Evolution Money is thrilled to be appearing at the Financial Services Expo (FSE) in Glasgow on March 4th. It is the first time the FSE has been located north of the border and marks the increasing popularity and recognition within the Financial Services industry of the series of high-profile annual events.
Following Evolution Money’s recent Loan Talk Awards win for Best Adverse Secured Loan Product, the inaugural Glasgow event, held at the centrally located Hilton Hotel, kicks of the Expo season for Evolution Money. The award winning lender will also be appearing at the Manchester Expo to be held at The Emirates Old Trafford (20 May), and the London Expo which is taking place at Old Billingsgate later in the year (16th and 17th September).
Recognising a growing market in Scotland, Evolution Money have chosen the event to launch their range of new finance products and offers to business introducers.
These include: Homeowner Restricted Equity Loan, Homeowner Equity Loan, Unsecured Personal Loan for Homeowners and an innovative and unique Buy-To Let Loan product which will offer landlords the opportunity to release equity in their properties up to 90% (LTV)
Rhian Roberts: Head of Evolution Money’s Business Development Team commented:
“We are very much looking forward to showcasing our new ground-breaking range of customer-focused products and business introducer benefits at the inaugural Glasgow event. Having attending a number of FS Expos, they get bigger and better and have become a ‘not to be missed’ financial services industry event. Evolution Money are proud to be involved”
Come along to the Hilton Hotel on March 4th, meet the team and find out what opportunities exist as an introducer, referrer or partner. The team are looking forward to forging new working relationships and excited to highlight the benefits the wider financial referral network can gain from working alongside the increasingly successful brand.
Find out more about FSE Glasgow 2015 here: http://www.financialservicesexpo.co.uk/fse-glasgow/
Interest rates in the UK have remained as low as 0.5 per cent for six years. The Bank of England first cut the rate to its current level in March 2009, in a bid to boost the economy during the credit crunch.
Recent economic growth has led to speculation that the Bank has plans to raise the cost of borrowing money in the near future. However, inflation is very low, at 0.3 per cent, and so the Bank’s policy makers are unlikely to increase the interest rate for some time yet.
Inflation is likely to remain low and may even turn negative in the late spring, chiefly because the cost of oil has almost halved since last summer.
Bank of England governor, Mark Carney, has spoken of reducing interest rates still further if prices fail to rise over the coming months. He predicts that they will start to increase by the end of this year.
The problem with falling prices is that consumers often put off buying expensive goods in the hope that prices will fall further. Seventy per cent of the British economy is dependent on consumer activity and so a slowdown in sales inevitably has a dramatic effect on economic growth.
Senior economic advisor, Martin Beck of the EY Item Club, believes that the next interest rate rise will not come until early 2016, when inflation should be above 1 per cent and likely to reach the Bank’s target of 2 per cent.
Chief economist at the British Chambers of Commerce, David Kern, called on the Bank to state its intentions clearly, adding that many British exporters are already suffering because the pound is so strong against the euro and that higher interest rates would only worsen the situation. Should the Bank make it clear that it has no plans to raise interest rates until 2016, confidence would increase, he said.
Millions of people will be able to gain access to their pension funds from the start of the next tax year, on April 6. The minister in charge of the move, Steve Webb, has said that many pensioners might leave themselves without enough money for their old age, but that this is a ‘calculated risk.’
‘Pension freedom day’ as it is becoming known, will allow people over the age of 55 to do whatever they want with their pension, rather than having to buy an annuity.
In an interview with The Observer newspaper, Steve Webb said that he realises it is a risk to allow people the freedom to do what they want with their own money. Full control might be safer but that has led to compulsory annuities and many very dissatisfied pensioners.
The average length of retirement is 25 years but, as figures from the insurance company Zurich show, fifty per cent of people believe that they will need their retirement fund for only 20 years or even less.
However, Steve Webb believes that although many people may choose to spend all of their pension pot ten or even twenty years before they die, this is not necessarily the wrong thing to do. Perhaps they will enjoy spending their pension pot and then live on the state pension and, perhaps, some other savings. That may even be the best outcome, he said.
Mr Webb also downplayed fears that the pension industry will not be ready for pension freedom day on April 6. A number of insurance companies have already said that they are not willing or ready to allow savers full access to their money next month. Some companies, for example, will not be allowing savers to withdraw their funds gradually, so forcing them to take their pot out in one go and pay a huge tax bill or buy an annuity.
The number of adults saving money in a workplace pension scheme is higher than it has been in seventeen years, reversing the trend of decreasing participation which began in the 1990s.
The reason for the huge boost in numbers saving through a company pension is that a large number of young people in their twenties have now joined their workplace scheme.
In 2013, fifty per cent of all employees saved for their retirement. By 2014, this figure had grown to 59 per cent, figures from the Office for National Statistics have revealed. Although all age groups have contributed to the increase, the biggest leap in numbers was among young people in their twenties. Fifty three per cent of 22 to 29 year olds are now saving into their company pensions, compared to 36 per cent in 2013.
The increase is chiefly due to the government’s automatic enrolment programme which was introduced at the end of 2012. Employers are now compelled to enrol all their employees over the age of 21, who are earning more than £8,000 per annum, into workplace pension schemes.
According to Nigel Stanley, TUC’s head of campaigns, auto-enrolment has been a big success. Like the minimum wage, auto-enrolment was unpopular with employers when it was first introduced but has now been accepted. However, he added that the rules concerning levels of contribution were not sufficient to give people a ‘decent’ income at retirement.
Auto-enrolment will be fully implemented by 2018 when the minimum contribution will be 8 per cent of employee earnings, three per cent of which will be contributed by the employer. At present, employees are only paying one per cent of their salary and employers pay only a further one per cent.
There is also an increase in those who do not qualify for auto-enrolment, such as part time workers and 16 to 21 year olds choosing to save for retirement.
The average cost of childcare for the under twos has risen by a third in the past five years, a new report reveals.
The most recent annual survey by the Family and Childcare Trust, shows that the cost of a part-time place at a nursery for babies and toddlers has increased by 33 per cent since 2010. Part-time places now cost over £6,000 per year and have gone up by 5 per cent in the last twelve months.
The charitable trust has urged all political parties to join together to review childcare provision in the UK, particularly for the under twos. The coalition government says that it has increased free childcare places for pre-school children of three and four years old.
The fourteenth survey by the Family and Childcare Trust was based on responses by 196 UK local authorities regarding the cost of twenty five hours of childcare and fifty hours in nurseries or with childminders. The report said that nursery costs have risen by 32.8 per cent for the under twos during a period when wages, in real terms, have stayed the same.
The trust revealed last year that for many parents, the cost of childcare was higher than their mortgages.
Although the government introduced increased aid for parents with the cost of childcare through a new tax free childcare scheme and universal credit in 2013, prices have risen at a rate above inflation and wages have remained static. Consequently, the report indicates, the help from these initiatives has been virtually wiped out, particularly in the south east of England and in London, where one part-time nursery place costs £7,907.
Stephen Dunmore, chief executive of the Family and Childcare Trust, said that all political parties should agree to a full review of childcare provision in the UK, where a new, simpler system is required.
Nearly one in five adults does not have any savings and one in ten admits that they use their overdraft facilities every month in order to make ends meet, according to a recent survey.
The survey by financial solutions company, Baines and Ernst, of 2,000 British adults also found that 56 per cent admitted that they do not follow a monthly budget.
One in three of those questioned had savings of between £1,000 and £6,000 but one is seven had debts of up to £10,000. One in fourteen had debts of more than £10,000. Those between 35 and 44 had the most debt, closely followed by those in the 25 – 34 age group.
The survey gives a revealing picture of how many Brits are managing their finances. As many as 12 per cent of young people under 24 admit to not checking their bank balance because they are afraid that they will not have enough money to spend. Only four per cent of adults over 55 admit to ignoring their financial difficulties in this way.
Other studies have indicated that almost one third of UK adults rely on their bank’s overdraft facilities in order to afford everyday essentials.
Baines and Ernst managing director, Shaz Sulaman, said that an alarming number of adults are using credit to pay for essentials. Borrowing in this way can be an effective short term solution but debts can rapidly spiral out of control, leading to much larger financial difficulties that can seem insurmountable.
Sulaman’s advice for avoiding a downward debt spiral is to budget. Adults should, she said, draw up a detailed account of their income and spending each month. It is only by doing this that it becomes possible to identify where economies can be made and realistic budgets set.
The shadow chancellor has promised that should Labour win the next election, the party will come down hard on what it calls ‘systemic tax evasion.’ His comments followed revelations that HSBC bank has helped hundreds of wealthy business men and women to avoid paying tax.
Ed Balls said that there is a clear difference between families who plan their tax affairs and those who arrange tax evading ‘false structures.’ Speaking on the Andrew Marr show on the BBC, he went on to accuse the coalition government of turning a blind eye to tax evaders.
Mr Balls pointed out that some schemes to lower taxes are legal, such as ISAs and tax relief for entrepreneurs, and that it is possible to reduce your tax bill to plan for your children and their inheritance when you die. However, he went on to say that those who set up false structures to reduce their tax bill or who move to Switzerland in order to avoid paying taxes altogether, need to be dealt with.
The shadow chancellor acknowledged that HM Revenue and Customs (HMRC), is currently under huge pressure because its staff has been reduced. But he promised that under a Labour government, HMRC would have the resources it needed to tackle tax evasion.
Labour leader, Ed Miliband, has said that his party would carry out a thorough review of HMRC because he felt it could do a much better job in tracking down those guilty of tax evasion.
Chief Secretary to the Treasury, Danny Alexander, has already revealed that he has asked HMRC if it requires extra powers or if there should be new laws, to enable it to tackle those conspiring to allow tax evasion. Danny Alexander was speaking on the Sunday Politics show on the BBC and promised to ensure that HMRC will have all the legal powers it needs.
The success of the left wing party, Syriza, in Greece has sent the euro tumbling against the pound.
The pound is now worth €1.337 compared to €1.25 only eight weeks ago. This is not good news for companies exporting their products to countries within the Eurozone, but it is good news for all of us planning on spending some time on the continent this summer. European holidays now offer the best value for money in over a decade.
Eighteen months ago during the summer of 2013, the cost of buying €500 was £440. Today, €500 only costs £375 to buy, 15 per cent less than it was in 2013.
If you are thinking of a holiday in the USA, however, your holiday money will be more expensive to buy. The dollar has done even better against the euro and, consequently, has gone up against sterling too. In July 2014, for every £1, you could buy $1.71. Today, £1 will buy you just $1.51, a fall of 12 per cent. In fact, a holiday in the USA is currently at its most expensive in four years.
If you are concerned that the euro might recover some ground between now and this summer, you could lock into the current exchange rate by buying a pre-paid currency card. However, it is not guaranteed that the euro will recover; it could, of course, fall further. The euro was much weaker ten years ago. For a short period of time in 2004, £1 would buy €1.5 and the pound was worth 1.4 euros for many months before the financial crash of 2008.
If a holiday in Spain or France isn’t enough for you, buying a holiday home in a Eurozone country is a much more attractive prospect than it has been for some time. A €100,000 property in Spain will cost £75,000 today as opposed to £90,000 in 2012.
UK inflation dropped to a record low of 0.3 per cent in January, according to Consumer Price Index figures released by the Office for National Statistics. Cheap petrol and low food prices brought the rate down by 0.2 per cent from 0.5 per cent in December.
January’s Consumer Price Index figure for inflation is the lowest since records began in 1988.
The Bank of England has already said that a short period of deflation, also known as negative inflation, is probable at some point during the second quarter of this year.
The inflation rate when measured by the Retail Price Index is higher, at 1.1 per cent. It, too, dropped from December when it was 1.6 per cent.
Statistician for the Office for National Statistics, Phil Gooding, said that the price of petrol fell during January, along with the price for milk, fruit, games and toys. The price of alcohol slowed, rising at a slower rate than in previous months, which also added to the overall low rate of inflation. The price of furniture and clothes, however, rose.
Lower inflation is great news for the consumer according to Howard Archer, chief economist at IHS Global Insights. He believes consumers will see their purchasing power improve during 2015, with earnings growing and inflation falling still further.
Core inflation actually rose during January, from December’s figure of 1.3 per cent, to 1.4 per cent. Core inflation does not include food, fuel, tobacco and alcohol prices. Howard Archer said that the fact that core inflation is rising shows that the UK is not heading for a lengthy period of deflation.
George Osborne, Chancellor of the Exchequer, said that January’s low inflation rate was a milestone for the UK economy.
The UK is edging towards negative inflation for the first time in more than fifty years, the Bank of England has said and should be prepared for a rise in interest rates.
The dramatic fall in the price of oil as well a drop in food prices means that inflation is likely to reach zero during the second and third quarters of this year.
Although inflation may even reach negative figures for a month or two during the second quarter of 2015, the UK’s current strong economic growth should mean that a deflationary spiral is avoided, the Bank of England has said in its latest inflation report for February.
The last time Britain had negative inflation was 55 years ago, in March 1960, according to figures from the Office of National Statistics.
Inflation was as low as 0.5 per cent at the end of last year, substantially below the Bank of England’s target of 2 per cent. Governor of the Bank, Mark Carney, said in the quarterly report that inflation will fall further, possibly reaching negative figures in the spring and staying at zero for the rest of the year.
The Bank has revised its forecasts for growth during the next two years which has helped to strengthen the pound against the euro. Sterling is now at its highest point against the Eurozone currency for seven years, with one euro now worth 73.71 pence.
The slump in the price of oil and food should keep inflation down in the short term but lower oil prices are expected to increase consumer spending which should in turn boost economic growth and push inflation upwards in the medium term.
Carney said that the fall in the price of oil was ‘unambiguously’ beneficial for the global economy and that borrowers should be prepared for an interest rate rise. Rates have remained at 0.5 per cent since March 2009.
For a typical loan of £30,000.00 over 120 months with a variable interest rate of 19.56% per annum, your monthly repayments would be £598.34.
Including a Product Fee of £2,400.00 (8% of the loan amount) and a Lending Fee of £807.00, the total amount repayable is £71,800.20.
Annual Interest Rates ranging from 11.88% to 29.38% (variable). Maximum 50.00% APRC. The loan must be paid back by your 70th birthday. Read more.
Think carefully before securing debts against your home may be repossessed if you do not keep up repayments on your mortgage or any other loan secured against it. If you are thinking of consolidating existing borrowing, you should be aware that you may be extending the terms of the debt and increasing the total amount you repay.
