Halifax unveils 3% fixed-rate ISA

OFT to investigate cost of motor insurance

Soaring motor insurance premiums have prompted an investigation by the Office of Fair Trading (OFT), which could lead to a Competition Commission inquiry into the industry. Car insurance premiums increased by 12 per cent between 2009 and 2010 and by a further 9 per cent in the first nine months of this year. The average [...]

Homeserve to outsource complaints operations

Home repair company Homeserve has announced plans to outsource its complaints handling operations. It previously handled complaints from its call centre in Walsall, but complaints were found to have been dealt with incorrectly during last winter’s period of severe weather. Homeserve received an unprecedented number of calls and some of its customers were forced to [...]

Inflation on downward trend

The Consumer Prices Index (CPI) rate of inflation fell to 4.8 per cent in November it was revealed yesterday, representing the second consecutive 0.2 percentage point monthly decline. Although the price of domestic heating and alcohol increased during the month, this was offset by a fall in the cost of food, petrol, clothing, furniture and [...]

OFT clamps down on payday lenders

The Office of Fair Trading (OFT) is increasing its scrutiny of payday loan companies after the number of complaints about them soared. In a report to the Government, the OFT revealed that the number of complaints received by helpline Consumer Direct about payday loan companies more than doubled to 1,535 in the 11 months to [...]

Private sector pensions hit £222 billion deficit

Private sector final-salary pension deficits have increased collectively by £63.5 billion, from £158.6 billion at the end of October to £222.1 billion at the end of November. The figures, published by the Pension Protection Fund (PPF), reflect the increasing cost of paying for pensions which outstripped a 0.7 per cent month-on-month increase in the value [...]

New travel insurance products launched

Two companies have announced new travel insurance policies this week, just in time for people setting off for their Christmas breaks. Insurance provider Hiscox has launched a new policy for all members of the family, whether they are travelling in Europe or further afield. The policy offers up to £10 million emergency medical cover, up [...]

Economic gloom holding back the housing market

Although the demand for property increased in November, the ongoing economic downturn is holding back housing activity according to the latest report from the Royal Institution of Chartered Surveyors (Rics) Rics’ UK Housing Market survey for the three months to the end of November showed a small improvement in both demand from buyers and property [...]

FSA releases report on RBS failure

The Financial Services Authority has released its report into the near collapse of the Royal Bank of Scotland in 2008. The report finds that a combination of poor management decisions, inadequate monitoring by the FSA and the global systemic banking crisis, contributed to the bank’s failure. It highlights a number of key factors which led [...]

Brits spend £6 billion of savings on Christmas

A study by Santander, one of the world’s largest banks, has revealed that people are funding Christmas this year by dipping into their savings. High unemployment, inflation at around 5 per cent and the threat of another recession are all putting pressure on people’s pockets and causing them to use their savings to pay for [...]

AA instant-access account offers 3.2% interest

The AA has launched an online, instant-access account paying 3.2 per cent interest before tax, which is currently the highest rate available for people who need immediate access to their money. The account will offer some protection from the rising cost of living, without having to worry about tying up savings for a long period. [...]