State Pension Age to increase earlier than planned

The Government has announced a change in its plans for the State Pension Age, delaying it by a year for six million people. The plans will increase the State Pension Age to 68 for people currently aged between 39 and 47. The change will be phased in between 2037 and 2039, seven years early that had previously been proposed. The Government believes the change will reduce the cost of the State Pension by £74 billion by 2045/46. In an announcement today, David Gauke, the Secretary of State for Work and Pensions, confirmed that ...

Confusion over pension contribution cap resolved

The Government has moved to resolve the confusion over the amount some people can pay into their pension. Although, not everyone will be happy with the news. Announced in the Budget earlier this year, the change proposed a cut in the amount some people could pay in to their pension. Known as the Money Purchase Annual Allowance (MPAA), it caps the amount some people, who have already drawn money from their pension under the new Pension Freedom rules, can subsequently contribute. The Government proposed a cut from £10,000 to just £4,000. However, ...

“Scrap tax changes” – every residential landlord

New research from Paragon Mortgages reveals that most Buy to Let (BTL) landlords want the Government to reverse changes made to the way BTL investments are taxed. It may sound a little obvious, but the Paragon Mortgages PRS Trends report shows that landlords are aware of the changes in the way that BTL will be taxed. In the first quarter of 2017, 88% said that they fully understood the implications of tax relief changes, up from 71% six months prior. The Paragon PRS Trend report surveyed 201 residential landlords, asking what single ...

Fixed bond interest rates rise by 30 per cent since January

Savers who can put their money away for the long term are able to earn 30 per cent more than they would six months ago, according to analysis by Telegraph Money. Those willing to put their money into fixed rate bonds are being rewarded with significantly higher interest rates, with Paragon Bank leading the best buy tables on their: One-year fixed bond Two-year fixed bond Three-year fixed bond Five-year fixed bond With interest rates on fixed savings bonds creeping up over the past few months, predictions of further increases are being made ...

Pension tax relief is safe for now…

In the run up to any budget or General Election, there are always rumours circulating regarding the abolition of pension tax relief. In fact, whenever the Government look to save money, pension tax relief seems to be a likely target. Therefore, many pension savers will be pleased to hear that the threat of cuts to the current system have been publicly neutralised by David Gauke, the Work and Pensions Secretary. Mr Gauke released a statement on the 4th July, saying that he doesn’t expect to see any fundamental changes in the near future. What ...

Surprise ‘triple lock’ U-turn announced as DUP signs deal with Conservatives

The Conservative party has scrapped a manifesto commitment to drop the State Pension ‘triple lock’, along with plans that would have seen the Winter Fuel Payment means-tested in the future. Announced earlier today, the news comes at the same time as a confidence and supply deal, with the Democratic Unionist Party (DUP). The DUP has agreed to back the Conservative Government on key votes. The ‘triple lock’ means the State Pension increases by whichever is the highest out of: The rate of inflation as measured by the Consumer Price Index (CPI) Average ...

The Queen’s speech: How will it affect your personal finances?

The 2017 Queen’s speech was delivered after a General Election that has left the Conservative party without a majority. This has forced Theresa May to drop many of the big manifesto promises. So, what stays? What has been cut? And how will your personal finances be affected? Brexit Unsurprisingly, Brexit dominated much of the Queen’s speech, with eight of the 27 bills being brought forward covering subjects such as: Repeal Bill Introduced to convert EU law into UK law. Customs Bill Ensures that the UK has a standalone UK customs regime on exit, flexibility to accommodate future ...

Nearly one in four people have no savings – are you one of them?

According to new research by Legal and General, the average UK employee only has enough money saved to maintain their lifestyle for a month if their income suddenly stopped. The results from a survey of 2,000 people suggest that the nation is ill-prepared for a financial emergency, with many having only enough savings to last them a week, and some having none at all. How does it differ by region? As a general rule of thumb, it is recommended to have enough money saved to last you three months. As with all rules of ...

Inflation hits a four year high of 2.9%

Good news and inflation haven’t shared an article for quite some time. Today is unfortunately no different. A bulletin, released by the Office for National Statistics (ONS), reveals that the rate of inflation as measured by the Consumer Price Index (CPI) has risen to 2.9%, the highest level in nearly four years. Relatively high inflation has been a recurring point of discussion since the start of the year, when it grew to 2.3% and showed no signs of slowing down. With a peak of 4.1% now predicted by the end of the ...

First Cash LISA revealed

Since being announced in the 2016 Budget, the Lifetime ISA (or LISA, as it has become ubiquitously known) has provoked a variety of reactions. Some are calling it the perfect savings vehicle for the Millennial generation, others are labelling it just another government gimmick, and the rest don’t care either way. Despite a fairly lukewarm launch from a limited number of providers, the LISA has attracted over 14,000 people in the first month, despite being only offered as a Stocks & Shares version. This has now changed, with the first Cash LISA being ...
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