per week, which is £364 a year.

When it comes to saving money, organisation is key. The next set of budgeting ideas show simple ways to keep track of your spending and make the most of what you have coming in each month, especially if you’re aiming to save money on a tight budget.

51. Schedule a regular financial admin day

A regular financial admin day gives you the time you need to review your finances and get things in order. If you’re self-employed, this is also a good time to update your income records and ensure you’re ready for the next date in your self-assessment calendar.

52- Set out your budget

Having a good budget plan is non-negotiable for savers. In short, your budget plan should set out expenses, income, the amount you are able to spend, savings expectations and details of any debts you have.

53. Boost your savings with extra income

For those on a tight budget, finding ways to earn more can make it easier to save. From freelancing to online gig-style work, there are plenty of side hustles that can strengthen your income.

54. Pay off any debt

Based on interest you may accrue from credit card debt and loans, it could be more beneficial for you to pay off your debt before you start to save. 

55. Set savings goals

If you’re worried about staying motivated, set yourself a goal of saving a specific, realistic amount of money every month. It’s also wise to create some long-term saving goals, too. For example, “I want to save £2,000 in six months for a family holiday” or “I want to pay off £3,000 in debts by the end of the year”. Once you ring-fence your savings for a specific purpose, you’ll be less likely to spend the money on other things.

56. Use online banking

While you don’t want your savings to become an obsession, it can be motivating to regularly check the amount in your savings account. Online banking makes this quick and easy. You can top up your savings from the comfort of your home, so building your savings pot becomes easier

57. Be aware of your online safety

In an age where hackers and scammers are only becoming more sophisticated, online safety is paramount. Ensure that you’re doing all you can by browsing in incognito mode, checking the URLs of each site you visit and never clicking on links in suspicious emails. You don’t want to lose your hard-earned savings to cyber criminals.

58. Use budgeting apps

There’s a vast selection of budgeting apps available, with each one offering a different service to help you save. For example, there are apps that find wasteful subscriptions and ones that automatically accumulate your spare change by rounding up your transactions and saving the difference.

59. Make a rainy day fund your priority

With a rainy day fund is to cover your expenses should the worst happen, such as an injury or job loss. For that reason, most experts recommend saving enough to cover three to six months of bills and outgoings.

60. Take advantage of tax reliefs

The government offers various reliefs that can help your money go further. For example, pension contributions get tax relief. Check the rules so you know what you can claim.

61. Pay yourself first

By automatically contributing to your savings account every payday, you’ll ensure that your savings are prioritised and that you're used to managing your spending minus your monthly savings amount. It'll also prevent you from splurging on an unnecessary purchase. With the Automated Savings Plan from Raisin UK, you can set up a standing order to have your chosen amount paid into an easy access savings account each month.

62. Take the 50/30/20 approach

A manageable approach to saving, the 50/30/20 approach suggests that every time you get paid, 50% should go on living expenses, 30% on fun things you want to do or buy, and the final 20% on savings. This allows you to have fun and save without compromising on your lifestyle.

63. See a financial adviser

If you have a lump sum or you’ve recently come into money, you might understandably feel overwhelmed at the range of options available to you. It could be an idea to book an appointment with a financial adviser, who will be able to offer savings advice tailored to your needs.

64. Adapt your approach when your circumstances change

Some things in life can’t be planned for, such as your car breaking down or an appliance malfunctioning. In these circumstances, don’t feel bad about adjusting your savings so you’re not going short on essentials. Conversely, if your income goes up, you might adjust your savings to put a little extra away each month.

65. Keep a loose change jar

A money-saving- tip as old as time itself, throwing all of your loose change into a jar can accumulate a surprisingly big amount when you empty it. You could also have fun with family and friends, implementing  charges around the house – like a swear jar – to establish a joint savings pot.

After looking at ways to cut back on everyday costs, it’s worth thinking about where your savings actually sit. The right savings account can help you build your pot faster and achieve your financial goals.

66. Compare savings accounts online

Savings accounts are just like any other product, each subject to their own terms and offering their own perks. You can easily compare savings accounts online to ensure that you find the right one for you.

67. Don’t always stick with high street banks

While high street banks are the most well-known, that doesn’t necessarily mean that they offer the best rates or customer service. In fact, relatively new challenger banks have recently scored higher in terms of customer satisfaction.

68. Start small if you’re saving on a tight budget

While saving might seem impossible for those on a smaller budget, it can be done. Certain types of savings accounts allow you to start saving with a small initial deposit requirement so you can save at your own pace. Building good habits can lead to higher savings overall.

69. Participate in savings challenges

Savings challenges, such as the 365-Day Money Challenge, offer a more casual, fun way to save. With this particular challenge, you save 1p on the first day of the year, 2p on day two and so on until you save £3.65 on the last day. Saving like this will give you £667.35 a year, just in time for Christmas (more on that below).

70. Don’t expect overnight success

There’s no simple answer if you’re wondering how to save money fast. When you open a savings account with the intention of growing your money, you should expect to be in it for the long haul. It’s important to be realistic about how long it takes to save and avoid putting any undue pressure on yourself.

71. Plan ahead for Christmas

Christmas is an expensive time of year and can often leave you struggling throughout January. However, this doesn’t have to be the case if you can start saving early enough. For example, if you start saving for Christmas by putting away £100 a month from January, you’ll have £1,200 to spend on your loved ones in time for Christmas. 

72. Use a spend-what-you-load service

If you’re worried about your self control when it comes to saving, you could use prepaid cards for your shopping and groceries. That way, you’ll have a set limit that you’ll be physically unable to exceed.

73. Find a tax-savvy savings account

It’s well worth doing your research in terms of the different savings accounts available to you. For example, with a cash ISA, you can save up to £20,000 per tax year, completely tax free. This limit is set to reduce to £12,000 from April 2027 for under 65s, but savers may be able to use the remaining £8,000 in other types of ISAs.

74. Try a no-access savings account

If you’re worried you’ll be tempted to make withdrawals from your savings account, one option is a locked savings account. This type of account locks your money away for a specific period of time, normally six months to five years, and typically offers competitive rates of interest. A fixed rate bond works in this way.

75. Choose a savings account that restricts access to your cash

Some savings accounts allow you access to your cash but with certain restrictions, such as notice periods. This means you have to give your provider a set amount of notice – such as 90 days – before you can make a withdrawal. This is how a notice account works.

Choose from a range of competitive savings accounts from our UK partner banks and building societies. With Raisin UK, you can easily diversify and combine flexible easy access savings accounts with notice accounts and fixed rate bonds – all managed through one secure platform. Plus, eligible deposits with UK-regulated banks are protected up to £120,000 per person, per bank, by the Financial Services Compensation Scheme.

Here’s how to open a savings account in three steps:

1. Open your free Raisin UK Account: Register online in just a few clicks.
2. Choose a savings account: Log in to your Raisin UK Account to open an account from one of our partner banks.
3. Start saving: Transfer your chosen amount to your Raisin UK Account. Our secure online banking platform gives you full visibility.