February 11th, 2025 | Andrew Hagger | News

Over one in five (21%) travel insurance claims are for holiday cancellation, according to travel insurance provider, Multitrip.com, meaning something went wrong before the holiday even began. Multitrip.com is urging holidaymakers to purchase their travel insurance as soon as they book , also known as ‘ASAB’, to ensure they are covered from the outset.

Cancellation reasons are not always related to your own health or situation. In fact, 32% of cancellation claims  were due to the illness or injury of a travelling companion, 13% resulted from the death of a non-travelling relative and 8% involved the illness or injury of a non-travelling relative.

Not having travel insurance exposes travellers to potential financial loss if the holiday does have to be cancelled , yet according to a Multitrip.com 2024 data more than half (55%) [1] of those who buy its single trip travel insurance policies buy them less than seven days prior to departure. This delay means they lose out on this critical coverage.

Christian Bennett from Multitrip.com said: “If you wait until closer to departure to arrange your travel insurance and then find yourself in the unfortunate position of not being able to travel – for example, if you or your travel companion or a close relative is diagnosed with a serious illness – you may not be able to recover the cost of your trip. That’s why we’re urging holidaymakers to get cover sorted as soon as they book their flight or holiday. Travel insurance is too important to be an afterthought.”

Multitrip.com offers a range of policies to suit different needs and budgets. The Annual ‘Essential Cover’ policy, starting from just £19.994, includes up to £1,000 per insured person for cancellation or curtailment and £1,600 for baggage or baggage delay.

For those looking for added reassurance, Premier and Premier Plus Cover provide additional benefits beyond the Essential Cover, offering greater flexibility and protection for your trip. ‘Premier Cover ‘ provides up to £3,000 per insured person for cancellation or curtailment and up to £2,000 for baggage. The ‘ Premier Plus Cover ‘ offers the most extensive protection, with up to £5,000 for cancellation or curtailment and up to £3,500 for baggage or baggage delay.

February 11th, 2025 | Andrew Hagger | News

Santander UK has reported it saw a 130% increase in mortgage applications in Q4 2024 compared to Q4 2023, as buyers rush to secure a property purchase during the Government’s stamp duty holiday.

With Santander estimating the average property purchase taking four months from mortgage offer to completion, buyers securing a mortgage offer before the end of 2024 will have maximised their chances of benefitting from lower stamp duty costs, ahead of the 1 April 2025 deadline.

From 1 April, the stamp duty nil-rate threshold for first-time buyers will drop from £425,000 to £300,000, while for other buyer types it falls from £250,000 to £125,000.

As a result, a first-time buyer purchasing a home priced between £300,000 and £500,000 will face a 5% stamp duty charge on an additional £125,000 of borrowing, adding thousands of pounds to the overall cost. All other buyer types will pay 2% on the amount between £125,000 and £250,000 – a potential extra cost of up to £2,500.

Graham Sellar, Head of Intermediary Channel – Mortgages, at Santander, said: “We all know that buying a home – whether it’s our first or our forever home – comes with significant costs. Every penny counts when considering things like legals and removals costs, so it’s great to see so many people make the most of the holiday and secure their new home ahead of 1 April.”

First-time buyer impact

First-time buyers are set to see the biggest increase in potential costs as a result of the changes to stamp duty. In the South East, where the average house price is £385,600, first-time buyers could save up to £4,280 in stamp duty by purchasing before 1 April. After the change, if they are buying a property over £500,000, they will be faced with the same stamp duty costs as a next-time buyer, for example in London, where prices average £535,700, this would add a potential extra cost of £11,250.

First time buyer stamp duty payable:

Recent research by the bank reveals that first-time buyers are increasingly compromising on location to fulfil their dream of owning a home. Two-thirds (67%) of Brits who bought their first home in the last two years had never seen their new neighbourhood before buying, compared to just over half (51%) of those who bought more than five years ago. According to the research, first-time buyers moving to new neighbourhoods in the last two years saved an average of £29,000 compared to buying a house in the area they lived in before.

Areas like Waverley in the South-East and Waltham Forest in Greater London have experienced the greatest rise in first-time buyer sales over the past decade, highlighting sustained demand in these regions.

Once buyers have secured their new home, Santander’s My Home Manager tool can help them keep on top of the cost of running a home, from finding removal companies, to comparing TV and broadband deals, and switching energy providers.

February 4th, 2025 | Andrew Hagger | News

New research has revealed that properties built in the 2000s have a median home insurance price of £229 – the highest of any decade after the 1940s.[1] The data shows that older homes usually have higher premiums, while newer ones see some of the lowest, yet those built in the 2000s are among the most expensive. Now, homebuyers are being warned about falling into this trap when searching for a property.

The figures are based on internal data from Go.Compare home insurance, which looked at the effect of property age on policy prices. Now, the comparison site is advising residents about how this affects their insurance costs and what they can do to bring them down.

According to the figures, a property’s age can impact your premium by an average of £37, although the median cost varied by up to £74 in some instances. Those built in the 2020s have median policy prices of £184, the cheapest of any decade, and premiums for properties built in the 2010s are similarly low at £199. However, the cost shoots up to £258 for those made earlier than 1950.

The age of the policyholder can have a similar impact on prices. Older homeowners are generally seen as less of a risk due to being more security-conscious and financially secure. The median premium varies by up to £68 based on age – £37 on average.

Nathan Blackler, home insurance expert at Go.Compare, said: “Older homes tend to have higher insurance costs as they suffer from age-related problems, which is why it’s so surprising that those built in the 2000s are among the most expensive.

“The reason for this could be because there was a housing shortage in this decade, which might have driven a quantity over quality approach to housebuilding. This could have resulted in a wave of homes that are less durable, leading to more claims for properties made in this decade and higher premiums.

“It also could be that the most recent houses are higher cost because they are more likely to be occupied by younger people. Younger policyholders can sometimes have higher premiums than older residents as they’re generally less security conscious and less financially secure, among other reasons.

“As a result, this could be pushing up the average for homes built in the 2000s. The 2000s aside, the lower premiums that usually come with new builds could make them a good option for younger residents.

“This research shows why it’s really important to check insurance prices before moving or changing your home. Comparing policies will allow you to see how changing things might affect your premium, allowing you to take any extra costs into account in your budget. You can also try reducing insurance costs by avoiding unnecessary add-ons, improving security and making sure you don’t pay for more cover than needed.”

More information on the factors that most impact home insurance premiums, including tips to bring down prices, can be found on Go.Compare’s website.

January 24th, 2025 | Andrew Hagger | News

While it differs company to company, the majority of new mothers will not receive their full pay for their maternity leave.

For the first six weeks of statutory maternity leave, new mothers will receive 90% of their average pay.

However, after the first six weeks, new mothers will only receive a statutory payment of £184.03 per week or 90% of their average earnings, whichever is lower.

While maternity leave is only 39 weeks, research has found that 45% of new mothers actually extend this.

Due to the lower income new mothers receive, it’s important to start thinking of cutting costs down and putting money towards maternity pay.

Christie Cook, Financial Expert at Hodge Bank, discusses five ways of saving for your maternity leave:

Budgeting

“To prepare for a major life event like maternity leave, the first step is to start budgeting and cutting unnecessary expenses. Instead of spending on takeaways, for example, put that money into savings..

An average takeaway for two will set you back £30 – equivalent to around 99 nappies. This sounds like a lot, but considering the average newborn will go through 10-12 a day – 99 would  last just eight days!

Save money by avoiding branded items to suit your budget and ensuring you’re sticking to your shopping list while in your local supermarket rather than getting sucked into those deals.”

Get Selling

“What better way to make room for the new addition  than by selling some of your unwanted items you’ve been hoarding these past few years.

Get on your local selling sites such as Facebook Marketplace and Vinted and sell items you forgot you had. You’re going to need wardrobe space for the new baby’s clothes, nappies and accessories, so what better way to make room than by sending your unwanted items on to new homes and making some extra money in the process?”

Free Events

“Life wouldn’t be a life worth living if you stayed home 24/7 to save money, right? But there are free events you can enjoy instead of spending £20 on a cinema trip or £50 on a meal.

As winter approaches, bundle up and enjoy a winter walk with a homemade hot chocolate in your takeaway cup, making the most of a crisp sunny day.

Use sites like Eventbrite to find free local events. These small savings can help you afford activities during maternity leave, like baby yoga, soft play, and swimming, which do come with costs.”

Review Subscriptions

“Every few months, review your bank account for subscriptions and decide if they’re still necessary, especially as maternity leave approaches. For example, if you’re paying more than £30 for Netflix, Disney Plus, and Amazon Prime Video but mainly watch one, consider cancelling the rest.

Similarly, evaluate your gym membership—many streaming services offer workout videos that may be more convenient once the baby arrives, and you’ll be able to squeeze in a 15-minute YouTube routine around the newborn’s napping schedule.”

Take Advantage of Interest

“While you can’t touch a Fixed Rate ISA for at-least a year, for most people, maternity pay often decreases the further you get into your leave. 

So, if you’re four months into your pregnancy and you choose to open a savings account now, then you won’t be able to touch your ISA until the third month of your leave.

However, when that third month comes around, which will be fast, you’ll not only have the money you’ve been saving each month, but you’ll also have the additional interest too.” 

For access to more saving tips from Hodge Bank, sign up to their monthly newsletter here:

https://hodgebank.co.uk/savings-newsletter-sign-up/

January 21st, 2025 | Andrew Hagger | News

Motorists could be risking an estimated £17.3 billion in repair costs by attempting to drive through floodwater, according to new research.[1] While only 17% of motorists admit they would risk crossing a flooded road,[2] this equates to 5.8 million vehicles across the UK.[3] This means that, as well as putting themselves in significant danger, these drivers could face big financial consequences of their decision.

The research, by Go.Compare car insurance, asked the public whether they would drive through floodwater and what depth they would risk before turning around. It then applied the percentage who would take this gamble to the average claim for storm and flood damage, giving an indication of the total repair costs that drivers could cause by navigating flooded roads.

The comparison site says the median claim for storm and flood-related car damage in 2023 was £3,000, meaning there are large costs involved in this risky behaviour.[1]

Experts at Cover My warn that driving through floodwater can lead to severe damage, from hydro-locked engines to electrical failures, as well as the danger posed by hidden hazards beneath the water’s surface. Many drivers underestimate the dangers of even shallow floodwater, with attitudes towards water depth varying widely.

The increase in extreme weather events appears to be affecting car insurance. Sales of policies for those who have previously claimed for storm and flood damage have risen by 18% since 2020, and the cost of this coverage has jumped up by 27% in the same period. This suggests that more drivers have been claiming for flood or storm damage over recent years.[1]

In 2023, the median price for these policies was £493, up from £388 in 2020. This is also £24 more than the amount paid by those who haven’t claimed for storm or flood damage.

Tom Banks, car insurance expert at Go.Compare, said: “The potential costs of driving through floodwater go beyond immediate repair bills. Floodwaters as shallow as 10 to 15cm can severely damage a car’s engine and electrical systems. When the water gets deeper, the risks increase significantly – vehicles can lose traction, start floating, or, in extreme cases, be swept away by the current.

“If you’re ever faced with floodwater on the road, the safest option is to turn around and find an alternative route. Driving through water might seem like a shortcut, but the risks far outweigh the benefits. If it’s unavoidable, assess the depth carefully – water should ideally be no deeper than 10cm.

“Keep your speed low and steady to avoid creating waves that could damage your car or surrounding property, and never attempt crossing fast-moving water, as the current could sweep you away.

“Having the right insurance can also provide a safety net for drivers, covering the often steep costs of flood-related damage. But it’s important to remember that not all policies include protection against floods or storms as standard.

“Drivers need to read their policy carefully to make sure they understand what is covered, especially if they’re willing to risk driving through floodwater. If their car is damaged as a result, they might have to cover the costs themselves.”

Find more information about public driving habits during floods on the Go.Compare website.

January 16th, 2025 | Andrew Hagger | News

As many head into another year of financial uncertainty, it’s important to consider ways to spend less and reduce anxiety about spending. Considering what you spend your hard-earned cash on instantly makes you feel more in control.

I’m a Money Saving Expert but also a mum running a home and juggling the costs of everyday life. In addition to this, I have ADHD, which often leads to impulsive actions (not ideal when on a budget!)  Over the last few years, I’ve developed some mindful spending habits that have reduced my outgoings, anxiety and stress.

• Set Financial Goals—this can sound daunting, but it doesn’t have to be. It’s a good idea to separate short-term goals from long-term goals. This will help you prioritise your spending. A short-term goal is anything from a month to a year. It might be saving for furniture or a holiday. A long-term goal might include saving for a deposit on your first home. Understanding the bigger financial picture will help you see more clearly and make you more likely to achieve your goals.
• Delay Making a Purchase – I find this habit the hardest to develop, but it makes a big difference once you do. Before making a purchase, take a moment to consider if it aligns with any of your goals, will you feel satisfied in the long term or just in the moment? If you shop online, favourite the item or save it in your basket for a couple of days. When I do this, I sometimes forget all about it, which means I probably never needed it. ADHD makes me an impulsive spender, which is tricky as a money-saving expert. Being able to delay impulsive purchases is a vital tool.
• What Triggers Your Spending? Take a moment to think about all the times you have overspent. Was it related to your emotions? For me, an impulsive purchase gives me a temporary dopamine fix. Other triggers might include boredom, being in particular environments, or being with specific people. You don’t need to feel guilty about these triggers; most people have one or more. Understanding what your triggers are can help you gain control and spend less.
• Budget for Fun – Whilst budgeting doesn’t sound fun, it can be. Once you have prioritised your budget for non-negotiables, set aside some budget for fun. No matter how much you can afford, it’s a good idea to have some cash you can splash. Whether it’s money treats, days out, coffee dates or a theatre trip – enjoy!
• Use Cash When You Can – Over the last 12 months, I’ve gone back to cash payments when possible. Not only is there a comforting element of nostalgia when using cash, but it’s also saving me money! If I’m out for the day or have some of my fun money available, I take the cash with me rather than my card. Having a tangible amount of cash in my purse makes it easier to see when are where I’m spending, and how much. Cashless payments are handy, but I’m prone to forgetting everything I’ve ‘tapped’ during the day. It makes overspending inevitable. I also get a real buzz when I come home with cash left in my purse too, it’s a reward for having some spending control.

MyVoucherCodes has money-saving and lifestyle advice to help with all budgets. Check out our blog to find out more.

January 16th, 2025 | Andrew Hagger | News

Often called the most depressing day of the year, Blue Monday comes at a time when the New Year good feeling has worn off, and post-holiday season bills, cold weather, darker nights and a lack of motivation can make everything feel harder.

Financial worries often add to these feelings. However, even small steps to take control of your finances can help ease any worries and put your finances on track.

John Dentry, Product Owner of the Current Account Switch Service at Pay.UK, provides four simple, New Year focused tips to help you feel more positive about your finances this Blue Monday:

• Create a weekly budget: A new year is the perfect time to create or revisit your budget. Start by listing your income and essential expenses, then set aside funds for savings and discretionary spending. Many current accounts offer tools and trackers within their banking apps that can make managing your money easier, helping you stick to your plan and avoid overspending.
• Take advantage of retailer discounts: Many bank accounts offer discounts, cashback, or loyalty schemes throughout the year. Keep an eye out for deals at your favourite stores, restaurants or service providers and use these offers to save on everyday purchases. By taking advantage of discounts and rewards, you can stretch your budget.
• Switch your bank account: Many of us start the year by making financial plans, but don’t consider how our bank accounts can support these goals and ambitions.  Whether it is wanting a particular budgeting tool, or taking advantage of a cashback offer, switching to a bank account that better suits your needs can help you take control of your finances, in a way that best serves you.. . It’s a small change that can have a big impact on your financial confidence.
• Explore new income opportunities: The start of the year is a great time to consider how you might increase your income. This could mean discussing career progression with your employer, looking for a new role, or starting a side hustle. Selling items online, tutoring, freelancing or monetising a hobby can bring in extra income to support your long-term goals.

John adds: “Many people use the new year as a fresh start, whether that is making a change or picking up a new hobby or healthy habit. However, at a time where many of us have overindulged over the festive period, the start of a new year is the perfect time to take stock of your finances and set yourself up for the year ahead.”

“Like with all good habits, the biggest impact can be made by making the smallest of changes. Managing your money can often feel overwhelming, but if you were to just take one action on your finances this January, we’d advocate looking at whether your current account is still fulfilling your needs, and to consider switching if it isn’t. This is also an ideal time to reflect on habits, explore new income opportunities, and take advantage of tools that make budgeting and saving easier. It is important to remember that your bank is there to help you.”

January 14th, 2025 | Andrew Hagger | News

New figures have revealed that the overwhelming majority (91%) of Brits are still grappling with money struggles as a result of the cost of living crisis. This is equal to around 63.1 million people feeling the impact of the ongoing financial squeeze, highlighting its continuing toll on UK households, and that many are in need of support.

The statistics come from the latest survey by Go.Compare Home Insurance, which asked the public to share how the cost of living crisis is affecting their financial decisions. Only 9% of respondents told the comparison site that it’s no longer affecting them, with the vast majority still struggling to keep up.

Around 44% stated that they’re suffering even more financial stress than last year, while 37% said that the cost of living crisis is affecting them around the same amount. Just 16% said they feel better off compared to 12 months ago.

1 in 3 reducing how much they’re saving

One of the most common ways people are dealing with rising costs is by cutting back on non-essential spending.

Almost a third (30%) have reduced or cancelled entertainment services like streaming, and 19% have cut back on their internet, TV, or phone packages. Additionally, one in three (33%) have lowered the amount they’re saving, showing that many are having to prioritise immediate bills over long-term financial goals.

A further 6% have reduced spending on important financial commitments, like home insurance and pension payments, highlighting that some are having to make tough decisions to manage their money.

Despite their efforts to keep on top of basic living costs, some are still struggling to meet these payments. Around 9% of respondents report difficulty paying their rent, 5% are struggling with mortgage payments, and a fifth (20%) are having trouble paying their utility bills on time.

Nathan Blackler, home insurance expert at Go.Compare, said: “It’s concerning to see that some households are cutting back on essential costs like home insurance. For many, the rising cost of living has created an impossible balancing act, forcing them to make difficult choices between protecting their homes and meeting immediate needs.

“It’s understandable that people are focusing on what feels urgent, such as utility bills and food, but it’s important to remember that home insurance is there to provide a safety net in case of emergencies. Home insurance may feel like an easy expense to cut, but this risks being underinsured during a crisis.

“As the cost of living continues to rise, it’s vital that households review their financial priorities to ensure they’re not compromising on essential coverage. There’s no doubt that these are challenging times, but being underinsured could end up being far more costly in the long run. Those who are struggling can consider seeking advice from the Money and Pensions Service to help resolve their difficulties.”

Find more information about how the public is coping with the cost of living crisis on the Go.Compare website.

January 9th, 2025 | Andrew Hagger | News

Contract renewal prices rarely offer the best price available. But despite this, many people are still hesitant to switch, especially when it comes to mobile phone contracts, new research from Go.Compare has revealed.

More than 1 in 10 Brits (12%) admit they regularly forget about their renewal until it’s already too late, and a further 16% said they typically let the auto-renewal go through instead of shopping around.

The research also revealed that there are some products we’re much less likely to shop around for than others. Over a fifth of people (22%) said their mobile contract was the thing they were least likely to switch providers for, while 17% said it’s unlikely they’d shop around for their broadband.

A further one in ten admitted they are unlikely to switch their car insurance, possibly missing out on savings of £133.
The comparison site asked Brits about their habits when it comes to shopping for personal finance products and discovered that while nearly half (48%) regularly compare the deals available before renewing, others aren’t so diligent.

The research also reveals that across all products it’s older customers who are most likely to always compare their options to negotiate a better price (35%) while one in five of those aged 18 to 24 tend to forget about their renewal until it’s already auto-renewed.

Matt Sanders, spokesperson for Go.Compare commented on the findings: “While auto-renewing might feel convenient, most customers will be paying the price for letting their contracts roll over. Our research shows that there are a significant amount of people in the Uk who could save money on their household bills simply by shopping around- particularly when it comes to their mobile contract, broadband and energy provider.

“Shopping around and switching providers doesn’t have to be complicated or time consuming – using a comparison website like Go.Compare makes it easy to see multiple options in one place and find a deal that gives you what you need at the best price.

“If you are someone who tends to forget that a bill is renewing, the new year is a good time to sit down and work out when your expenses renew and set yourself reminders to shop around.”

For more money saving tips and to compare your bills visit https://www.gocompare.com/savings/money-saving-tips/

January 7th, 2025 | Andrew Hagger | News

New van buyers will spend an average of £1,732 extra on Vehicle Excise Duty (VED) from April, a recent study has found.  In total, van drivers will pay an additional £15.5 million over the first six months of the new tax year, if 2024 sales patterns continue.

The chancellor announced an increase in VED first-year rates, also known as ‘showroom tax’, in last year’s Autumn Budget. Drivers planning to purchase a new van after April may need to adjust their plans or face a hefty tax increase.

The figures were calculated by Go.Compare van insurance. The comparison site analysed data from the Department for Transport, reviewing privately owned van registrations in the first half of the 2024 tax year. It then applied the current and upcoming first-year VED rates to estimate how much more van buyers could pay in the approaching financial year, if consumer habits stay the same.

The study says that buying new diesel vans will result in the heaviest hit from the rise, as rates are based on a vehicle’s CO2 output. The emissions from diesel vans often place them in the top bands for VED. As a result, buyers could see a sharp average increase of £1,807 per vehicle in the first half of the 2025/26 financial year.

In total, new diesel van owners will spend an extra £14.2 million in tax during this period if sales from last year are matched. An additional £1.2 million will come from new petrol van purchases, the second highest rise of any fuel type. This equates to an average of £1,354 more per petrol van.

The increase will be much lower for those who choose greener vans. Buyers who opt for a hybrid will only pay an extra £252 towards the tax, over £1,500 less than diesel van drivers, while those who choose an electric van will spend just £10 more.

Tom Banks, motoring expert at Go.Compare, said: “The increased VED rates will result in a big hit if you buy a brand-new van later this year, but there are things you can do to absorb the blow. The tax rates are based on CO2 emissions, so if you’re able to, this is a good time to switch to a van using cleaner fuels in the cheaper tax bands.

“If you can’t buy a suitable hybrid or electric van, you could go for a ‘nearly new’ one instead. This lets you enjoy a vehicle that’s pretty much as good as new without breaking the bank, and means you can dodge the increased tax.

“Failing this, see if there are any other ways you can reduce your motoring spending to counteract the higher tax. Comparing van insurance policies might help you find a provider offering the same amount of protection for less, and finding new ways to maximise your fuel economy could help to cut costs further.”

To find out more about the impact of rising first-year rates for VED on van drivers, go to Go.Compare’s website.