£3.5 billion in the piggy bank
Collectively, Britons have approximately £3.5 billion hidden under the mattress or stashed in a piggy bank, rather than tied up in investments, new research reveals.According to Virgin Money the amount of money that Brits have sitting at home equals the entire GDP of the Bahamas, which is not gaining interest and actually losing value as inflation continues to rise.Based on market interest rate forecasts, that £3.5 billion, if stored up until 2010 would lose around £200 million worth of purchasing power.One in six people in the UK admit to stashing money in their house rather than banking it, with 15 per cent revealing they kept up to £1,000 cash in their homes last year and two per cent hoarding up to £5,000 at home. Dr Alexander Koch, financial economist at Royal Holloway University, who carried out the research, commented "Keeping cash at home is not wise: the British are throwing away the opportunity to easily earn several hundreds of millions of pounds of interest over a few years."
Using the Internet to your advantage
As UK consumers look to contain their debts, reduce their outlay and basically live within their budgets the Internet is becoming more and more vital each day. The ability to check the financial marketplace at a moments notice is something which is appealing to more and more UK consumers and placing more and more pressure on financial companies.
While many consumers would prefer to...
Savings reach new high
Savings at building societies have reached a new high, according to new figures.The Building Societies Association (BSA) has reported that an increasing number of people are now choosing to save their money after years of spending, resulting in building societies seeing a much greater level of savings.In September this year, building societies reported net receipts of £2,821 million, compared to...Read More
Is liquidity returning to the mortgage market?
The headlines tomorrow will be dominated by the decision to maintain UK base rates at 0.5% but there should be some good news from the mortgage market. It has been revealed that the average two year fixed mortgage rate has fallen to the lowest level since July 2003 with a 75% loan to value mortgage now available at around 4.01%. This is sharply down from the 4.35% figure seen in February and appea...Read More
Is your garden insured for the increased risk of theft?
As crazy as it may sound there has been a significant increase in garden thefts since the recession hit home and many homeowners are finding they are severely under-insured. We are talking about thieves breaking into sheds and stealing expensive equipment as well as thieves stealing expensive shrubs, plants and even freshly laid lawns. So are you fully covered?
The vast majority of...
UK plc set to cut pension contributions
In a move which could have long-term consequences for a growing number of workers in the UK it has been revealed that Aviva , the U.K.'s second largest insurer, is set to scrap free pensions for defined contribution members. Aviva is the latest in a long line of companies looking to reduce their pension payments for defined benefit schemes with employees having to pay 1% of their salary from July...Read More