Savings and investment levels in the UK are set to increase, according to the findings of Alliance & Leicester Savings & Investments’ latest wealth tracker index. People are planning to increase the amount they save to nearly double the amount they did a year ago (£232 a month on average, compared to £123 a year ago).

Investment confidence is also increasing, with stock market returns improving, people are looking to invest just over £150 a month on average – this compares to just £23 a month this time last year.

Sarah Ennion, Product Manager for Investments at Alliance & Leicester commented: "It’s encouraging to see that people are not only getting into the habit of putting money aside on a monthly basis, but are also planning to increase the amounts they save and invest."

"There are some great rates available at the moment and consumers can reap real benefits from putting some of their cash by each month. The upturn of the stock market has undoubtedly had a positive effect on confidence."

As part of its quarterly study, Alliance & Leicester asked a GB representative sample of 2,000 people what their level of disposable income was each month, and from that figure, how much they plan to save and invest.

• Savings
  The gap in the amount men and women plan to save has grown, with men now planning to save as much as 43% of their monthly disposable income (£377), compared to the 32% for women (£82). Year on year, savings are set to increase by more than £100, to £232 per month.
• Investments
  The findings show Britons plan to invest more than six times more than in January 2004 - £153 compared with £23. Men plan to invest £288 per month, 32% of their disposable income, compared to £35 in 2004. Women plan to invest £15 per month, almost 6% of their disposable income, compared to £9 in 2004.
• Regional Findings
  People in the West Midlands are amongst the biggest savers, they plan to tuck away as much as £164 each month, compared with residents of East Anglia who only plan to save £22 each month. The Scots plan to save £107 each month.

Those living in the South West are putting the most faith in the stock market, they plan to invest £41 each month – almost six times more than the average £7 residents of East Anglia plan to invest. The Scots plan to invest £37 each month.