- Research from Santander shows today’s student is more likely to spend money on going out for brunch than pot noodles1
- One in five students are teetotal and over half have a gym membership (56%)
- To finance their spending 40% have term time jobs and over a third rely on money from family
As thousands of students open their results this August and find out what the future holds, Santander, the largest provider of new student current accounts2, has uncovered the shifting financial priorities of those at University today.
Research from the bank shows that today’s students are more likely to go out for brunch (68%) than to eat pot noodles (65%), while a quarter (25%) visit a coffee shop at least once a week and more than four in ten use Deliveroo (or a similar online delivery service) at least once a fortnight.
The results also suggest a trend towards healthy living, with one in five students (20%) opting for a teetotal lifestyle, not drinking either at home or while out, and fresh fruit (91%) more likely to be on the shopping list than chips (87%). Over half (56%) are spending money on a gym membership and one in two (50%) buy avocados – with 17% purchasing them at least once a week. More than two fifths (44%) actively look for discounted items to keep their spending in check.
Hetal Parmar, Head of Banking & Savings, Santander said: “Our research shows today’s students are choosing to spend their money very differently to previous generations. Far from the stereotypical student staples of Pot Noodles and baked beans, students are instead choosing to spend on health and wellbeing. For many, starting university is a first step to financial independence – so careful money management, getting the right support from their bank and value from their bank account can be an important part of making the most of student life.”
To finance their spending, one in four (40%) students have a part time job during term time and 45% work during University holidays. However, over a third (37%) rely on money from parents/family, while 13% have borrowed from a loan company and 8% have signed up for a credit card.
Most (85%) students have a student bank account with the top reasons for their choice of account being: the ‘perks’ on offer; the amount of overdraft available and; parental recommendation.
The Santander 1|2|3 Student Current account comes with a free four year 16-25 Railcard allowing students to save a third off standard rail fares, benefitting the 87 per cent of students using rail travel each term. The Railcard is provided in partnership with The Rail Delivery Group.
The account is available online and to all students or school leavers taking up higher or degree level apprenticeships. Other benefits and features tailored for students and apprentices include:
- In-credit interest of up to three per cent on balances of £300-£2000;
- Access to exclusive 1|2|3 World offers, such as 30 per cent off travel insurance, as well as up to 15 per cent cashback at major retailers;
- A contactless debit card and access to Apple Pay, Android Pay, Samsung Pay, Fitbit Pay and Garmin Pay;
- Interest and fee-free arranged overdraft of £1,500 in the first three years of study, £1,800 in their fourth year and £2000 in their fifth year (if they continue with their studies);
- Up to 15 per cent cash back on debit card spending at major retailers and access to excusive 1|2|3 World offers, such as 30 per cent off travel insurance; and
- Free services to stay on top of finances, including online and mobile banking as well as SMS and email account alerts.
Since 2007, Santander Universities has invested £80m in supporting UK students and universities. The bank supports higher education with a number of schemes aimed at improving access to education, entrepreneurship and employability. Santander Universities has 86 direct UK University relationships and over 1,200 globally.
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The information contained in our press releases is intended solely for journalists and should not be used by consumers to make financial decisions.
Notes to Editors
- Research undertaken by OnePoll on behalf of Santander UK in June 2019 - sample 1,000 UK University students.
- Santander was the largest provider of new student accounts in 2018, taking a 33% share of the market. Source: CACI’s CSDB, Jan - Dec 2018.
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Santander UK is a financial services provider in the UK that offers a wide range of personal and commercial financial products and services. It has brought real competition to the UK, through its innovative products for retail customers and relationship banking model for UK SMEs. At 31 December 2018, the bank has c23,800 employees. It serves around 15 million active customers, via a nationwide branch network, telephone, mobile and online banking; and 64 regional Corporate Business Centres. Santander UK is subject to the full supervision of the Financial Conduct Authority (FCA) and the Prudential Regulation Authority (PRA) in the UK. Santander UK plc customers’ eligible deposits are protected by the Financial Services Compensation Scheme (FSCS) in the UK.
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