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Premium bonds prize money goes unclaimed
If you have any premium bonds then you could be in luck. National Savings & Investments (NS&I) have reported that there are as many as 550,000 customers who have failed to claim prize money from their premium bonds. These unclaimed prizes range from £25 to £100,000 and NS&I have urged customers to check whether they are entitled to any winnings. You can check whether you have won by checking the NS&I website, or by writing to them. It definitely pays to check as the total sum of unclaimed prizes totals nearly £30million.
Let’s now review the other top money stories of the past week commencing the 16th February 2009.
Monday 16th February
Is the recession going to be worse than expected? – The Confederation of British Industry (CBI) published a report today which suggests that the UK's economic downturn could be worse than expected. According to the CBI the UK economy will shrink by 3.3% in 2009, a figure substantially higher than the 1.7% forecast by the Treasury in November 2008. The CBI has also predicted that employment will reach 2.9million by the end of 2009, with it breaking through the 3million barrier during 2010.
Let’s now review the other top money stories of the past week commencing the 16th February 2009.
Monday 16th February
Is the recession going to be worse than expected? – The Confederation of British Industry (CBI) published a report today which suggests that the UK's economic downturn could be worse than expected. According to the CBI the UK economy will shrink by 3.3% in 2009, a figure substantially higher than the 1.7% forecast by the Treasury in November 2008. The CBI has also predicted that employment will reach 2.9million by the end of 2009, with it breaking through the 3million barrier during 2010.
Tuesday 17th February
Inflation falls in January –Both of the measures that are used to track inflation, the Consumer Price Index (CPI) and the Retail Price Index (RPI) released data for January today and both measures showed a fall in inflation. According to the CPI, inflation - the measure of how quickly prices are rising - fell slightly from 3.1% in December 2008 to 3% in January, whilst the RPI fell more sharply from 0.9% in December 2008 to 0.1% in January. The reason that these two measures reflect different percentage falls is because the RPI includes housing costs, and the sharp fall in the RPI has been attributed to the fall in mortgage repayment bills caused by the further cut in interest rates seen in January. This most recent RPI figure reflects the lowest level seen since 1960 and has prompted fears that wage increases may stop, as the RPI measure of inflation is often used by employers to agree wage negotiations. Because the RPI is now so low, it is expected that next month it will turn negative and the UK will experience deflation. Although this can seem like good news as prices are not rising, and are getting cheaper, in the long run it can be very dangerous for the economy as people delay spending money in the hope that things will become cheaper the longer they wait.
Inflation falls in January –Both of the measures that are used to track inflation, the Consumer Price Index (CPI) and the Retail Price Index (RPI) released data for January today and both measures showed a fall in inflation. According to the CPI, inflation - the measure of how quickly prices are rising - fell slightly from 3.1% in December 2008 to 3% in January, whilst the RPI fell more sharply from 0.9% in December 2008 to 0.1% in January. The reason that these two measures reflect different percentage falls is because the RPI includes housing costs, and the sharp fall in the RPI has been attributed to the fall in mortgage repayment bills caused by the further cut in interest rates seen in January. This most recent RPI figure reflects the lowest level seen since 1960 and has prompted fears that wage increases may stop, as the RPI measure of inflation is often used by employers to agree wage negotiations. Because the RPI is now so low, it is expected that next month it will turn negative and the UK will experience deflation. Although this can seem like good news as prices are not rising, and are getting cheaper, in the long run it can be very dangerous for the economy as people delay spending money in the hope that things will become cheaper the longer they wait.
Wednesday 18th February
Crackdown on phony debt management agencies – The Ministry of Justice has announced today that it is launching an official crackdown on firms that make misleading and ultimately false claims to write-off your debt. Citizens Advice has reported a large increase in companies making false claims that they can help you get rid of your debt. If you are in need of debt advice, then remember that it is something that you don’t need to pay for! You can get free advice from trained advisers at your local Citizens Advice Bureau or you can contact the Consumer Credit Counselling Service either by phone on 0800 138 1111 or visit their website at http://www.cccs.co.uk/
Government failing to meet child poverty targets – In 1999 Tony Blair committed to reducing child poverty from 3.4 million in 1998 to 1.7 million by 2010 and to abolish child poverty completely by 2020. Yet today, a study produced by the Joseph Rowntree Foundation (JRF), has predicted that the target is going to be badly missed as JRF estimate that 2.3 million children will still be living in child poverty at the end of 2010. A child is deemed to be living in child poverty if their parents earn less than 60% of the British median household income. The study has called for a further £4.2bn to be invested into tax credits in order for the Labour government to meet the targets they set themselves in 1999.
Crackdown on phony debt management agencies – The Ministry of Justice has announced today that it is launching an official crackdown on firms that make misleading and ultimately false claims to write-off your debt. Citizens Advice has reported a large increase in companies making false claims that they can help you get rid of your debt. If you are in need of debt advice, then remember that it is something that you don’t need to pay for! You can get free advice from trained advisers at your local Citizens Advice Bureau or you can contact the Consumer Credit Counselling Service either by phone on 0800 138 1111 or visit their website at http://www.cccs.co.uk/
Government failing to meet child poverty targets – In 1999 Tony Blair committed to reducing child poverty from 3.4 million in 1998 to 1.7 million by 2010 and to abolish child poverty completely by 2020. Yet today, a study produced by the Joseph Rowntree Foundation (JRF), has predicted that the target is going to be badly missed as JRF estimate that 2.3 million children will still be living in child poverty at the end of 2010. A child is deemed to be living in child poverty if their parents earn less than 60% of the British median household income. The study has called for a further £4.2bn to be invested into tax credits in order for the Labour government to meet the targets they set themselves in 1999.
Thursday 19th February
Bank of England sets plans to print money –The Bank of England has requested permission from Alistair Darling to start a process called ‘quantitative easing'. Put very simply this means increasing the supply of money in the economy. This process will involve the Bank of England creating new money to be used to purchase private sector assets in order to boost the liquidity in UK markets, in the hope that this will improve credit availability and encourage lending. This move appears to be a last ditch attempt to get banks to make credit available to the British public and its businesses. It is expected that Mr Darling will give the go ahead, which could mean the process of ‘quantitative easing' could start as early as next month.
Bank of England sets plans to print money –The Bank of England has requested permission from Alistair Darling to start a process called ‘quantitative easing'. Put very simply this means increasing the supply of money in the economy. This process will involve the Bank of England creating new money to be used to purchase private sector assets in order to boost the liquidity in UK markets, in the hope that this will improve credit availability and encourage lending. This move appears to be a last ditch attempt to get banks to make credit available to the British public and its businesses. It is expected that Mr Darling will give the go ahead, which could mean the process of ‘quantitative easing' could start as early as next month.
Friday 20th February
Repossessions rise in 2008 –The Council of Mortgage Lenders (CML) revealed today that 40,000 homes were repossessed in 2008. Although this represents a rise of 54% from the number of homes repossessed in 2007, the CML had originally made a forecast of 45,000 homes to be repossessed in 2008, so these figures are not quite as bad as they had expected. The CML have also revealed that at the end of 2008 there were 219,000 households that were three or more months behind with their mortgage repayments, a massive increase from the 127,500 that were three or more months behind with their repayments at the end of 2007. The CML has painted a rather depressing picture in the housing market as it predicts that repossessions this year could reach 75,000, with another 500,000 households falling behind on their mortgage repayments. The government is set to announce today further changes to the Homeowner Mortgage Support Scheme, designed to give homeowners an interest payment holiday for up to two years. If you are falling behind on your mortgage repayments it is vital that you seek help and contact your lender. The Consumer Credit Counselling Service (CCCS) has a dedicated mortgage team that can provide you will advice on the best way forward.
Repossessions rise in 2008 –The Council of Mortgage Lenders (CML) revealed today that 40,000 homes were repossessed in 2008. Although this represents a rise of 54% from the number of homes repossessed in 2007, the CML had originally made a forecast of 45,000 homes to be repossessed in 2008, so these figures are not quite as bad as they had expected. The CML have also revealed that at the end of 2008 there were 219,000 households that were three or more months behind with their mortgage repayments, a massive increase from the 127,500 that were three or more months behind with their repayments at the end of 2007. The CML has painted a rather depressing picture in the housing market as it predicts that repossessions this year could reach 75,000, with another 500,000 households falling behind on their mortgage repayments. The government is set to announce today further changes to the Homeowner Mortgage Support Scheme, designed to give homeowners an interest payment holiday for up to two years. If you are falling behind on your mortgage repayments it is vital that you seek help and contact your lender. The Consumer Credit Counselling Service (CCCS) has a dedicated mortgage team that can provide you will advice on the best way forward.
| Top Money Stories February 16th - 20th 2009 |
