According to a survey of 2,000 adults by Finder, over a third of Brits are eating into their savings during the COVID-19 pandemic. Since the coronavirus lockdown began on 23rd March, 36% of UK adults have supported themselves with savings. On average, these people have used £1,420 of savings over the first seven weeks, which is equivalent to a fifth (21%) of the UK’s average savings pot. But perhaps more Read More….
Lower-income households are using savings and borrowing more during the coronavirus lockdown according to research by the Resolution Foundation. In fact, poorer families are twice as likely as richer ones to have increased their debts during the crisis. By contrast, richer families are actually saving more because they’re not able to eat out or go on planned trips abroad. Just one-in-eight high-income households have increased their use of consumer credit Read More….
Even though retirement is a time of life that many look forward to, this doesn’t mean to say you can simply stop working and expect to be taken care of. As you approach your retirement years, it makes sense to get some financial advice and start thinking about your options, as you are bound to be faced by decisions that could determine how much money you will have to live Read More….
The potential impact of the coronavirus pandemic could see pension liabilities increase by as much as 15-20 per cent. That’s according to the River and Mercantile Group, who believe the industry will be hit with the “perfect storm…in terms of funding”. In its Interim Financial Report, the group revealed that an ongoing collapse in gilt years together with a sharp fall across global equity markets has resulted in a major Read More….
The interest rate cuts announced by the Bank of England earlier in March could lead to reduced pension pot value. Steve Cameron, of pension provider Aegon, said that the rate reduction would result in a “double whammy” for pensions as annuity rates are also likely to be cut. The outgoing BoE governor Mark Carney slashed interest rates by half a percentage point to a record low of 0.25pc in response Read More….
If you’re approaching retirement and have concerns that you’ll outlive your savings, then you might be right. A recent study by the World Economic Forum found that British pensioners will on average outlive their pension savings by about 10 years. Investing in (and for) Our Future revealed that men retiring in the UK were expected to run out of money 10.3 years before they died. The outlook is worse for Read More….
Before the former Chancellor of the Exchequer Sajid Javid resigned from his post, he was reportedly considering plans to limit tax relief on pension contributions to 20pc. Treasury insiders told the Financial Times that cutting pensions tax relief would be revealed at the 11th March Budget in a bid to help fund Boris Johnson’s plan to “level up” the economy. It remains to be seen whether Rishi Sunak, the UK Read More….
Regardless of how much money you have in the bank, from £1 to £1 million, it makes sense to earn as much interest as possible on every penny by opening up a savings account. Basic-rate taxpayers can earn £1,000/year tax-free and higher-rate taxpayers £500 with a savings account. What’s more, up to £85,000 per person is protected in UK-regulated financial institutions, meaning that your money will be safe if your Read More….