This beginner's guide very briefly explains what investing is, the difference between saving and investing, and why younger generations in the UK are starting to invest earlier than ever. Learn about the power of compound interest and how to get started.
Investing is simply this: putting your money to work so it grows over time. It’s not a personality type or a measure of your IQ. Anyone can invest, even with a small amount of money. Instead of sitting in the bank, your money is used to buy assets (like shares, bonds, or funds) that will ideally increase in value over time.
Savings refer to the money you keep safe and accessible when you need it. Investing refers to the money you want to grow over the long term. In the UK, this distinction matters more than ever, because in 2026, even good savings accounts struggle to keep up with inflation. Basically, if inflation is at 2.5% and your savings account pays 1% interest, you’re losing 1.5% a year while doing everything right.
I’ve spoken about compound interest in great detail on this blog…because it’s just that great! Imagine investing just £25 per month for 30 years:
It’s the same £25, with massively different outcomes. The longer you invest, the more interest you earn on your interest.
Younger Brits (aged 18-34) are almost twice as likely to invest than older generations. Not because they love finance, but because this generation has realised that savings alone isn’t enough anymore. On top of that, investment platforms are much easier to use than ever before.
The barriers that existed twenty years ago have fallen away. You don’t need financial knowledge, an expensive advisor, or even “proper money” to get started. Stocks and Share ISA means you can invest from as little as £25 per month (and up to £20,000 per year) without losing a penny to HMRC. Long-term wealth building finally feels achievable for young adults, and it’s about time.
Start your free one month trial and see how Count can help you reach your goals.