If the cost of living continues to rise at current rates, those students starting a degree this year may see monthly costs hit £818 by the time they graduate in 2013, a monthly increase of £100.

Based on these figures, the average student currently requires £8,616 to meet their annual living costs although this could rise to £9,816 by 2013.

Rent is the biggest single expense with the average student currently spending £193 a month on accommodation although this could rise to £250 a month by 2013 if prices continue to rise.

While most costs have seen single figure increases, food prices have risen almost 13 per each year cent from 2004. Since then, the average monthly expenditure on food has risen from £44 to £78.

Students will be relieved to hear that some costs including recreation and transport have actually fallen across this period. In 2004 spending on recreation was running at £51 a month and this has dropped slightly to £49 today, while transport costs have fallen from £85 a month to £72.

Kate Moore, Head of Savings and Investments at Family Investments said:

“For those young people receiving their A Level results this week the decision as to whether to attend university may be less clear cut than in previous years. Prospective students face an increased cost of living, the potential for large sums of debt and a flat job market with a surplus of graduates.

“Higher education is an expensive business and these figures highlight the need to plan finances in advance. Those families who have put small sums away each month over several years will be better placed to meet these costs. While it was disappointing to hear the government’s recent decision to scrap Child Trust Fund vouchers, we are encouraging the government to keep the tax efficient structure of the product. A CTF is the only savings product that allows parents and families to save specifically for when their children reach this stage of life and begin to consider higher education and leaving the family home.”

The European Health Insurance Card (EHIC), formally know as the E111, is a must-have when travelling in Europe as it facilitates access to healthcare abroad. However, it may not cover all that could be required, such as long-term treatment. Even less severe cases, such as having a broken leg may result in medical repatriation becoming necessary as airlines may not be able fully accommodate you with the extra room and expense required.

A spokesperson for Direct Line Travel Insurance said:

“Making sure you have the right travel insurance might not seem like a priority when you’re planning a honeymoon or other big holiday, but you’ll be very glad to have the policy if you end up needing it. The EHIC only provides a minimal amount of local medical care, while a good travel insurance policy will cover many other costs including medical repatriation, which can easily run into tens of thousands of pounds or more.

“Carrying an EHIC is a sensible way to ensure easy access to the local health service during a temporary stay in another European country, and it also provides additional benefits for healthcare providers and patients alike, such as simpler and faster procedures for obtaining healthcare and quick and easy reimbursement of expenses. However, it is not a travel insurance replacement. We advise all holidaymakers to protect themselves by making sure they are insured against any losses in case the worst happens.”

Other highlights in the newly priced range include:

- Two-year fixed rate at 3.99% with a £995 fee
- Three-year tracker at 3.49% with a £495 fee (Bank of England base rate + 2.99%)
- Those who choose the three-year tracker can enjoy the benefit of a three-year product with the flexibility of having early repayment charges only for the first two years of the deal.

The Yorkshire also offers alternative versions of these products for those who would like a little additional help with the initial costs of their mortgage. These deals, which are detailed below, include a free standard valuation and legal service for borrowers who are remortgaging, and a free standard valuation and £250 cashback for home movers or those buying their first property.

- Two-year fixed rate at 4.19% with a £495 fee
- Three-year fixed rate at 4.69% with a £495 fee
- Three-year tracker at 3.59% (Bank of England base rate + 3.09%) with a £495 fee

Chris Smith, Senior Product Manager for Mortgages said: ”

Our new range of mortgages for people with a 15% deposit offers great value and a variety of options to suit borrowers’ pockets.

“Our fixed rate deals offer piece of mind when it comes to mortgage repayments for those who are concerned about possible future interest rate rises. The tracker deals offer a lower initial rate with the flexibility of having no early repayment charges after two years, meaning we should have something that will appeal to everyone.”

Whether they shop online or on the high street, nearly nine in 10 people (over 43 million or 88%) say they now constantly look for special offers and promotions – an increase of nearly 1.5 million from 85% in 2009. Getting money off is part of everyday shopping as three in five shoppers (62%) have used discount vouchers or codes in the last six months. Over half (53%) of online shoppers now compare prices and look for deals even on their smaller everyday purchases.

Women have led the nation’s search for bargains. Over nine in 10 (93%) women are always on the lookout for special offers and promotions compared to 84% of men.

PayPal looked at shoppers’ attitudes to price, deals and discounts and discovered five distinct groups of bargain hunters: Discount obsessed ‘Cut Throat’ shoppers are at one end of the bargain hunting scale and more relaxed ‘Uncut’ shoppers who rarely, if ever, seek out a deal sit at the other end.

As many as 18 million adults across the UK (37%) obsessively look for bargains and use every money-saving tool around – described in the report as ‘Cut Throat’ and ‘Cut Price’ shoppers.

One in six over 65s hardly ever search for discounts and usually pay the full price, while less than one in 10 over 65s could be described as ‘Cut Throat’. The most obsessive bargain hunters are aged between 25 and 44.

Those living in the London and the West Midlands are the least thrifty, with 13% of them being ‘Uncut’ shoppers. Whereas people from the South West and Wales are the most price-focused, with 41% of shoppers showing ‘Cut Throat’ or ‘Cut Price’ shopper behaviours.

But bargain hunters’ seemingly thrifty behaviour doesn’t mean they spend less online: the PayPal UK Online Retail Report shows the ‘Cut Throat’ shopper has spent on average £823 more online than the ‘Uncut’ shopper over the last six months.

‘Cut Throat’ consumers who bought groceries online over the last six months report the highest average spend in this area, forking out £135 (27%) more than the average online shopper spends in six months (£639 compared to £504).

Similarly, ‘Cut Price’ consumers who bought travel products such as holidays, flights or train tickets online in the last six months have spent the most in this area – £1060 compared to the average of £961.

Cameron McLean, General Manager, Merchant Services, at PayPal UK, said:

“Our research shows that online bargain hunters are often the biggest spenders. That’s good news for retailers, as they recognise that lower prices can be good for business. But it’s also great for a new generation of shoppers who expect to get better value for money.”

Author and Personal finance journalist Sue Hayward, who contributed to the report, said:

“I think most people are looking to make their money go further rather than cutting back. If you have a budget of £300 and you can get a washing machine £50 cheaper online, most people will trade up and get a better quality model online or via a department store or clearance website, rather than pocket the saving.”

The report suggests that the while nation as a whole is suffering the health fallout of worrying about how to cope with the cost of living, everyday bills and debt, the link between wallet and health is no clearer than among pensioners.

It shows that some nine million pensioners in the UK are enduring the harsh effects of financial worries in their later years as they face symptoms of finance-related stress including anxiety (43%), lack of concentration (22%), insomnia (24%) and feeling depressed (21%). And as the government plan to phase out the default retirement age of 65, more pensioners may be forced to carry on working in fear of developing these symptoms.

In fact, the stress caused by money concerns has reached epidemic proportions across all sectors of the nation, with an estimated 42 million adults of all ages suffering from the syndrome. This is double the number of sufferers of four years ago, when the syndrome was first identified by GP and mental health expert Dr Roger Henderson.

In this latest report, pensioners emerged as among the worst affected, with three-quarters admitting to feeling stressed about their finances – particularly about the cost of living – over the last 12 months and well over half saying their stress had worsened in that time.

About 60% of pensioners blamed the high cost of living on their woes, compared to just 40 per cent of high-level managers and around 50% of manual workers. Pensioners also believe cost of living will remain the key factor driving their money worries over the next 12 months.

Pensioners are also the most concerned of all groups about their situation deteriorating over the next year with 53 per cent expect it to worsen compared to 36 per cent of top managers. This is perhaps not surprising as the government move to link pensions with the less valuable CPI rather than RPI, leaving pensioners facing even more cuts in their pocket in 2011.

However, pensioners are also among the least likely to have taken any practical action to get out of their financial fix. While 36% of pensioners have taken some practical steps to take control of their finances, the worrying aspect is that just over a third of pensioners have done nothing at all to help deal with their stress. The report shows that just 5% of pensioners sought the help of an independent financial adviser, while about 1.5% visited a debt counsellor. About 5% spoke to a doctor and 3% have taken prescription drugs to help with their stress. The reports also showed that 13% turned to food and 13% to drink for consolation.

Eugene Farrell, Head of Psychological Health and Wellbeing at AXA said:

“Pensioners today have a lot to contend with. And while it’s no surprise to find money worries are a concern for them, it is deeply worrying that it is affecting their health in such a way. As an aging population, such financial and health issues are a major concern for us as nation and the consequences are likely to only get worse in the years to come. Central to dealing with Money Sickness Syndrome is to have a plan of action that not only reduces the burden of debt but in doing so helps to reduce the physical and psychological symptoms.”

For example, the consumer champion’s research reveals that consumers could be spending as much as £1,140 a year on unauthorised overdraft charges if they bank with Santander. And the disparity around charges doesn’t end there. While First Trust charges customers £185 a year for using a £200 authorised overdraft six days a month, whereas Coventry BS has no charge for a £250 authorised overdraft. Furthermore, each bank has very different ways of charging for overdrafts, making it difficult for consumers to compare accounts.

Even customers who stay out of the red are not getting a free ride from the banks. Which? found that lost interest and fees for using their card abroad could be costing consumers as much as £57 a year – and much more for those who travel overseas regularly.

Which? chief executive, Peter Vicary-Smith, said:

“Contrary to popular belief, banking is not free. Whether it’s through low interest rates or high charges, we all end up paying for our current account in the end.

“The complicated ways banks present charges makes it difficult for people to work out whether they’re getting a good deal. If you regularly go into the red or want a better return on your money, then the figures speak for themselves – it’s worth making the switch to a more suitable account.”

MSN has coined these costly mistakes ‘idiot taxes’, a catch-all term for all those forgetful and stupid acts, like putting the wrong fuel in a car engine and locking keys inside the home, that cost us dear.

According to the MSN Money poll, the most common idiot tax is the loss or breakage of mobile phones. A quarter of people admitted to forking out a large amount to replace their phone, in turn costing the nation up to £2.4 billion annually.
Most people are aware of credit card charges, but just as dangerous are seemingly unassuming film and book rental charges. One fifth have fallen foul of this idiot tax, with late fees and lost DVDS costing the nation a whopping £7.6 million.

Despite passing gruelling driving tests, one in 10 drivers confess to mistaking diesel for petrol and filling up car engines with the wrong fuel.  At over £100 a time to repair the damage, it collectively adds up to an additional £547 million a year. Meanwhile, a further one in ten commuters within London admit they waste money by failing to pay the London Congestion Charge, which in total amounts to over £91 million a year.

Simon Ward, MSN Money’s Senior Editor, said:

“Last year, Brits lost money through misplaced phones, DVDs, laptops, keys and more. Hectic lifestyles mean that people are constantly on-the-go and more likely to leave belongings behind, lose things or forget to make essential payments.  Ensuring we are keeping on top of basic costs and trying to keep a more watchful eye out is key to saving money in the long run.”

The report, released today, states:

“The recovery continued in the United Kingdom, with output growth across the first half of 2010 close to its historical average. But the level of economic activity remained well below its pre-crisis peak. The revival in the world economy also proceeded, albeit unevenly. The UK recovery is likely to continue, underpinned by the considerable monetary stimulus, further growth in global demand and the past depreciation of sterling. But the risks to growth remain weighted to the downside. Spare capacity is likely to persist over the forecast period, although its extent will depend on the strength of demand and the evolution of supply, both of which are uncertain.”

“CPI inflation remained well above the 2% target, elevated by temporary effects stemming from higher oil prices, the restoration of the standard rate of VAT to 17.5% and the past depreciation of sterling. And the forthcoming increase in the standard rate of VAT to 20% will add to inflation throughout 2011. As these effects wane, downward pressure on wages and prices from the persistent margin of spare capacity is likely to pull inflation below the target. But the pace and extent of that moderation in inflation are impossible to predict precisely. Under the assumptions that Bank Rate moves in line with market rates and the stock of purchased assets financed by the issuance of central bank reserves remains at £200 billion, inflation is a little more likely to be below the target than above it during the second half of the forecast period, although those risks are broadly balanced by the end.”

Martin Gahbauer of Nationwide commented:

“The reduction in the MPC’s expectations for economic growth comes as no surprise, as this is the first set of forecasts that takes into account the austerity measures announced in the Emergency Budget. The recent softening in many survey indicators – including this morning’s sharp fall reported in Nationwide’s Consumer Confidence Index – certainly supports the MPC’s more cautious assessment of the UK’s economic prospects. Yet even this more pessimistic forecast projects a relatively robust pace of economic recovery over the next several years, with only a small probability that the economy falls back into recession.

“Despite the upward revisions to the inflation forecast in the near term, the MPC still does not believe that above target inflation will persist over the medium-term. As a result, interest rates are unlikely to rise for the rest of this year at least.”

Eating and drinking whilst driving is the most prevalent dangerous habit, with 38% of motorists questioned admitting to having done this in the previous month. This is followed by driving whilst feeling tired (28%) and driving wearing flip flops or without shoes, which has increased from 14% last year to 18% this summer. Some 16% of drivers admitted to ‘excessive speeding’ in the last month.

Despite it being illegal to use a non hands-free mobile phone whilst driving, one in nine motorists (11%) surveyed said that they did this in the previous month and 6% admitted to sending text messages whilst driving. 11% of drivers questioned admit to driving ‘the morning after the night before’ and 6% admit to driving after having an alcoholic drink.

Some 8% of drivers say they have driven without a seat belt in the last month and the same number admit to having read a map while behind the wheel. The number of drivers admitting to succumbing to road rage has increased from 4% last year to 6% this summer.

Ben Tyte, Sainsbury’s Car Insurance Manager said:

“People can become very complacent behind the wheel, especially if they drive regularly. Often confident drivers can step over the line and drive in a manner that can endanger themselves and other road users. Simple actions like eating or drinking behind the wheel or driving with flip flops on can significantly increase the risk of you having an accident, so we would urge motorists to focus on their driving and not be tempted to engage in anything that may distract them.”

Halifax Clarity credit card, the new, no-fees credit card which doesn’t charge any fees for using the card abroad, offers existing qualifying current account customers the chance to earn a £5 monthly reward by spending at least £300 a month on their credit card.

Halifax Reward current account already offers customers a £5 monthly reward for depositing £1,000 a month into the account, which if translated into a credit interest rate would be the most generous long term rate from a current account for those with an average balance of up to £1,500.

The Clarity credit card offers an additional reward for qualifying Halifax current account holders. They will receive a £5 cash back offer when they spend over £300 in any one month. This additional reward means that existing Halifax Reward current account customers who pay £1,000 a month into their current account could now earn up to £120 a year; with a £5 monthly reward on their current account and £5 with the Clarity card.

Ian Hallett, Halifax Director Personal Current Accounts says:

“Customers looking for a bank account with long term rewards need look no further. With the Halifax Reward current account they can earn up to £60 each year. What’s more if they take up the offer on the Clarity credit card they can double those rewards to £120. Both products individually offer brilliant value, but taken together they represent a truly fantastic package for our customers”.

HSBC currently has around 330 branches which open on a Saturday. Over the coming months this is set to increase to 500 as branches in town and city centre locations open their doors to customers.

Branches affected by the change include:

North:

Ilkley, Skipton, Castleford, Brighouse, Keighley, Shipley, Goole, Pontefract, Bridlington, Otley, Leeds Crossgates, Hartlepool, Hexham, Morpeth, North Shields, South Shields, Whitley Bay, Wetherby, Richmond, Chester-le-Street, Cramlington.

Midlands:

Ashby-de-la-Zouch, Swadlincote, Ilkeston, Bedworth, Malvern, Coalville, Daventry, Alfreton, Long Eaton, Bicester, Stone, Droitwich, Bridgenorth, Bilston, Oxford Summertown.

North West:

Bury, Clitheroe, Nelson, Ellesmere Port, Nantwich, Wallasey, Morecambe, Whitehaven, Workington, Liverpool Allerton Road, Maghull, Liverpool Old Swan, Swinton, Chorley, Cleveleys, Leyland, Ormskirk, St Annes, Knutsford, Sale, Wilmslow.

Greater London:

Catford, Balham, Clapham, Wandsworth, Barking, Hackney, Upminster, Hampstead, Twickenham, Weybridge, Wood Green, Bexleyheath, Greenwich, Woolwich, Pinner, Ruislip, Windsor.

Central London:

High Holborn, Russell Square, Shepherds Bush, Gloucester Road, Marylebone High Street, St John Wood, Belgravia, Brompton Road.

South East:

Crawley, Redhill, Reigate, Deal, Dover, Folkestone, Ramsgate, Hailsham, Godalming, Chatham, Gillingham, Strood, Cosham, Gosport, Havant, Ryde, Waterlooville, Henley-on-Thames, Marlow, Littlehampton.

South West:

Clevedon, Nailsea, Bournemouth Winton Office, Christchurch, Wimborne, Bristol, Dorchester, Exmouth, Newquay, St Austell, Romsey, Southampton Shirley Office, Bridgwater.

East:

Huntingdon, Newmarket, Sudbury, Braintree, Clacton on Sea, Felixstowe, Cleethorpes, Skegness, Beaconsfield, Chesham, Dunstable, Leighton Buzzard, Great Yarmouth, Corby, Wisbech, Grays, Rayleigh, Hertford, Waltham Cross.

Wales:

Welshpool, Abergavenny, Pontypool, Haverfordwest, Cowbridge, Gorseinon.

In addition, extended opening hours will see around 80 branches opening beyond the usual banking hours from Monday to Friday.

Commenting on the changes, Peter Keenan, Head of Network, HSBC plc, said:

“Banking used to be something squeezed into the lunch break, along with the shopping. Today, customer habits have changed, and shopping has become more of a recreational activity. As a Bank, we are no longer competing for a share of our customer’s wallet, but rather for a share of their leisure time. That’s why we need to be open not just when our customers are working, but when they have free time too.”

“Customers value convenience and easy access and this announcement gives them exactly that. The extended opening hours are key to ensuring that we continue to be the natural first choice for people when they are considering their financial requirements.”

The new deal is available at any of the Yorkshire’s 135 branches, and is open to borrowers able to put up a 25% deposit with a fee of £995. A three-year fixed rate at 4.59% is also available for borrowers with a 15% deposit and a £495 fee.

For those looking for longer-term security, the Society is also offering similar five-year and ten-year fixed rate deals at 3.99% and 4.99% for borrowers with a 25% deposit.

Tom Girling, Product Manager for Mortgages said:

“Around 8 in every 10 of our mortgage applications are for a fixed rate product and the new three-year deal will join our existing range of competitive fixed rate products. There is certainly a demand for this type of mortgage as borrowers look for security, good value and great service – three great reasons to choose a Yorkshire fixed rate deal.

“Although we are currently in a low base rate environment, it is almost inevitable that rates will rise over the next few years. With concerns about inflation and rising costs elsewhere in the household budget, fixing your mortgage can give you piece of mind when it comes to your repayments.”

The survey reveals that Brits are not looking after the pennies when it comes to making the most of loose change. Two thirds of Brits (65%) regularly find loose change in a variety of places which could be put to better use.

With the average Brit thinking they have £1.61 in loose change down the back of the sofa, we could literally be sitting on nearly £43 million.

But loose change doesn’t only lurk in sofas. Pockets top the loose change league table with two fifths (39%) of Brits regularly finding loose change in them. This is closely followed by loose change lurking at the bottom of a bag (36%), in the car (27%) and down the back of the sofa (23%).

The research revealed that the highest value of loose change is likely to be found in a desk drawer (£3.59), closely followed by pockets (£3.38) and in the car (£2.44).

Brits also estimate they have an average total of £17.69 floating around in these places. This amount falls to £15.43 for women but rises to £21.03 for men.

When it comes to picking up money in the street, the average minimum amount Brits would pick up is 50p (£0.54) However, this rises to 61p for men, where as women will stop to pick up an average of 47p.

Younger generations will only stoop for higher amounts compared to older generations. For example, those aged 25-34 years would bend down for a minimum of 87p compared to those over 65 years who would stop to pick up an average minimum of 24p.

Out in the regions, stooping snobbery comes in to play with residents in Yorkshire and the Humber bending for an average minimum of 94p compared to their neighbours in the North East, who will pick up a minimum average of 24p.

However, two thirds of Brits (66%) said if they saw a penny lying in the street, they would pick it up for good luck. This rises to three quarters of women (73%) but falls to three fifths of men (58%). Residents in Wales are most likely to pick up a penny (78%) with those in London most likely to leave it lying in the street (53%).

It does still appear that Brits like to save their coins with three quarters (74%) keeping their loose change in a set place, such as a jar. For half (47%) of hoarders, the coins are mainly coppers, with a fifth (17%) storing mainly silver coins and just 5% reserving it for £1 or £2 coins. A third (30%) said they save any coins.

Flavia Palacios Umana, Head of Products, Halifax Savings, said:

“These figures prove that we should no longer ignore our loose change but manage these small sums more wisely
. The old saying ‘take care of the pennies and the pounds will take care of themselves’ continues to be firmly the case. We need to recognise this, instead of leaving our loose change languishing down the back of the sofa.”

There were 34,743 individual insolvencies in England and Wales in the second quarter of 2010. This was an increase of 5.0% on the same period a year ago.

This was made up of 14,982 bankruptcies (which were down 20.6% on the corresponding quarter of the previous year), 13,466 Individual Voluntary Arrangements (IVAs), (which were up 10.2% on the corresponding quarter of the previous year) and 6,295 Debt Relief Orders (DROs).

In the second quarter of 2010, 85.7% of bankruptcies were made on the petition of the debtor, comparable to the levels for recent quarters. The percentage of bankruptcy orders involving trading debts (self-employed bankruptcies) was 12.7% in the first quarter of 2010 (second quarter 2010 figures for trading-related bankruptcies are not yet available), similar to the level for 2009 as a whole.

Commenting on the drop in personal insolvency figures, Tim Moss, head of loans and debt at moneysupermarket.com said:

“On paper this looks like great news, however I’m inclined to see this as the calm before the storm. Many people are just about making ends meet due to the low Bank of England interest rates keeping the cost of mortgages down. However, the only way base rate can really go is up, and when this happens we could see many households tip over the edge as a result.

“With job losses in the public sector, VAT rises in January and the cost of living increasing, we may see many households plunge into further difficulties so although we should welcome the drop in insolvencies, we shouldn’t assume we are out of the worst of it.”

New figures from Nationwide show that UK house prices increased by 1.9% quarter on quarter in Q2 of 2010. The figures also show that annual house price growth in the South West has reached double figures, whilst Northern Ireland was the only region to see house prices fall in this quarter (Q2).

Commenting on the figures Martin Gahbauer, Nationwide’s Chief Economist, said:

“The second quarter of 2010 saw continued house price growth across nearly all UK regions. For the UK as a whole, prices rose by 1.9% in the quarter, leading to a slight increase in the annual growth rate from 8.8% in the first quarter to 9.5%.

“The South West of England saw the strongest growth in the quarter, with prices up by a seasonally adjusted 3.0%. This resulted in a pick up in annual growth from 8.9% to 12.5%. Greater London continued to be the best performing region on an annual basis with prices up 13.2% on Q2 2009.

“Similar to the first quarter, the northern and midland regions generally saw weaker growth than the southern regions. The East Midlands saw the weakest growth out of the English regions, with quarterly price growth of 1.2%. Despite a better performance this quarter, the North remained the weakest region on an annual basis, with prices up 6.0% year-on-year. The Outer Metropolitan region retained second place behind London, with annual growth of 12.9%, following a 2.3% increase over the quarter.

“Annual house price growth in Scotland picked up from 5.6% in the first quarter to 7.2%, but remained below the UK average. Quarterly price growth in Wales was similar to the rest of the UK, with a 1.8% rise in the quarter. However, on an annual basis, Wales was the second weakest region with prices up only 4.7% year-on-year.

“Northern Ireland experienced another weak quarter, with the quarterly rate of change falling from -1.0% to -5.7%. On an annual basis, house prices were down 5.2% – a slight deterioration from the 3.0% year-on-year fall in the first quarter. Northern Ireland remained the worst performing UK region.”

A new survey of over 2,500 broadband customers carried out by Broadbandchoices.co.uk has revealed what their priorities are when it comes to the service they receive and the complaints they make.

When asked to identify the most important aspect when choosing a broadband service, over one third (35%) chose connection reliability. This was closely followed by connection speed (32%) whilst value for money came in third (22%), mirroring results from the previous year’s survey. Surprisingly, customer service was completely overlooked by respondents with only 6% saying they valued this aspect the most.

When asked if they felt their broadband provider had lived up to its claims, a disappointing 39% said no. Whilst this is an improvement on last year’s results (47% said they were disappointed with their broadband provider in 2009) it still indicates that despite progress being made, there is still much to be done when it comes to improving customers’ experience of their broadband service.

Disappointment with connection speed was the top gripe at 77% – a worrying increase of over last year’s survey (70%) where it also topped the list of broadband bugbears. Customer service came 2nd with over a third (35%) experiencing frustrations in this area. 32% of respondents said they were unhappy with the reliability of their broadband connection.

Michael Phillips, Product Director, commented:

“The main reason for dissatisfaction amongst broadband customers is still overwhelmingly due to broadband speeds not living up to the hype, demonstrating that there continues to be a huge disparity between speeds advertised and the speeds delivered. These results are even more troubling given Ofcom’s – and the ISPs – supposed attempts to make this more transparent to consumers. Dissatisfaction with connection speed has actually risen since last year’s survey.

“It was particularly interesting to see that well over a third (35%) found their broadband provider lacking in customer service skills – the second most common complaint. Whilst few people seem to make purchasing decisions based on customer service (a mere 6%) it clearly matters when consumers are forced to contact their ISP to get other problems resolved.”

Households are paying £84 a year in ‘hidden taxes’ on their energy bills to help meet the cost of combating climate change. But mounting pressure could see these taxes more than double to £176 a year within the next decade, warns uSwitch.com.

Households currently spend an average £1,194 a year on energy with £84 or 7% of this going towards environmental levies. These include: the EU Emissions Trading Scheme (£24), Carbon Emissions reduction Target (£45), Community Energy Saving Programme (£3) and the Renewables Obligation (£12). However, policies launched under the previous Government are expected to add a further 6% in levies over the next decade. This will cost consumers an extra £72 a year on their energy bills, resulting in the average household paying a whopping £156 a year in environmental ‘taxes’.

It doesn’t end there though. The Treasury is already said to be considering an additional levy on electricity bills that could add a further £10 – £20 to bills. If this happens consumers could see the ‘hidden tax’ on their energy bills more than double within the next decade to £176, accounting for 15% of the current average household bill.

But this could actually be the thin end of a wedge. Ernst & Young calculates that investment in Britain’s energy supplies will cost over £230 billion, potentially adding £548 onto household energy bills over the next 15 years. While much of this cost can be expected to be recouped through higher energy prices, it could also have an impact on the amount being paid in levies. In fact, some of the levies already being charged on household energy bills are going towards meeting this investment cost.

Understandably, consumers are concerned. According to uSwitch.com research 44% of consumers say that the commitment to cutting carbon emissions and moving to greener energy sources has to be balanced with the impact on people’s bills, while almost a quarter (22%) say that affordable energy has to be the priority.

Three in ten consumers (30%) say that the cost should be shared across Government, industry, consumers and businesses. A further 14% say that it should be applied as a proportionate charge on energy bills so that high users pay more, while those who consume less pay less.

However, there is currently no clarity on how these ‘taxes’ are applied. If suppliers end up charging them as a flat fee, people consuming less energy will find themselves paying proportionately more. Rather than offering an incentive for cutting consumption, the levies will serve as a penalty.

Ann Robinson, Director of Consumer Policy at uSwitch.com, said:

“Environmental levies are going to account for a growing and substantial part of our bills and will in turn play a growing and substantial part in pushing the cost of our energy up. If consumers are to be expected to meet these costs then there has to be clarity over what these ‘hidden taxes’ are for, a cap set on how much consumers will end up paying and transparency over how the levies are being applied.

“If the levies are applied proportionately they will act as an incentive for households to cut their energy consumption. If not, then the industry will be sending out a very mixed message to consumers. Unfortunately, there is already a precedent here with low energy users generally receiving a smaller percentage price cut than high users earlier this year. Safeguards will also need to be put in place so that people who consume high amounts of energy for health reasons are helped rather than penalised.

“The important thing though is for consumers to grasp the longer-term implications of these levies – the only way household energy bills are going is up. It is crucial that we now all take steps to become more energy efficient and to ensure that we are paying the lowest possible price for our energy. This will help to mitigate the impact on our bills. I would also urge consumers to speak to their supplier to find out what support they can offer – part of the tax on our bills goes towards funding suppliers’ energy efficiency programmes and they may qualify for help.”

Football fans across the UK are preparing to sacrifice their hard-earned cash as 2.7 million of them say they will compensate their partner with various gifts and gestures for the time they spend watching the World Cup.

New research from Santander Current Accounts reveals that Brits will collectively spend £260 million on flowers, restaurant meals, holidays and other peace-offerings in a bid to make up for neglecting their other half while watching Rooney and Messi strut their stuff in the Rainbow nation.

Millions of football fans are braced for off-field disputes of the domestic variety, with 4.1 million supporters (10 per cent) predicting that watching the footy will be the cause of an argument between them and their partner.

In an effort to patch things up, 2.7 million Brits are planning to grovel once the World Cup is over by doing extra housework (31 percent), allowing their partner to watch their favourite TV programme (23 per cent), or doing more in the garden (20 per cent). A further 15 per cent plan to make peace by helping out more with the children and 11 per cent say they will atone for their World Cup box watching by sacrificing time that would otherwise be spent with friends.

Of the millions of us that will be compensating our partner, many will be splashing their cash on gifts, spending an average of £96 each and an impressive £260 million in total. An astonishing 100,000 very generous football fans will spend over £500 on peace-offerings, including holidays, dining out and flowers. Santander’s research shows that female footy followers will also be paying out, with nearly 1 million (931,334) women saying they expect to be compensating their partners after watching the games, spending an average of £67 each on gifts. Men plan to spend £111 on average repairing the damage done by their soccer squabbles.

Analysis by moneysupermarket.com has shown that UK consumers who remain loyal to their bank could be paying around £2,814 more over a year compared to those who shop around for the best deals.

By comparing the current best buys products from each of the main high street banks, the analysis shows that the bank which gives the most value for money for existing customers is HSBC, who beat NatWest into second place, and Nationwide into third.

However consumers using a comparison site such as moneysupermarket.com to source their financial products would save £300 a year over a HSBC customer, and interestingly use just one HSBC product.

Kevin Mountford, Head of Banking at moneysupermarket.com, said:

“Many people like to keep their finances simple, and that can mean doing all your banking with the same provider. In addition to this many people like to develop a loyalty to a particular brand, which again encourages people to find a one stop shop for their financial needs, but our research shows that the old adage of not putting all your eggs in one basket couldn’t be truer in this instance. Banks rely on this apathy among their customers so they don’t have to work very hard to make sure they provide the best deals to their own base.

“At a time when finances are tight, and things are not likely to improve in the near future due to potential tax rises, pay freezes etc, it is more important than ever to take control and make the most of every penny you have. By switching to the best deals in the market, you could potentially give yourself a large pay rise for just a few hours work, which could be used to boost your savings or pay down your debts quicker.

“There is no doubt that the internet has helped change the way many people bank and shop for financial products. Many people now feel empowered to shop around and get the best individual deal for the different products they need. It is clear that this strategy pays off, with consumers able to use the power of the web to save money – last year moneysupermarket.com saved its customers over £400 million.”

Although both men and women are saving less than they were last year, women are still lagging behind men with just 43% of women saving enough to have a comfortable retirement, compared with 52% of men.

Giving up on pensions? You’ll be missing out

The data suggests that people – women in particular – are giving up on pension saving in the UK, which could be a costly mistake. Not only are they risking their future by not planning ahead for their retirement, they are missing out on thousands of pounds in tax relief that is, instead, staying in the Treasury coffers.

Basic rate taxpayers get 20% tax relief on their pension contributions, meaning in the simplest terms that it would cost you £80 to make a £100 contribution. Higher rate taxpayers get 40% relief, so the same £100 contribution would cost you just £60.

What this means, in short, is that by saving into a pension plan you automatically get either a 20% or 40% immediate uplift in your payments for no effort. Although higher rate taxpayers must remember to reclaim their extra relief through their self-assessment forms.

Get some help now

Some people find pensions complicated, others feel they offer a poor way to save for retirement. In fact, neither is the case, especially if you get some specialist pension help along the way.

So speak to a pension adviser now to make sure you get the right plan for you. You can’t rely on the State pension to bail you out, so make your own plans now.