Mid-year money MOT

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• Redirecting just £45 a month - equivalent to everyday spending on things like meals out or takeaways - could make a significant long-term difference
• Small mid-year financial tweaks can help build momentum ahead of year-end
• Standard Life shares a simple six-point mid-year money MOT checklist

With the first half of 2026 behind us, now is an ideal moment for households to pause, take stock and make small adjustments to their finances while there is still time to act. The retirement specialist Standard Life says a mid-year check-in can be just as powerful as a New Year reset - helping people build momentum and feel more in control of their financial future.

While ongoing cost-of-living pressures, rising bills and wider geopolitical uncertainty continue to shape financial decisions, the mid-year mark offers a useful opportunity to reset and refocus. Even small, consistent changes can build into something much more meaningful over time. Standard Life calculations show that contributing an additional £45 a month to a pension - roughly equivalent to the average spent on eating and drinking out each month¹ - could build into an extra £42,000 in retirement savings over the long term². Importantly, this isn’t about cutting out the things people enjoy, but recognising how small amounts, if redirected occasionally, can make a significant difference over time.

Making small changes now can build momentum

Even relatively modest adjustments can start to make a difference, particularly when they are sustained over time. A mid-year check-in is less about making big, immediate changes, and more about identifying where small tweaks could help improve financial resilience and long-term outcomes. For example, the £45 a month set aside each month could begin to build in a number of different ways:

• Building a cash buffer: Saving £45 a month into a best-buy easy access cash savings account earning 4.5% interest could build to around £550 over a year, including a modest amount of interest – helping to create a useful financial cushion. Assuming 2% inflation, that might have a real value in today’s money of £540 after a year. 
• Investing for the future: Putting the same amount into a Stocks and Shares ISA, assuming 5% investment growth and a 0.75% annual charge, could grow to a similar level of around £2,997 after five years, although returns are not guaranteed and values can go up or down. In today’s prices, it might be worth around £2,726.
• Boosting pension savings: While building short-term resilience through cash savings or ISAs is important, pensions can play a particularly powerful role over the long term, thanks to tax relief and the potential benefits of compounding. Someone starting work at age 22 on a salary of £25,000 and making minimum auto-enrolment contributions (5% employee, 3% employer) could build a retirement pot of around £210,000 by age 68, in today’s prices. However, increasing contributions by an additional £45 a month, rising by 2% each year in line with inflation, could grow this to around £252,000 allowing for 2% inflation and 5% investment growth. That’s an increase of approximately £42,000 into your pension pot, simply by making a small but consistent adjustment over time.

Mike Ambery, Retirement Savings Director at Standard Life plc, said: “The halfway point in the year is a natural moment to pause and reflect on how things are going financially. For many people, the past few months will have been shaped by higher costs and competing priorities, so it’s no surprise if plans haven’t quite gone the way they expected. Real life isn’t linear – and saving for the future has to work around the ups and downs of everyday life. The important thing is recognising that it’s not too late to take action. A mid-year check-in gives people the chance to reset, build momentum, and take small steps that can make a meaningful difference over time.

“One way to think about it is like an MOT for your finances. It’s not about changing everything overnight – it’s about stepping back, checking what’s working, and making a few adjustments so you feel more confident about where you’re heading. Whether it’s building a cash buffer, investing through an ISA, or boosting your pension, there are different ways small amounts can be put to work. While each has its role, pensions can be particularly powerful over the long term, especially when you factor in tax relief, employer contributions and potential investment growth.

“It’s not about being perfect or cutting out everything you enjoy, but finding a balance that works in real life. By staying engaged and making small, manageable changes, people can feel more confident about moving towards the future they want.”

Mike’s mid-year money MOT checklist

1. Check the basics – what’s coming in and going out: “Start with the fundamentals. A quick look at your accounts, bills and everyday spending can help you understand where 
your money is going right now – and whether anything has crept up without you noticing.

2. Look under the bonnet – are your habits still working for you?: “A lot of spending happens out of routine, especially on convenience. That might be absolutely fine, but it’s worth asking whether it still reflects what matters most to you. It’s about making sure your money is working around real life, not just habits.

3. Check your fuel levels – are you setting enough aside?: “Saving doesn’t need to be dramatic. Even small, regular amounts can help build resilience over time. What matters most is finding something manageable that you can stick with and build into your routine.”

4. Test the engine – is your money working as hard as it could?: “It’s worth thinking about where your money is held, whether that’s cash savings, investments or pension contributions. The key question is whether it’s working in a way that supports your goals and helps you move forward with confidence.”

5. Check your direction – are you still on track?: “A mid-year check is also a good moment to look ahead. Even a quick review of your pension or longer-term savings can give you a clearer sense of where you stand and what your future might look like.”

6. Plan the next stretch of the journey: “Finally, think about one or two simple actions you can take before the end of the year. It doesn’t need to be perfect - just realistic. Small steps now can build momentum and help you feel more in control of your financial future over time.”

ENDS

Notes to editors

Note

1: Family Food FYE 2024 - GOV.UK

2: *Calculations assume the following:

Calculations are intended only for the sole purpose of providing an illustration regarding the projection of savings and pensions. They should not be used with the intention to give an accurate representation of real-world outcomes. Figures allow for 2% inflation.

About Standard Life 

Standard Life is a retirement specialist focused entirely on retirement saving and income. We are proud to manage around c£317bn in assets on behalf of our 12 million customers, and we champion the belief that everyone's journey to and through retirement can be better. 

With our focus entirely on retirement savings and income we want to be the business that people trust to guide their retirement journey, helping our customers achieve better outcomes and greater financial security in later life. 

As a FTSE 100-listed group we are using our size, expertise and influence to shape the world our customers will retire into, and are committed to helping three million more customers by 2035, take action towards a better retirement.  

Standard Life is a responsible investor with a clear commitment to supporting a more sustainable future. The Group has achieved its net zero goal across its emissions for 2025 and is working towards net zero investment portfolios by 2050 or sooner.

Standard Life is recognised as a leading employer, with long-standing accreditation as a Living Wage Employer, Living Pension Employer and Carer Positive Exemplary Employer and in 2025 became one of Britain’s Most Admired Companies in 2025.