Debt conscious Brits opt for staycations

According to a recent report a rising number of people in the UK who are conscious about falling into debt and want to avoid the pitfalls of any further debt are now opting for staycations when it comes to holidays, as they believe that this will be the cheapest option for them in the current climate. Nearly one in four Brits stated in a recent survey that they would be trying to spend less on their holiday this year.

For many people, going abroad on holiday has become increasingly difficult as a result of their financial situations. Many have found that the cost of flights and accommodation have become too much for them to manage on their more limited budgets, and those with families are finding it increasingly difficult to afford to take the whole family on an overseas holiday, as this can run into many hundreds or even thousands of pounds.

The survey was carried out by the Insolvency trade body, R3, which said that of those that were trying to save money on their holidays nearly 60 percent had decided to holiday at home. Those that decided that they still wanted to holiday abroad looked at other ways to save money, with over 70 percent reducing the cost of accommodation, 66 percent choosing cheaper travel, and 60 percent deciding to spend less money whilst they were on their holiday.

An official from the firm said: “People choosing not to have a holiday this year is likely to have grown out of necessity rather than choice. UK households will either simply not have the money to go on holiday as result of cuts to their disposable income or have decided to save their money in preparation for the difficult times ahead. R3’s latest personal debt snapshot revealed only a quarter (25%) of consumers believe their financial situation will improve over the next six months. The money saved from spending less or not having a holiday at all will provide individuals with a financial ‘buffer’ in case they fall on hard times.”

Tags: current climate, financial situation, cheapest option, choice uk, Brits

Average Brit ahead of international average when saving for retirement

A new survey published today shows that the average British consumer begins planning for their retirement up to five years ahead of the international average.

According to findings from AXA, Brits start saving for their post-work future at 28 years-old, compared with workers in France and Spain who do not start planning for life post-work until they are 34.

Up to three in four (71 per cent) of working Brits have started preparing for their retirement financially, a percentage higher than the global average of 54 per cent.

Steve Folkard, head of pensions and savings policy at AXA, said: “It is encouraging to see that Brits lead the way when it comes to retirement planning but not surprising given that state benefits in the UK provide a very modest retirement income compared with many other countries.”

The research also shows that people have found alternative ways to save for the future.

New methods include opening personal pension schemes (45 per cent) and putting money aside in equities and bonds (45 per cent).

Meanwhile, the Policy Exchange has warned that the pension crisis is worse than originally feared as it faces a perfect storm.

Tags: Termination of employment, Labor, Financial economics, life, modest retirement income

Finance with a conscience gaining esteem

So-called green financial products are more popular now than ever, according to the Environmental Transport Association (ETA).

It states that there is heightened awareness of environmental ethics and it is now a part of the public consciousness.

As a result an increasing number of companies offer ethically sound products, so it is then up to the consumer to research the available options to separate genuinely green offers from the simple marketing ploys.

A spokesperson for the ETA said: “At the moment it is up to the consumer to check this out but in the future it will be up to the companies to prove that they are truly green as consumers become more knowledgeable.”

He added that, over the past decade being ethically-minded and green has become “fashionable”, so much so that it has climbed up the “political agenda”.

Major corporations are starting to appreciate the value of addressing these types of issues with banking giant Citigroup putting $50 billion (£24.4 billion) towards green projects earlier this year.

Tags: political agenda".Major corporations, Ethics, decade, available options, political agenda

Insurance ‘essential’ for even short trips

No matter how far they are planning to travel, anyone heading overseas should ensure they have adequate travel insurance.

That is according to a spokesperson for the Association of British Insurers, who said that regardless of where an individual is travelling to, they could end up needing medical help.

“Even if you’re only in France, there’s always the possibility that you may need emergency treatment,” the spokesperson said. “So it’s worth considering for that reason alone.”

A recent survey carried out by swiftcover and YouGov found that of more than 2,000 travellers, 37 per cent had been robbed in Spain, 19 per cent had something stolen in France and nine per cent experienced theft in the UK.

The ABI spokesperson pointed out that fans travelling to watch the Rugby World Cup in France ought to get cover, as losing personal effects “can ruin any holiday or any visit or any break. It doesn’t matter what you’re doing”.

Tags: British Insurers, emergency, swiftcover, world, Insurance