Half a million people could lose their disability benefit under Government plans. The planned reforms will see the current disability living allowance replaced with Personal Independence Payment (PIP), a simpler allowance which is designed to be more focused. Speaking to The Telegraph, Work and Pensions Secretary Iain Duncan Smith said that the number of people [...]
The Bank of England is holding the base rate at 0.5 per cent and has decided not to extend its quantitative easing (QE) programme following a £50bn boost to the economy in February. The UK interest rate has now remained at 0.5 per cent for three years, despite high levels of inflation. Consumer Prices Index [...]
While research by the Alliance Trust suggests that an economic boost generated by the Olympics will help Britain out of recession, rating agency Moody’s is warning that any benefit will only be short term. Alliance Trust suggests that ticket sales for the event and other consumer spending on Olympic related retail products will cause a [...]
There has been a substantial increase in the number of people worried about their finances over the past six months and savings are the main area of concern. A survey by financial advice site unbiased.co.uk discovered that 47 per cent of British people are more concerned about their savings than they were six months ago. [...]
Santander UK has announced a new savings bond designed for people who want to inflation-proof their savings. The six-year Inflation Linked Savings Bond will pay the percentage rise in the Retail Price Index (RPI) when it matures, on top of the saver’s initial deposit. Savers can invest between £500 to £2 million in the bond [...]
Campaign group Save our Savers today revealed the cost to savers of the Bank of England’s decision to hold the base rate at 0.5% for the 33rd successive month. The group estimates that the low interest rate combined with a retail price index at 5.6 per cent, its highest level for 20 years, and a [...]
The Bank of England has warned that the ongoing Eurozone crisis is pushing up the cost of borrowing on wholesale financial markets. This is making it more expensive for lenders to fund mortgages and they are passing the costs on to customers by increasing their mortgage rates. “In the absence of falls in funding costs, [...]
Mortgage lending to first-time buyers soared in March, as house-buyers rushed to buy their first home before the end of the stamp duty holiday. Properties below the value of £250,000, purchased before 24 March, were exempt from the 1 per cent tax. Twenty-four thousand mortgages were approved for first-time buyers in March, a 74 per [...]
The Co-operative Bank will stop offering interest-only mortgages from next Tuesday, but the decision will not affect existing customers. A recent report by the Independent on Sunday suggested that a quarter of a million people with interest-only mortgages will reach retirement age by the end of the decade with a substantial capital debt still to [...]
A new report claims there is an urgent need for more affordable homes and says that five key housing issues are getting worse. The Housing Report published by the National Housing Federation, homelessness charity Shelter and the Chartered Institute of Housing, calls on the government to ‘get Britain building’ in order to provide the homes [...]
Homes by the sea have shown a greater price increase than inland properties, according to the latest figures from the Halifax. The price of houses in seaside towns has increased by 97 per cent over the last decade, compared with a 95 per cent increase for the whole of England and Wales. In Seaham, County [...]
The first quarter of 2012 saw 9,600 homes repossessed, the same as in the first quarter of 2011, breaking a run of year-on-year increases. According to the latest figures from the Council of Mortgage Lenders (CML), repossessions were 10 per cent higher than in the fourth quarter of 2011, when 8,700 homes were repossessed. However [...]
Chancellor of the Exchequer George Osborne has secured a key agreement allowing the UK government to regulate its banks more strictly than other EU member states. The agreement was secured in Brussels between European Union finance ministers. It allows the UK to ring-fence retail banking operations from riskier investment banking operations in order to protect [...]
The average balance in an easy access savings account soared by 18 per cent to £1,858 in the first quarter of 2012, according to the ING Direct Consumer Savings Monitor. This is the highest level since the second quarter of 2010, when the typical balance in an easy access account was £2,050. It also represents [...]
Bank customers will be able to make donations to charity at 12,000 cash machines in the UK, under changes being launched this summer. The initiative is part of the government’s efforts to boost charitable giving and follows a consultation with UK banks. ATMs owned by Royal Bank of Scotland and Bank Machine will be the [...]
Housing charity Empty Homes has highlighted a clause in many insurance policies which could leave homes uninsured if they are left unoccupied. It is estimated that there are 930,000 empty properties in the UK and while their owners may think they are covered by insurance, this clause could mean that many are actually uninsured The [...]
People who have received compensation after being mis-sold payment protection insurance (PPI) must pay tax on any additional interest on their payout. It is believed that many victims of PPI mis-selling could be underpaying tax. PPI was routinely sold alongside loans and mortgages in order to cover borrowers’ repayments if a change in circumstances meant [...]
A scheme that protects holidaymakers if their tour operator collapses has now been extended to flight-plus holidays booked online. The Air Travel Organisers’ Licensing (Atol) scheme will now protect an estimated six million holidaymakers. The scheme is designed to ensure that holidaymakers who book their holiday with an ATOL holder do not lose their money [...]
Payday loans have soared in popularity over the past few years, but consumer group Which? warns they are trapping people in a ‘downward spiral of debt’. Problems start to escalate if people are unable to pay back their loan on time, with some companies charging excessively high penalties for late repayments. Which? discovered that Quid24.com [...]
An increase in the price of gas and electricity price at the end of 2011 is estimated to have pushed 400,000 more homes in England into fuel poverty, according to the Department for Energy and Climate Change (DECC). The new projections show that 3.9 million homes in England were in fuel poverty at the end [...]
Retailer Sainsbury’s is offering a credit card with an interest rate of just 6.9 per cent on new purchases, but the card is only available to nectar card holders with good credit ratings. According to new research by the retailer, the number of cards offering a lower-rate APR over a long-term, with no introductory offer, [...]
Household borrowing soared in the decade leading up to the start of the financial crisis in 2008 according to a report by the National Institute for Economic and Social Research (NIESR) and the Resolution Foundation. Household spending, GDP and property prices all increased steadily between 1997 and 2007 but the report suggests that this growth [...]
Supermarket retailer Sainsbury’s is leading the market at the moment with a 5.9 per cent loan rate, and it has also launched a Price Promise Guarantee. The 5.9 per cent rate is available on a £7,500 loan with a three-year term, while the same loan over five years would be available at 6.1 per cent. [...]
Payday loans trapping people in debt
Payday loans have soared in popularity over the past few years, but consumer group Which? warns they are trapping people in a ‘downward spiral of debt’. Problems start to escalate if people are unable to pay back their loan on time, with some companies charging excessively high penalties for late repayments. Which? discovered that Quid24.com [...]
Turmoil in Eurozone increases mortgage costs
The Bank of England has warned that the ongoing Eurozone crisis is pushing up the cost of borrowing on wholesale financial markets. This is making it more expensive for lenders to fund mortgages and they are passing the costs on to customers by increasing their mortgage rates. “In the absence of falls in funding costs, [...]
400,000 more English homes in fuel poverty
An increase in the price of gas and electricity price at the end of 2011 is estimated to have pushed 400,000 more homes in England into fuel poverty, according to the Department for Energy and Climate Change (DECC). The new projections show that 3.9 million homes in England were in fuel poverty at the end [...]
Charities call for urgent action on housing crisis
A new report claims there is an urgent need for more affordable homes and says that five key housing issues are getting worse. The Housing Report published by the National Housing Federation, homelessness charity Shelter and the Chartered Institute of Housing, calls on the government to ‘get Britain building’ in order to provide the homes [...]
Mortgage lending to first-time buyers up 74% in March
Mortgage lending to first-time buyers soared in March, as house-buyers rushed to buy their first home before the end of the stamp duty holiday. Properties below the value of £250,000, purchased before 24 March, were exempt from the 1 per cent tax. Twenty-four thousand mortgages were approved for first-time buyers in March, a 74 per [...]
Chancellor wins on banking regulations
Chancellor of the Exchequer George Osborne has secured a key agreement allowing the UK government to regulate its banks more strictly than other EU member states. The agreement was secured in Brussels between European Union finance ministers. It allows the UK to ring-fence retail banking operations from riskier investment banking operations in order to protect [...]
Sainsbury’s offers 6.9pc credit card
Retailer Sainsbury’s is offering a credit card with an interest rate of just 6.9 per cent on new purchases, but the card is only available to nectar card holders with good credit ratings. According to new research by the retailer, the number of cards offering a lower-rate APR over a long-term, with no introductory offer, [...]
Personal debt soared prior to credit crunch
Household borrowing soared in the decade leading up to the start of the financial crisis in 2008 according to a report by the National Institute for Economic and Social Research (NIESR) and the Resolution Foundation. Household spending, GDP and property prices all increased steadily between 1997 and 2007 but the report suggests that this growth [...]
Home insurance may not cover empty properties
Housing charity Empty Homes has highlighted a clause in many insurance policies which could leave homes uninsured if they are left unoccupied. It is estimated that there are 930,000 empty properties in the UK and while their owners may think they are covered by insurance, this clause could mean that many are actually uninsured The [...]
Government to cut disability benefit
Half a million people could lose their disability benefit under Government plans. The planned reforms will see the current disability living allowance replaced with Personal Independence Payment (PIP), a simpler allowance which is designed to be more focused. Speaking to The Telegraph, Work and Pensions Secretary Iain Duncan Smith said that the number of people [...]
