FSA supports new parents with money guide
by Gill Montia
Story link: FSA supports new parents with money guide
The Financial Services Authority (FSA) is to provide new parents with money advice packs that contain information on budgeting, benefits and the cost of childcare.
The Parent’s Guide to Money (PGM), which will be distributed by midwives to mothers in the early stages of pregnancy, will also contain information on maternity leave and Child Trust Funds.
The [...]
Ethical investments seen as lower risk
by Gill Montia
Story link: Ethical investments seen as lower risk
The UK’s savers are apparently wising-up to the benefits of ethical investments.
According to the Ethical Investment Research Service (EIRS), the number of people seeking to invest in ethical funds is “rapidly growing”.
While in recent years interest in ethical and green products has been gaining pace generally, Mark Robertson, a spokesman for EIRS believes that some [...]
FSA changes to investment business disclosure
by Gill Montia
Story link: FSA changes to investment business disclosure
The Financial Services Authority (FSA) is developing a new regime for the conduct of investment business.
Following the introduction of a “principles-based approach to disclosure” in the FSA’s Conduct of Business Sourcebook published last November, the regulator plans to introduce a single disclosure document.
The document will combine the information enclosed in the Menu and Initial Disclosure [...]
Strong competition boosts savings rates
by Gill Montia
Story link: Strong competition boosts savings rates
Despite two recent cuts in the Bank of England’s base rate, savers are benefiting from strong competition among banks and building societies.
Leading lenders are keen to reduce reliance on the wholesale money markets by increasing deposits and are therefore offering some attractive rates.
According to Moneyfact.co.uk, the financial comparison website, savings rates are as much as [...]
Egg drops unprofitable customers
by Brian Turner
Story link: Egg drops unprofitable customers
Internet banking service, Egg, has told 161,000 customers by letter that they will no longer be able to use their credit card after 35 days time.
Egg - recently bought by Citigroup - insisted that the customers it was dropping were “high risk”.
However, reports from angry consumers suggests that it is actually those who pay no [...]
Tesco Latest To Announce Withdrawal Of Cheques
by Stewart Douglas
Story link: Tesco Latest To Announce Withdrawal Of Cheques
The UK’s largest retailer Tesco has today announced that it will no longer be prepared to accept cheques as payment for its goods, in a bid to streamline the retail process and bring about improved security throughout its retail operation, following similar moves by a significant number of retail groups over the last few months.
Cheques [...]
Social forum promotes Ethical Investment Week
by Gill Montia
Story link: Social forum promotes Ethical Investment Week
The UK Social Investment Forum (UKSIF), a membership network for sustainable and responsible financial services, is launching a new website aimed at increasing participation in the UK’s first National Ethical Investment Week (NEIW).
The event, which will be held between 18th and 24th May this year, marks the first occasion on which the financial services industry [...]
Bulding society receipts exceed £16bn
by Gill Montia
Story link: Bulding society receipts exceed £16bn
Building societies will remember 2007 as a bumper year, with a record £16.1 billion of savings deposited in accounts.
The figure is almost double that of 2006 and reflects the impact of the Northern Rock crisis in the autumn.
In October of last year, building societies recorded net receipts of £3 billion, up from a record £2.8 [...]
November savers deposit £2.35 billion with building societies
by Gill Montia
Story link: November savers deposit £2.35 billion with building societies
Deposits made into building societies totalled £2.35 billion in November.
The amount is the third-highest on record and reflects savers’ preferences for a “safe-haven investment” following the Northern Rock crisis, falling share prices and talk of a recession.
November’s net figure of £2.35 billion is almost three times the £848m saved during the same month in 2006.
September [...]
Retirement prospects governed by lack of knowledge
by Gill Montia
Story link: Retirement prospects governed by lack of knowledge
New research from Abbey Savings indicates that over one-half of UK adults do not know how much money they need for their retirement.
Even amongst the over 65s, who are most likely already retired, 53% of those surveyed could not answer the question.
According to the research, 16% of respondents believed that they would be able to [...]
Savers lacking in confidence
by Gill Montia
Story link: Savers lacking in confidence
Standard Life has published its latest Savings & Investment Index, which shows a substantial drop in consumer confidence in the savings and investment market.
The insurance company’s research found that independent saving accounts were the most favoured investment vehicle.
Pensions schemes came next with savers enthusiastic about occupational pension schemes, personal pensions and self invested personal pensions.
Putting [...]
Skipton launches online saver and installs Compliance Alert
by Gill Montia
Story link: Skipton launches online saver and installs Compliance Alert
Skipton Building Society has installed new software aimed at detecting money laundering and fraud.
The Compliance Alert software replaced existing manual and in-house systems from late October and was operational for last week’s launch of the building society’s new Internet savings account.
The Online Access account includes a 0.50% bonus for the first six months, giving an [...]
Savings increase ahead of unsecured borrowing
by Gill Montia
Story link: Savings increase ahead of unsecured borrowing
Alliance & Leicester’s (A&L) latest research on UK savings habits has found that savings have nearly doubled since 2000.
According to the bank’s Changing Face of the Savings Market report, balances have increased £426 billion in seven years, well ahead of unsecured borrowing, which has increased by £79 billion.
A&L Savings expects the trend to continue, having [...]
Investment funds flourish despite credit squeeze
by Gill Montia
Story link: Investment funds flourish despite credit squeeze
The Investment Management Association (IMA) has published its latest figures, which indicate that the credit squeeze has had little impact on the amount of money coming into UK investment funds.
During September, cash under management of UK domiciled investment funds increased 2.5% on August, to £468.3 billion. The figure is 21% higher than in September [...]
UK consumers borrow and save less
by Gill Montia
Story link: UK consumers borrow and save less
The latest Borrowing Monitor from Alliance & Leicester (A&L) shows a marked change in the habits of UK consumers as they adapt to the five base-rate increases since August 2006.
In July 2006, the month before the first base-rate rise, the monitor registered the mood as ‘fighting fit’ but the signs are that people are less [...]
Treasury waiver for Northern Rock Isa withdrawals
by Gill Montia
Story link: Treasury waiver for Northern Rock Isa withdrawals
Northern Rock customers who withdrew savings from tax-free savings accounts in last month’s run on the bank will be allowed to re-invest their money, without losing any tax advantages.
Last week the government guaranteed savings held by the bank, including any deposited after 19th September, but the rules on individual savings accounts (Isas) stipulate a [...]
Chancellor extends Financial Services Compensation Scheme
by Gill Montia
Story link: Chancellor extends Financial Services Compensation Scheme
The Chancellor of the Exchequer, Alistair Darling, has extended the Government’s scheme to protect savers with deposits in UK banks and building societies.
The Financial Services Compensation Scheme (FSCS) originally gave such savers a 100% guarantee for the first £2,000 of their savings, followed by a 90% guarantee on the next £33,000.
However, emergency measures were [...]
Northern Rock savings reallocated
by Gill Montia
Story link: Northern Rock savings reallocated
The UK’s leading High Street banks are benefiting from Northern Rock’s difficulties as its former customers seek a safe haven for their money.
Barclays has reported an influx of millions of pounds in deposits since savers withdrew up to £2 billion from Northern Rock.
Lloyds TSB and Abbey are also opening new savings accounts daily, for [...]
Savers exercise caution
by Gill Montia
Story link: Savers exercise caution
Peopleschampion.com is convinced that consumers are becoming increasingly cautious with their savings in response to volatile financial markets and the Northern Rock crisis.
According to Jim Spowart, chairman of the price comparison website, high rates of interest are losing ground to savings plans with a “safe haven” feel.
In a survey of Northern Rock customers, Peopleschampion found [...]
Chancellor reviews loan protection scheme
by Gill Montia
Story link: Chancellor reviews loan protection scheme
The Chancellor of the Exchequer, Alistair Darling, is considering a wide range of financial reforms in response to the difficulties experienced by Northern Rock, which had to be rescued by the Bank of England following a run on the bank.
The existing UK deposit protection scheme guarantees 100% of the first £2,000 of a saver’s money [...]
