UK consumers opted to repay unsecured debt in August

Savings tops list of financial worries

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. [...]

Inflation falls to 5%

Inflation fell to 5 per cent in October helped by a price war between major supermarkets, with food and petrol prices being slashed as they competed with each other. The latest figures from the Office for National Statistics show a 5 per rise in the consumer-price index in the 12 months to October, compared with [...]

Houseowners must save to climb property ladder

Not so long ago houseowners could rely on the equity in their existing property, generated by its growing market value, to fund a move to a larger home, but new research from HSBC confirms that this is often no longer an option. The bank suggests that a fall in property prices means that first time [...]

FDA joins public sector pensions strike

Support for a planned public sector strike on 30 November is increasing, with 81 per cent of FDA union members who took part in a ballot, voting in favour of industrial action. The FDA union represents senior managers and professionals in the public sector including government policy advisors, economists, solicitors, and members of the NHS. [...]

Santander launches Inflation Linked Savings Bond

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 [...]

PPI customers may face tax bill

Customers who were mis-sold payment protection insurance (PPI) are liable for tax on the compensation they receive. The Financial Services Authority awarded compensation to PPI customers who had been mis-sold policies, plus 8 per cent interest on the money they originally spent on the policy. This interest is subject to tax it has been revealed, [...]

Outlook for mortgage market uncertain

Although the mortgage market is currently stable, the outlook remains uncertain in the face of the eurozone crisis. The Council of Mortgage Lenders (CML) has reported that 48,200 mortgages were taken out to buy homes in September, two per cent less than in the previous month. However there was a 3 per cent improvement in [...]

Eurozone crisis blamed for gloomy jobs market

Jobseekers in the UK have a rocky time ahead of them, with businesses expected to put expansion and recruitment plans on hold for the foreseeable future, according to new research. The latest quarterly survey by the Chartered Institute of Personnel and Development warns that the UK jobs market is facing a “slow, painful contraction”. The [...]

Housing second child costs £60,000

While most families think that their first baby will require more financial outlay than subsequent children, new research suggests that the second child may be more expensive because the family may have to move to a larger house. Families with a second baby on the way are paying an average of £60,000 to move to [...]

Low base rate could cost savers £43bn

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 [...]