Generation gains

A spotlight on financial empowerment across life stages and ages

Digital finance is a powerful tool for supporting prosperity, but not everyone is equally able to turn access into meaningful financial progress.  

This Spotlight report explores how financial empowerment – having the confidence, capability and control to make informed financial decisions – varies across different life stages and age groups in the UK. Drawing on insights1 from Lloyds Banking Group’s Consumer Digital Index² this report examines how people use digital tools³, including AI, and how that use appears to be associated with financial behaviours, confidence and outcomes. 

The findings focus on digitally engaged adults and should be considered alongside the wider Consumer Digital Index, which explores digital access, capability and inclusion across the UK. This Spotlight does not assess digital access or inclusion directly. 

Key findings

Context and methodology

Exploring insights by generation

Our evolving analysis

Welcome to our first Spotlight report

"Life doesn't follow a single path - and neither does financial empowerment. Digital tools can help people cart their own course." Jas Singh OBE, CEO Consumer Relationships at Lloyds Banking Group

For more than a decade Lloyds Banking Group’s Consumer Digital Index has helped us understand how people are using digital tools in everyday life. More recently, our Lives empowered, a nation empowered report looked at what financial empowerment really means – and why confidence, support and access to the right tools matter and can enable better financial outcomes. 

This Spotlight brings those ideas together. It looks at how people experience financial empowerment at different stages of life, and how digital tools can help them feel more confident, more informed and more in control of their money as their .needs, responsibilities and priorities change over time  

What comes through clearly is that financial empowerment does not look the same for everyone. Someone starting out in adult life may need help building confidence and healthy money habits. Someone supporting a family, managing a mortgage or dealing with competing pressures may need tools that help them stay on top of things. Later in life, it may be about maintaining independence, security and trusted support.

Read the full foreword

    • This Spotlight draws on insights from Lloyds Banking Group's Consumer Digital Index (CDI), which combines behavioural and survey data to explore digital engagement and financial capability across the UK. The findings in this report are based on a nationally representative online survey of 5,000 digitally engaged UK adults (i.e. people who are online so are able to complete an online survey), conducted between 3rd and 28th July 2025. 
    • The analysis explores how financial empowerment, digital tool use, AI adoption, confidence and financial behaviours vary across different generations and life stages and how digitally engaged people use digital tools in practice to support financial behaviours and outcomes. It should be interpreted in that context and does not constitute an assessment of digital access or inclusion nor does it supersede the insights provided by the Consumer Digital Index. Access, capability and inclusion remain key areas of focus for the Consumer Digital Index, which provides a broader view of how people engage with digital tools across the UK. 
    • Generational references are used as a contextual lens to explore how financial needs, priorities and behaviours may change throughout life. They should not be interpreted as fixed characteristics or labels applied to individuals.  
    • Findings are based on self-reported survey responses and describe observed patterns in the data. Relationships discussed in this report should not be interpreted as evidence of causation. 
    • While digital tools are increasingly part of everyday financial life, traditional providers and human support continue to play an important role for many people. This is particularly important for people who are less digitally engaged or who choose to manage their finances in other ways. 
    • See footnotes for more information on data and methodology 

Key findings

Financial empowerment looks different at every stage of life, and so does the role digital tools and AI play in supporting it. The analysis reveals: 

  • Younger adults are leading the UK's AI finance revolution: more than three-quarters (76%) of 18–24-year-olds say they have used AI for personal finance, making them the country's most enthusiastic adopters. 
  • Confidence in digital money management increases with age among digital tool users: confidence rises from 64% among 18–24-year-olds to 85% among 65–74-year-olds. 
  • Older generations are challenging stereotypes about technology: 47% of 55–64-year-olds and 35% of 65–74-year-olds say they have used AI for personal finance 
  • AI use evolves as people's financial lives change: 25–34-year-olds are the most likely generation to say they have used AI for budgeting and planning (64%), 35–44-year-olds are the most likely to say they have used it for mortgage advice (28%), while 55–64-year-olds are the most likely to say they use it for insurance comparisons (57%). 
  • People seek financial support in different places: younger generations are more likely to say they would consider using social media platforms when seeking financial advice, while older generations place greater value on traditional sources e.g. banks
See a generational snapshot

Financial empowerment pathways5

The findings in this report point to four broad, overlapping pathways that help explain how financial empowerment appears to evolve across the course of people’s lives. 

These pathways are intended to provide context rather than categorise people. They are illustrative and directional, not fixed labels. Individuals may move between them, or experience aspects of several at once, depending on their circumstances, confidence, financial priorities and support needs. 

Read alongside the generational findings, the pathways help illustrate how the role of digital tools can shift over time – from exploration and action to progress, confidence and control. The pathways are defined as follows: 

Exploration

Building understanding and confidence 

At this stage, digital tools can support access, discovery and learning. Exposure to digital finance, social platforms and AI may be high, but financial behaviours, confidence and trust are still developing.

Action

Turning engagement into everyday habits

Digital tools are used more actively for day-to-day money management, including budgeting, saving, credit-building and planning. The opportunity is to help people turn engagement into consistent financial behaviours. 

Progress

Using tools to support bigger financial goals 

Financial decisions become more complex, and digital tools become more embedded in planning, borrowing, saving, debt reduction and goal-setting. The opportunity is to support informed decisions and sustained financial momentum. 

Confidence and control

Maintaining security, trust and independence 

Digital tools support oversight, stability and confidence, but use may become more selective. Trust, security, accessibility and human support become increasingly important, particularly for more complex or sensitive decisions. 

Exploring insights by generation

The findings below explore how financial empowerment is experienced across different generations and age groups, highlighting the distinctive opportunities and challenges that emerge at different stages of life.

  • Tentative digital trailblazers

    At a glance

    • Most likely to use AI and emerging technologies. 
    • Among the least financially confident generations. 
    • Comfortable using digital tools, but less confident making financial decisions. 
    • Provide education, guidance and confidence-building support that helps turn information into understanding.

    Financial empowerment among 18-24s is still emerging. This group shows a high level of exposure to digital finance, social platforms and AI, but this does not yet translate into the same levels of financial engagement, knowledge or confidence seen among other generations.

    Digital tools and AI play a visible role in the ways that younger adults explore financial informationand manage money. However, financial habits and behaviours are still developing alongside key life-stage transitions, including education, work and growing independence.

    In terms of pathways, this group reflects exploration. At this stage, exposure to digital finance is high, and digital tools support access, discovery and learning. However, engagement, confidence and financial outcomes are still developing.

    Survey results show younger respondents are highly engaged with their finances, confident using digital tools, likely to seek financial advice from banks, but generally trust traditional financial providers more than AI-generated financial advice

    What's shaping the younger Gen Z profile

    • High level of exposure to digital finance, AI and social platforms 
    • Financial engagement, habits and confidence are still developing 
    • Friends, family and online sources are important influences 
    • Digital tools are beginning to support saving and spending behaviours 
    • Life-stage transitions shape day-to-day money management and longer-term priorities 

    Opportunities for younger Gen Z

    Opportunities
    • Build engagement alongside exposure, recognising that digital access alone does not drive behaviour 
    • Build practical financial education around real-life decisions 
    • Support the development of financial confidence alongside high levels of digital engagement  
    • Support the early development of strong day-to-day money management habits  
    • Provide trusted guidance within the digital channels younger adults already use 
    • Strengthen understanding of AI-generated financial information and how it can be used safely 
    • Design engaging, intuitive and accessible experiences that support informed financial decisions and positive behaviours 

  • Emergent money builders

    At a glance

    • 64% use AI for budgeting and planning – the highest of any generation. 
    • Strong users of savings tools, budgeting features and financial planning apps. 
    • Using technology to build habits and work towards financial goals. 
    • Personalised tools could help this cohort act on insights and build positive financial habits. 

    Financial empowerment among older Gen Z and younger Millennials is characterised by growing financial responsibility and more purposeful money management. Digital tools and AI are increasingly becoming part of how this group budgets, builds credit, saves and plans ahead. 

    Compared with younger adults, the pattern shifts from exploration to more consistent action. However, as financial decisions become more complex, confidence does not always keep pace with usage. 

    In terms of pathways, this group reflects action. At this stage, digital tools are more actively used to support day-to-day money management, including budgeting, saving and credit-building. Engagement is high, and digital tools are increasingly supporting practical financial behaviours, although confidence and understanding continue to develop alongside more complex financial decisions.  

    Survey results for younger Gen Z and younger Millennials show lower levels of financial engagement and confidence than the UK average, high use of AI for personal finance, preference for advice from friends, family and social media, and interest in education and training-related financial goals.

    What’s shaping the older Gen Z and younger Millennials profile 

    • Digital tools are widely used for regular money management  
    • AI usage is relatively widespread and becoming part of everyday financial decision-making  
    • Financial priorities are increasingly focused on credit building, saving and longer-term goals  
    • Digital tools are being used to support clearer visibility and control over finances  
    • There is growing interest in more engaging and interactive financial experiences 
    • Engagement is high, but confidence still has room to grow 

    Opportunities for older Gen Z and younger Millennials

    • Support more consistent financial behaviours, particularly saving and planning 
    • Strengthen confidence alongside growing use of digital tools and AI  
    • Improve transparency and understanding of more complex financial decisions 
    • Help translate high level of engagement into longer-term financial progress  
    • Design intuitive financial progression features (challenges, milestones) that directly incentivise credit building and consistent savings

  • Engaged digital achievers

    At a glance

    • Using digital tools to support bigger financial decisions. 
    • Strong focus on saving regularly, reducing debt and planning ahead. 
    • More likely to use technology to achieve long-term financial goals. 
    • Planning tools could help older Millennials achieve major milestones such as buying a home, clearing debt and building long-term wealth.  

    Financial empowerment among older Millennials shows a close association between digital engagement and practical financial outcomes. This group is using digital tools and AI to support behaviours such as saving, debt reduction, goal-setting, borrowing decisions and planning. 

    The pattern appears to reflect a move from purposeful use to more visible self-reported financial behaviours and outcomes. However, as financial decisions become more complex, trust and confidence remain important, particularly around AI-enabled support. 

    In terms of pathways, this group reflects progress. At this stage, digital tools and information are more embedded in financial decision-making, supporting planning, goal-setting and more complex financial choices. Engagement appears increasingly associated with real-world behaviours, though outcomes remain shaped by wider factors such as financial pressure, confidence and competing priorities.

    Survey results for older Millennials show high engagement with finances, extensive use of AI for personal finance, strong adoption of budgeting and planning tools, and interest in improving credit scores and financial control.

    What’s shaping the older Millennial profile 

    • Digital tools are widely used to support both day-to-day financial management and longer-term planning  
    • Engagement with finances remains high but slightly below UK average 
    • There is clear evidence of digital tools supporting practical financial behaviours, including saving and debt management  
    • AI is increasingly used to support more complex financial decisions, including borrowing and planning  
    • Digital engagement spans a broader set of financial needs, reflecting increasing financial responsibility  
    • Trust and confidence in digital and AI-enabled advice are becoming more important as complexity increases 

    Opportunities for older Millennials

    • Strengthen trust and confidence in digital and AI-enabled financial support  
    • Support saving, debt reduction, and responsible access to credit 
    • Provide clearer guidance around complex financial transactions 
    • Help sustain positive financial behaviours, including saving and debt reduction  
    • Improve transparency and clarity of digital and AI-driven insights  
    • Ensure tools help people balance immediate responsibilities with longer-term financial security 
    • Make support easy to act on when people are managing multiple financial pressures 

  • Cautious financial jugglers

    At a glance

    • Balancing debt, family responsibilities and day-to-day finances. 
    • More likely to prioritise supporting dependants and reducing debt. 
    • Strong users of tools that help manage risk and complex decisions. 
    • Joined-up support could help this group balance multiple priorities and make confident trade-offs. 

    Financial empowerment among those in the younger Gen X group is shaped by a high level of financial engagement, regular use of digital tools and a wider set of responsibilities. Use of digital tools is among the highest across the age groups.

    Many are managing day-to-day finances while also balancing debt, supporting a family, and longer-term planning. Digital tools appear to support oversight and control, although the extent to which this translates into longer-term financial outcomes varies. AI use is present for practical tasks, while concerns around scams, misinformation and trust influence how these tools are used.

    In terms of pathways, this group reflects progress. At this stage, digital tools support increasingly complex financial responsibilities, helping people balance debt, family commitments and longer-term financial goals. Digital engagement extends beyond day-to-day management towards supporting informed decisions, resilience and sustained financial momentum.

    Survey results for younger Gen X respondents show high engagement with finances, widespread use of digital tools, focus on debt repayment and supporting dependants, increasing adoption of AI financial tools, and concerns about scams and fraud.

    What’s shaping the younger Gen X profile 

    • Digital tools are widely used to support ongoing money management and financial oversight 
    • Use of credit monitoring tools is more common, suggesting a focus on maintaining financial health 
    • Financial priorities are shaped by balancing debt alongside supporting a family or dependents 
    • Digital tools are supporting day-to-day control, particularly where responsibilities are higher 
    • AI is being used in more practical, task-based contexts such as insurance and borrowing decisions 
    • Concerns around scams and misleading information are influencing how tools are used 

    Opportunities for younger Gen X

    • Support more consistent financial outcomes, particularly saving and longer-term planning 
    • Help individuals to balance competing financial priorities, including debt and household responsibilities 
    • Strengthen confidence in using digital tools for more complex financial decisions 
    • Improve transparency and understanding of AI-enabled financial support 
    • Build trust in digital tools by addressing concerns around scams and misinformation 
    • Support progression from day-to-day management to longer-term financial momentum 

  • Prepared financial planners

    At a glance

    • Retirement planning and long-term financial security become key priorities. 
    • Most likely to say digital tools have helped them manage or grow investments, pensions or ISAs 
    • High digital confidence but growing concerns about privacy and security. 
    • Older Gen X want trusted retirement, investment and pension guidance backed by clear security and communicated transparently.  

    Financial empowerment among older Gen Xers is shaped by the need to maintain day-to-day control while preparing for retirement. Digital tools are widely used and confidence among users appears to be at a relatively high level.

    There is evidence that these tools support control and, for some, longer-term planning, including pensions, investments and savings. However, AI use appears more selective, and concerns around security and privacy remain important.

    In terms of pathways, this group reflects confidence and control. At this stage, digital tools support both ongoing financial management and forward planning, particularly in preparation for later life. Engagement remains strong, but usage becomes more selective, with trust, confidence and perceived risk shaping how people engage with newer tools and services.

    Survey results for older Gen X respondents show broad use of digital financial tools, confidence managing money digitally, growing interest in retirement planning, and significant concerns about data privacy and security when using digital and AI tools.

    What’s shaping the older Gen X profile 

    • Digital tools are embedded in everyday financial management 
    • Confidence in using digital tools to manage money is relatively high 
    • Digital tools are supporting a greater sense of financial control 
    • Financial priorities reflect a balance between day-to-day expenses and retirement planning 
    • AI use is more selective and focused on practical, lower-risk tasks such as insurance comparison 
    • Concerns around security, privacy and the use of AI are influencing behaviour 

    Opportunities for older Gen X

    • Support more consistent use of digital tools for long-term financial planning, including pensions and investments 
    • Help individuals balance day-to-day financial management with preparation for retirement 
    • Strengthen confidence in using digital tools for more complex financial decisions 
    • Improve transparency and understanding of AI-enabled financial support 
    • Build trust in digital and AI tools, particularly around data security and privacy 
    • Enable more confident progression from financial control to longer-term financial outcomes

  • Controlled and confident digital managers

    At a glance

    • High levels of financial confidence, engagement and digital confidence. 
    • Use digital tools to maintain control over day-to-day finances and retirement planning. 
    • More selective in their use of AI, with trust and security shaping adoption. 
    • Would benefit from trusted, transparent guidance that helps them manage retirement confidently while maintaining control over their finances. 

    Financial empowerment among younger Baby Boomers is characterised by high financial engagement and strong confidence among those using digital tools. While use of digital tools is slightly lower than in younger groups, many report that these tools support a strong sense of control.

    Financial priorities reflect a balance between maintaining day-to-day financial stability and continuing to plan for longer-term needs, including retirement. Digital tools can support control, but use of AI is lower and more selective. Trust, security and preference for established sources of advice, such as banks or building societies, play a significant role in how this group engages with newer technologies.

    In terms of pathways, this group reflects confidence and control. At this stage, digital tools are used to support ongoing financial management and maintain a strong sense of oversight. Engagement remains high, but use becomes more selective, with trust in established sources and concerns around data privacy shaping how and when people choose to use digital and AI-enabled support.

    Survey results for younger Baby Boomers show strong engagement with finances and digital money management, limited use of AI financial tools, high trust in banks for financial advice, and a strong focus on retirement planning.

    What’s shaping the younger Baby Boomer profile 

    • Financial engagement is very high, with most actively managing their finances 
    • Digital tools are widely used, although less so than in younger groups 
    • Confidence in using digital tools is high, supporting a strong sense of financial control 
    • Financial priorities reflect a balance between day-to-day stability and retirement planning 
    • There is a strong preference for traditional sources of financial advice 
    • Concerns around data privacy and security, particularly in relation to AI, are influencing behaviour 

    Opportunities for  younger Baby Boomers

    • Support continued use of digital tools to maintain financial control in later life 
    • Help individuals balance ongoing financial management with longer-term financial planning 
    • Strengthen trust in digital and AI-enabled financial advice and insights 
    • Provide clearer, more transparent guidance for AI-driven financial insights 
    • Build on existing trust in traditional providers to support digital engagement 
    • Enable confident and secure use of digital tools, particularly for more sensitive financial decisions 

  • Human-first digital support seekers

    At a glance

    • High levels of financial confidence, knowledge and engagement. 
    • Digital tools support financial independence, but use is more selective than among younger generations. 
    • More likely to value established providers and human support when making financial decisions. 
    • Would benefit from simple, accessible digital services alongside trusted human support to help them maintain confidence, independence and financial stability. 

    Financial empowerment among people aged 75+ is characterised by very high levels of financial engagement, confidence and self-reported knowledge. Financial behaviour appears less focused on actively working towards new financial goals, suggesting a greater emphasis on maintaining financial stability, confidence, and control.

    Use of digital tools is lower than in younger age groups, although a majority still report using them to manage their finances. Those who do use digital tools report high levels of confidence and are more likely than any other age group to say these tools have improved their overall financial situation.

    Use of AI is comparatively low, while trust and human support appear to play a more prominent role in shaping behaviour. Many express a preference for established sources of advice, such as banks and building societies, and place greater value on speaking to a real person when making financial decisions.

    In terms of pathways, this group reflects confidence and control. At this stage, financial decision-making is shaped by strong levels of experience and confidence, with digital tools used alongside trusted providers and human support. Engagement remains high, but use of digital and AI-enabled tools is more selective, reflecting a preference for reassurance, trust and ease of use.

    Survey results for older Baby Boomers show high engagement with personal finances, strong confidence in financial decision-making and digital money management, low use of AI financial tools, and a preference for advice from traditional financial institutions.

    What’s shaping the older Baby Boomer profile 

    • Digital tools are used by a majority, but less widely than in younger groups 
    • Those using digital tools report strong confidence and are more likely than any other age group to say these tools have improved their overall financial situation 
    • Financial behaviour is less focused on working towards new goals and more on maintaining stability and control 
    • Established sources of advice (e.g. banks) remain highly trusted  
    • Lower use of AI is accompanied by a stronger preference for human support when seeking financial advice 

    Opportunities for older Baby Boomers

    • Support continued confidence in financial decision-making in later life 
    • Help individuals make the most of digital tools that support everyday financial management 
    • Provide accessible support for maintaining financial stability without requiring complex engagement 
    • Build on existing trust in established providers to support digital inclusion where relevant 
    • Ensure access to human support alongside digital services 
    • Develop AI and digital tools that prioritise transparency, reassurance and ease of use 

Opportunities for the future

"Milestones matter. Having access to the right support, guidance and tools at the right moment can help people feel confident and prepared when key financial decisions arise." 

The findings suggest that financial empowerment cannot be approached as a single challenge with a single solution. People's priorities, pressures and support needs change throughout life, meaning that the tools, guidance and interventions most likely to improve outcomes will often differ across life stages.

The opportunity is not simply to increase digital engagement, but to ensure that products, services, guidance and support reflect people's changing needs. By enabling individuals to access the right combination of digital tools and human support at the right time, it is possible to build confidence, support informed decision-making and strengthen financial outcomes throughout life. 

The following priorities identify where targeted action could have the greatest impact: 

Building stronger financial behaviours earlier in life

Early exposure to digital finance, social platforms and AI is already widespread among younger generations. However, access and engagement alone are not sufficient to build lasting financial confidence or resilience.

See how to make it happen

Turning engagement into sustained financial progress

Among younger and mid-life generations, digital tools and AI are increasingly supporting budgeting, saving, credit-building, debt reduction and planning. These groups suggest that digital engagement can translate into meaningful financial behaviours.

See how to make it happen

Helping more people move from control to long-term momentum

For many adults in mid-life, digital tools already support day-to-day management and financial control. However, this is not always associated with forward financial momentum.

See how to make it happen

Making trust a central design principle in digital and AI-enabled finance

Trust consistently emerges as a key factor shaping how people engage with digital tools and AI, particularly in more complex or higher-value financial decisions.

See how to make it happen

Supporting people at the key financial moments in life

The analysis highlights the critical financial moments in life, including entering adulthood, building credit, buying a home, managing family responsibilities, preparing for retirement and maintaining stability in later life.

See how to make it happen

Ensuring digital finance remains accessible, trusted and supported in later life

Older generations often demonstrate high levels of financial confidence and engagement, but digital use becomes more selective further up the age range. Trust, usability and access to human support play an increasingly important role. 

See how to make it happen

Related content

How is Lloyds Banking Group supporting and enabling financial empowerment?

Through simple digital tools, personalised insights and timely guidance, we're helping people make informed decisions every day and take small but meaningful steps toward stronger financial futures.

Financial empowerment

What is financial empowerment, and why does it matter?

8 May 2026 | Jas Singh

When people are financially empowered, they are better able to make informed financial decisions. They can spot opportunities, avoid costly mistakes, and make choices that align with their priorities and circumstances.

Read Jas's article

FAQs about financial empowerment across life stages and ages

  • Financial empowerment means having the confidence, capability and control to make informed financial decisions. It is about being able to manage money effectively, build resilience, plan ahead, act with confidence and make decisions that support long-term financial wellbeing. Digital tools, including AI, alongside trusted guidance and human support, can all play a role in helping people achieve this. Read our article on financal empowerment to find out more. 

  • Geniration gains is a Lloyds Banking Group spotlight on financial empowerment across age groups and life stages. It explores how digitally engaged UK adults use digital tools and AI for personal finance, and how confidence, trust, behaviors and support needs change through life. It uses data from the 2025 Consumer Digital Index by Lloyds Banking Group, the UK’s largest study of digital and financial capability.

  • Financial empowerment is not one-size-fits-all. For younger adults, it may mean understanding money, building habits and gaining confidence. In mid-life, it can mean managing debt, family responsibilities, borrowing and long-term goals. Later in life, it often means maintaining security, independence, trust and control.

  • The main finding is that digital tools, including AI, can be a powerful enabler of financial empowerment, but the ways people use them, and the benefits they report, vary throughout life. Younger adults are leading the adoption of AI for personal finance, while older adults often report stronger financial confidence and a greater sense of control. Together, the findings suggest that improving financial empowerment is not about a single tool or solution. Instead, people may benefit from different combinations of digital tools, trusted guidance and human support, delivered through the channels they use and trust most at different stages of life.

  • No. The report shows that digital access, AI use and online confidence do not automatically create financial empowerment alone. Financial confidence is shaped by experience, trust, knowledge, practical support and the ability to turn digital engagement into informed financial action. Different tools, guidance and support can help people achieve financial empowerment depending on their circumstances and goals.

  • Digital confidence can make it easier for people to manage money, compare options, access support and take action. The Consumer Digital Index finds that people who feel confident online are more likely to say digital tools save them time or money and help them feel more confident managing their finances.

  • People use AI for personal finance in different ways depending on their life stage. Younger adults are more likely to use AI frequently, especially for budgeting and planning. People in their thirties and forties use AI for more complex financial decisions such as mortgages, loans and debt. Older adults use AI more selectively, often for lower-risk tasks such as insurance comparison.

  • The report identifies five themes: financial empowerment changes through life; digital tools can support confidence and control when they are trusted and easy to use; AI is becoming part of personal finance but is used differently by age group; trust, privacy and security shape adoption; and people need timely support at key financial moments such as entering adulthood, building credit, buying a home, managing family responsibilities and preparing for retirement.

  • Younger Gen Z are high users of AI but still building money confidence. Older Gen Z and younger Millennials are using digital tools and AI to budget, save, build credit and plan. Older Millennials are using digital finance to make progress on bigger goals such as saving, debt reduction and home ownership. Gen X are balancing debt, family responsibilities and long-term planning. Baby Boomers and older adults often report high confidence, but use digital tools and AI more selectively, with trust and human support becoming more important.

  • Older generations are challenging assumptions about digital finance. Many people aged 55 and over use digital tools and some use AI for personal finance, but they tend to be more selective. They place greater value on trusted providers, clear information, data security and access to human support when making financial decisions.

  • The Consumer Digital Index finds that AI is now being used by millions of UK adults to help manage money. Common uses include budgeting, savings planning, financial education, investment research, debt management and future financial planning.

  • AI can support financial empowerment when it helps people understand their options, build confidence, make informed decisions and take practical action. The Consumer Digital Index positions AI as a potential tool for empowerment, but only when people can trust the information, understand its limits and access human support when needed.

  • The main risks are inaccurate, outdated or generic information, a lack of personalisation, privacy and security concerns, and over-reliance on tools that are not regulated financial advice. The Consumer Digital Index stresses that AI tools should be used carefully and that people should have access to trusted guidance and regulated advice where appropriate.

  • Digital financial literacy means having the skills, confidence and judgement to use digital tools safely and effectively to manage money and make informed financial decisions. It includes understanding how to use online financial services and mobile banking apps, compare financial products, protect personal data, spot scams, interpret digital and AI-generated information and know when to seek trusted guidance or support.

  • Trust is central to financial empowerment. The Consumer Digital Index shows that people may be willing to use AI and digital tools for money management, but concerns about accuracy, data privacy, security and personalisation affect how far they rely on them. Trusted providers, clear information and access to human support remain important.

  • The Consumer Digital Index shows that being online and confident with digital tools can help people save time, save money, manage finances and build resilience. But digital inclusion is not only about access. People also need capability, confidence, trust and support to turn digital engagement into stronger financial outcomes.

  • The findings are based on a nationally representative online survey of 5,000 digitally engaged UK adults. The report focuses on people who are online and examines how digital tools and AI appear to support financial confidence, behaviours and outcomes. It is not a measure of digital access or inclusion. See Context and methodology for more information.

  • Generation gains identifies four broad financial empowerment pathways: exploration, action, progress, and confidence and control. These pathways are intended to help explain how financial empowerment may evolve throughout life and how people use digital tools, guidance and support at different stages. They are illustrative and directional rather than fixed categories or labels. People may experience aspects of several pathways at once, move between them over time, or follow different journeys depending on their circumstances, priorities, confidence and support needs. The pathways are designed to provide a framework for understanding broad patterns in the data, not to categorise individuals or generations.

  • Generation gains focuses on digitally engaged UK adults and explores how digital tools and AI may support financial empowerment. It does not assess digital access, digital inclusion or the experiences of people who are not online. Financial empowerment is not dependent on using digital tools. People can build confidence, resilience and control over their finances in different ways, including through trusted guidance, community support, face-to-face services and other non-digital channels. The wider Consumer Digital Index explores digital access, capability and inclusion across the UK.