Icelandic authorities agree to pay back â‚¬3.8 billion
The Icelandic parliament has today passed a bill which will see over â‚¬3.8 billion repaid to UK and Netherlands savers who lost out in the Icelandic financial collapse. The vast majority of the money will go back to the UK and Netherlands government who have already been forced to compensate over 300,000 savers with money lost after the collapse. This is the next stage in the economic reco...Read More
Child Trust Fund to Junior ISA transfers to be considered
Child Trust Fund to Junior ISA transfers to be considered Following on from repeated pressure to act, the Government has announced that they will consider allowing the transfer of Child Trust Fund (CTF) accounts to Junior ISA’s. The Chancellor devoted part of the 2013 Budget to personal savings, and made reference to the fact that there is a chance that approval may be given to switch from...Read More
Worried Brits are saving more
Britons are saving more and more of their income to inure them against potential financial shocks in the months to come, new data has revealed. A study of financial habits conducted by Birmingham Midshires it was found that the amount being saved by Britons over the last three months has risen to £938 - up from just £910 during the same period last year. Meanwhile, the amount that the average co...Read More
Inflation's impact on savings 'remain unclear to many'
Many people do not know that inflation erodes the value of cash savings, it has been claimed.New research from National Savings & Investments (NS&I), shows that 31 per cent of consumers, though they know what inflation is, do not know how it impacts on their savings.However, older people were found to be better informed: just 17 per cent of 55 to 64-year-olds confessed to not knowing, compared to...Read More
Building society calls on government to cut over-65s' tax
Pensioners' savings accounts should be made tax-free by the government, Skipton Building Society has said.According to a poll from the firm, 84 per cent of over-55s have had to cut back on their spending thanks to the credit crunch.Across all age groups, this figure was just 58 per cent.Skipton also said that tax takes away around 20 per cent of savings' value - and that recent rate cuts from the...Read More
Are banks making more money from savers than ever before?
As savings rates continue to plummet in the UK while banks appear intent on maintaining relatively high mortgage rates compared to the base rate, there is a feeling that UK savers are being used to fund more expensive consumer finance. As well as borrow money from the money markets the UK banks are allowed to lend against their asset base which is in effect their savings customers and loan custome...Read More
When will UK savings rates return to former levels?
With UK base rates currently at a 0.5% and the vast majority of savings accounts offering limited interest on deposits, savers in the UK are starting to wonder as and when savings rates will return to former levels. It is easy to forget, in the midst of the current recession, that UK base rates were around 5% less than two years ago and have fallen by 90% in the meantime. Unfortunately, even thoug...Read More
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
How will today's interest rate move impact upon savers?
It was reported that after last month's interest-rate reduction, 95 of the 119 savings providers in the UK reduced their rates immediately to the detriment of savers in the UK. While more and more savings accounts are attracting rates approaching 0% this latest move is sure to increase that figure and put the squeeze on more UK savers. The situation for UK savers is set to get worse in the short t...Read More
Bad news for UK savers
The recent indication from the Bank of England that UK base rates will fall further from the current 1.5% level has sent many savers scouring the Internet and financial advisers to find the best savings packages on the market. For many savers the forlorn hope that they can in some way lock into a substantially higher rate in these times of low interest rates could be well wide of the mark. But wha...Read More