Why Investing Is Better Than Just Saving: A £10,000 Example

Have you thought about investing?

If you’ve ever asked yourself whether you should be doing more with your money than letting it sit in a savings account, you’re not alone, and you’re absolutely right to ask the question. 

While saving is an important first step in building financial security, it’s just that: a first step. Keeping all your money in a bank account may feel safe, but over time, it could mean you’re missing out on significant growth. That’s why it’s important to consider investing.

The Growth Gap: Saving vs. Investing 

Let’s break it down simply. 

A typical high street bank savings account might give you interest of around 2–4% per year (it has been zero between 2009-2023 and has signs of slowing down again). Now, compare that to the historical average return of the stock market, which has delivered around 10% per year before inflation, and roughly 6–7% after inflation over the long term
(Investopedia, NerdWallet). 

Over 10, 20, or 30 years, that difference really adds up. 

For example: 

• £10,000 in a savings account growing at 3% a year could become about £13,439 after 10 years. 

• £10,000 invested with an average 8% return could grow to around £21,589 at the same time. 

That’s a big difference, and that’s the power of investing. 

But It’s Not One-Size-Fits-All 

Everyone’s life is different. Your job, your family, your goals, your values, they all play a part in shaping what kind of investment strategy is right for you. That’s why it’s really important to get advice based on your own situation. 

There are different levels of risk, and not all investments are created equal. Some people are more comfortable taking higher risks in exchange for the potential of higher returns. Others may prefer a steadier, more cautious approach. 

That’s where we come in. We work with experienced fund managers and we tailor and manage everything for you, based on what suits you. You don’t have to figure it all out on your own, we’re here to talk you through investing, and to help your money grow in the best way possible for your circumstances. 

The Long Game: Why Patience Pays 

It’s true investing isn’t without risk. The value of investments can go up and down, and there are no guarantees. But history has shown that over the long term, the market tends to recover and grow, even after downturns. 

In fact, while the 2008 financial crisis was one of the most severe and global market crashes in recent history, there have been several other significant downturns—like Black Monday in 1987, the dot-com bubble in the early 2000s, and the COVID-19 crash in 2020.
Despite these setbacks, the market has bounced back each time, often stronger than before
(Morningstar, The Times). 

That’s why investing is best viewed as a long-term game. If you give your money time and stay the course, it can pay off far more than simply leaving it in a bank account. 

Ready to Make Your Money Work Smarter?

Don’t let uncertainty hold you back from building real financial growth. Whether you’re curious about investing, want to understand your options, or need a tailored strategy, the KGJ team is here to help you move forward with clarity and confidence.

Let’s talk. Start your investment journey today.
You can reach us by calling 01384 390909, emailing enquiries@tpitdev1.uk, or completing the contact form on our website.

Prefer a face-to-face conversation? Book a free consultation with one of our advisers, online or in person.

Disclaimer: The value of investments can fall as well as rise, and you may not get back the amount originally invested. Past performance is not a reliable indicator of future results. This blog is not financial advice. We recommend that you always seek professional guidance by booking an appointment so you can receive advice based on your personal financial situation.