Brits have been warned that millions could be losing £122 overnight due to a savings threat. New analysis from Fidelity International shows that, in 2025, Brits lost almost £7 billion to inflation while they slept.

Data shows that, for most savers, returns don't keep pace with inflation, which rose from 3.2% to 3.4% in December. The average interest rate on easy-access savings accounts (the most popular type) was just 1.94%, according to Bank of England data. Fixed-rate savings performed better, with an average rate of 3.56%. Fidelity's analysis estimates that savers earned about £45.6bn in interest in 2025, an average return of 2.43%. However, due to inflation, the real value fell by about £17.6bn. With adults spending 38% of their time asleep, almost £7bn of purchasing power was lost while people slept - around £122 per adult over the year. Marianna Hunt, personal finance specialist at Fidelity International, said: "Inflation is a silent threat to saverswith many people seeing the real value of their cash go backwards.

"With inflation rising again at the end of the year and remaining above target, our analysis underlines how even relatively modest inflation can continue to erode savings when returns on cash fail to keep pace."

Brits can put their money in one thing to ensure they swerve this inflation threat. Research shows that investing in stocks for 10 years will beat inflation 95% of the time, compared with just 58% for someone saving in cash.

The MSCI World Index returned around 13% last year. If a quarter of household cash savings (£470bn) had been invested, Fidelity estimates that savers' money could have grown by £44bn even after accounting for inflation.

Marianna Hunt added: "Holding some cash is essential. For most people, having three to six months' worth of essential spending in cash provides an important safety net, and many retirees sensibly hold larger cash buffers to manage short-term needs and market volatility.

"The risk comes from holding too much cash for too long. As our analysis shows, when savings rates fail to keep pace with inflation, large cash balances can quietly lose value over time - potentially undermining long-term financial security."

The expert said that when money is invested, it has the potential to keep growing even while you sleep - working in the background, rather than quietly losing value to inflation.