SME IT and communications companies save the most amount of money in their business savings accounts, with the average balance standing at £843,000, according to a new report.
Research by Hampshire Trust Bank has revealed that IT and communications is the only sector to have increased its business savings balances since the run-up to the EU referendum.
When asked why they planned to increase the amount held in business savings accounts, 75% of IT and communications SMEs said they were building a cash buffer, higher than the national average of 49%.
SMEs in the retail sector invested the highest portion of their funds, saving 74% in business savings accounts, compared with the national average of 52%.
SMEs in the legal sector held the lowest proportion of total funds in savings (38%).
Charities experienced the biggest fall in business savings (-69%), followed by accountancy firms (-39%) and retail SMEs (-31%).
Stuart Hulme, director of savings at Hampshire Trust Bank, said: “Our research reveals the sector differences when it comes to the amount being put into savings accounts.
“It is encouraging to see that retail, accountancy and architect SMEs are confidently planning for the future by placing the majority of their total funds into savings.
“Rather than stockpiling cash in current accounts, SMEs should consider the opportunities available to make the most out of their hard-earned cash.
“It is important for businesses to shop around for a savings account that provides a better rate of return and helps them build for the future.”
Table of savings data:
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