Consumer increase care over their personal data

One of the major issues that have raised concern across the UK over recent months is that of personal data security, with many people concerned over the risk of identity theft and fraud. Read more

Tags: credit, personal data, Financial institutions, bank account, increase, result, Revenue, recent

Online sales helped by the credit crunch

As the effects of the credit crunch take hold consumers are increasingly looking to the internet for bargains, one financial expert has said.

Shopsafe.co.uk said that the current trend for consumer bargain hunting was related to the tightening of purse strings brought on by the effects of the credit crunch.

Simon Crisp, director of Shopsafe.co.uk, stated that the future of online shopping was viewed to be strong with fashion and household goods being the main sectors benefiting from the increase in online spending.

“This year certainly people are looking for bargains online; they’re looking to squeeze every penny out of their budget,” he continued.

In a report from the IMRG Capgemini e-retail sales index, online sales in February were up 46 per cent on the same point last year to a record high of £4.2 billion.

Meanwhile, Marks and Spencer announced in November 2007 that their re-branded M & S Direct site has seen online sales increase by 60 per cent.

Tags: Household, retail, director, main sectors, record high, tightening, Simon Crisp, financial expert

Expats heading abroad to be better off

Almost half of British professionals who head abroad expect to be better off, according to the results of a new survey.

Findings from Natwest reveal that the average wage for an expat is £67,000 compared to the UK average of £47,000.

The United Arab Emirates tops the expat wealth ranking with professionals earning an average of £79,000 a year while Portugal, at the lower end of the scale, has an average wage of £58,000.

David Isley, head of NatWest International Personal Banking, said that the wage packets of expats were very encouraging for those tempted by a move overseas.

“The expat wealth rankings shows that people who are willing to move abroad not only benefit from bigger earnings in countries such as Spain and Italy, but also have the advantage of a lower cost of living,” he continued.

Meanwhile, nearly half of first-time buyers would consider moving abroad in a bid to make their first step onto the property ladder.

Tags: earnings, NatWest International Personal Banking, better off, Political philosophy, expat wealth rankings, international

Council tax expected to rise by 4%

Households in England and Wales are to face increasing strain as council tax bills are to go up by 4 per cent in the next financial year, according to the government.

Figures from the Department for Communities and Local Government (DCLG) revealed that the bill for an average household is expected to rise from £1,101 to £1,146.

Those in Band D will see the payment rise from £1,321 to £1,374 because of the increases, which the government says are the smallest there have been for 14 years.

Sir Simon Milton, the Local Government Association chairman, said that the increase would put council budgets under severe strain.

“Councils have been under a real financial squeeze during the annual struggle to keep bills down,” he said.

Sir Milton added: “The stark reality is that low council tax rises have come at a cost and many councils have had to make tough decisions on spending.”

Meanwhile, shadow local government secretary Eric Pickles said that cost of living since Labour has come into power has “gone through the roof”.

Tags: cent, bill, Communities and Local Government, Local Government, association chairman, households

Additional insurance fees cost drivers £333m

Motorists are being charged an average fee of £22 for amending simple details on their car insurance policy, according to new research.

Findings from uSwitch showed that with 14 million consumers making changes every year, drivers are collectively £333 million out of pocket each year.

The company states there is no legislation in place to protect consumers from excessive charges and fees, something which it says needs rectifying.

Ashton Berkhauer, insurance expert at uSwitch.com, said that consumers need to know where they stand and the easiest way to do this is for the amount providers charge to be consistent across the insurance industry.

“This would make it clearer for consumers and bring transparency to the market. Currently, making an adjustment to your policy can cost you from £0 to £25 and the price for cancelling a policy mid-term can be unlimited,” he continued.

Meanwhile, further research from the company shows that extending insurance to cover the duration of a trip abroad can cost motorists up to £510.

Tags: additional insurance, car insurance policy, Ashton Berkhauer, amount, trip, excessive charges

Identity theft victims older than fraudsters

Consumers who are victims of identity theft are older than the fraudsters they are conned by, shows new research.

Findings from CIFAS, the UK’s Fraud Prevention Service, revealed that males in their 40s are the most likely to become victims of identity fraud than any other age group.

Peter Hurst, chief executive with CIFAS, said: “While our research into fraudsters revealed that the typical fraudster seems to be getting younger, this displays a quite different picture.”

He added that the CIFAS research shows that that the more tech-savvy, younger, sections of society are more aware of the need to protect their data, and therefore take greater care.

Those in their 40s, who may be seen as more resource rich and burden light compared with younger spenders, are supposedly a particular niche group to exploit, said the service.

Instances of identity theft are thought to be on the rise with nearly 30 per cent of Brits falling victim to identity theft within the last 3 years, according to a poll of UK credit professionals, by the Credit Show.

Tags: credit, Cifas, picture, shows new research, group, rise, younger spenders, Social Issues

Consumers need to budget more as the cost of living increases

As the cost of living increases consumers need to be more aware of ways to budget to make their cash go further, one financial expert has advised.

Because of this Norwich and Peterborough Building Society (N&P) has asked its customers to provide their tips on how to budget effectively.

Advice includes budgeting for utility bills, putting aside money for events such as Christmas into a separate account, unplugging all electrical items and ensuring they are turned off, as well as planning a weekly food menu and basing a shopping list around this.

Gary Lacey, group product manager at N&P, said it is refreshing to see that simple tips, such as changing shopping habits or saving electricity can prove the most popular.

“By adhering to just a few of the tips our customers suggested, families can save little and often, which, in the long run, could add up to a decent amount of money,” he said.

Meanwhile, further research from N&P revealed that the majority of financial decisions for a family are made as a group.

Tags: food, expert, northern rock, Peterborough Building Society, majority, shopping habits, Financial Services Authority, utility

Up to half of under-30s ‘aim to buy homes’

Around 50 per cent of young people in the UK regard buying a home as a realistic goal for them before they reach 30, new research has shown.

Findings from Alliance & Leicester reveal that the timing of achieving this milestone is pertinent with the average age of a first-time buyer being 29, a figure which has risen from 28 in the early 1990s.

Richard Taylor, head of mortgage products at Alliance & Leicester, said that reaching 30 is milestone for many as it is a deadline for certain ‘achievements’ such as owning a property, getting married or starting a family.

“Even in an uncertain housing market we’re seeing those under the age of 30 feeling confident and optimistic about the prospect of getting onto the property ladder before they say goodbye to their twenties,” he continued.

Renting is the option for those living away from home before attempting to climb the property ladder says the research.

Meanwhile, young people are being urged to should begin their savings “in the cradle” by savings experts with the Scottish Widows.

Tags: leicester, age, property ladder, Mortgage loan, first time buyer, option

Building societies still lending despite the credit crunch

Building societies are still in a good position to offer funds for mortgages despite some announcing they were restricting lending, one financial expert has claimed.

According to the Building Societies Association (BSA), action taken last week by certain building societies was not an indication that these providers were struggling in the wake of the credit crunch.

With certain larger lenders withdrawing from the marketplace, many smaller firms were inundated with applicants which required a re-adjustment of service levels to ensure customers were still dealt with, said the firm.

Neil Johnson, PR and policy manager for the BSA, said: “Building societies are largely funded by retail deposits rather than wholesale markets. So the problems in the wholesale markets haven’t affected them in the same way that they’ve affected banks.”

Earlier this month, the BBC reported that five building societies – the Bath, the Earl Shilton, the Newbury, Melton Mowbray and the Tipton & Coseley – had restricted or halted new mortgage lending due to an influx of new customers.

Tags: bank of england, Social economy, month, business, societies, good position, Financial services

New Isa rules need to be publicised more

More should be done to publicise the changes to the rules surrounding individual savings accounts (Isas), one financial expert has claimed.

According to Moneyfacts, the introduction of changes to the rules in the new tax year from April 6th, which are anticipated to attract more customers to the product, need to be more widely publicised outside of the trade press.

Michelle Slade, spokesperson for Moneyfacts, said: “They probably should do something more to advise customers out there what is going on.”

“The fact that they can now put in an additional £600 and it’s tax free… Obviously that’s the first port of call for anybody who’s going to take out savings,” she added.

In the new tax year, beginning April 6th, the rules for Isas are changing. There will no longer be distinctions between mini- and maxi-Isas:

Now all Isas will have an overall limit of £7,200, of which £3,600 can be saved in cash (under present rules there is a £3,000 cash limit).

Tags: introduction, press, ISA, spokesperson, product, Rob Fisher, tax

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