5.3 million Britons throwing money away, says Prudential

Fourteen per cent of people readily admit to throwing their money away, if it is made of copper.

11:23 30 November 2004

Fourteen per cent of people readily admit to throwing their money away, if it is made of copper.

Fresh research shows that while more than 225 million worth of copper coins are currently in circulation in Britain, 5.3 million people happily throw 1p and 2p coins in the bin.

Prudential points out that this is costing us millions.

"You are unlikely to chuck away a 50 pound note but that's what some people are effectively doing," laments Prudential.

On average the British consumer has cashed in more than 50 in coins at some point, and has 8.45 in change at any one time, while a quarter of people have between 20 and 50 in coinage - most of it in jars.

Men are more likely to bin their small change than women and the young are the most likely of all to put their money in the bin.

While just one 55 to 64-year-old in fifty claims to have put money in the bin, 33 per cent of young people say they have thrown away copper coins, the Prudential has found.

This is despite an estimated 6.4 million people accumulating 100 or more in coins at some point.

"It's amazing to think of the money we're just throwing away or letting lie idle," noted Hugh McKee, director of savings & investments at the Prudential.

"Whilst the individual sums may be small, they can still be put to good use.

"As a nation, we're too apathetic about money. It's the same attitude that leaves us with 107 million sitting, doing nothing, in deposit accounts. If we thought more carefully about where our money is, we could try to make it work harder for us."

But instead of putting money into savings accounts or giving it to a good cause, the Prudential found that the solution to this problem for 25 per cent of consumers is to scrap 1p and 2p coins - rounding everything to the nearest 5p.