The traditional concept of having a five-year life plan is becoming a thing of the past for many Britons. New findings indicate that 70% of UK residents are ditching long-term goal-setting, with a significant portion preferring to live in the moment.
It seems the trend is split across generations; 59% of Gen Z and 41% of Millennials still prefer structured planning, while only 25% of Gen X and an even smaller 14% of Boomers maintain such plans.
However, confidence among Brits in achieving their ambitions remains undiminished, especially regarding finances.
A study carried out by First Direct shows 38% are confident in achieving their financial goals without a plan because of their motivation and determination to succeed.
And 37% are optimistic because they are saving and investing regularly. Likewise, 27% feel they can tick off their targets because they can easily adapt to changing circumstances.
Commenting on the findings, Laura Turner, the creative behind Thrifty Londoner, remarked: “Five-year plans can feel outdated in today’s fast-paced world. Many people feel that flexibility is more important than sticking rigidly to a long-term plan.
“However, having some structure can help you stay focused and motivated, even if you adapt your goals along the way.”
Millennials, with a whopping 82%, are the most content with their progress towards their five-year goals. The top goal is saving for retirement (33%), while travel aspirations makeup 29% of their plans.
A quarter (27%) aim to achieve financial independence in the next half-decade, and 21% are focusing on stepping onto the property ladder.
Carl Watchorn, head of banking at First Direct, who commissioned the study, said:”When it comes to finances, we understand there is no ‘one size fits all’ approach to goal setting.”
“We’re here to support our customers make the most of their finances, providing a range of tools to help with this, including educational resources on our website, and free, personalised support from our team of Money Coaches,” he adds.
“We recommend people speak to their bank if they need help with planning their finances for 2025.”
