This Is Money Show

As markets went haywire and the Bank of England staged a bond market intervention earlier this week, it felt like a mini-financial crisis had been triggered. It has been an incredibly turbulent week for the UK economy as the Bank of England stepped in to protect pension funds, the pound hit a record low against the dollar before rebounding and lenders pulled mortgage deals to re-price them at far higher rates. So, is the UK economy in crisis… again? How much is the Chancellor's 'mini' Budget to blame? Or was this the culmination of problems that stem from the Bank of England? And what can the Government and Bank do now? This week, Georgie Frost, Simon Lambert and Lee Boyce tackle what has been a truly remarkable one in the world of personal finance with a message of: don't panic. Simon gives an economics 101 on why the pound fell and why the Bank of England stepped in, seemingly with a u-turn on plans for quantitative tightening. What is happening to mortgages? With lenders pulling deals and replacing th

In this excerpt from the This is Money podcast, Simon Lambert and Georgie Frost discuss why the mini-Budget has combined with last week's interest rates decision to send the pound tumbling and UK government borrowing costs spiking. Find the This is Money podcast's full look at the mini-Budget and what it means for you here

Britain's new Chancellor Kwasi Kwarteng delivered a blistering mini-Budget this week that was anything that small. A wave of tax cuts were unleashed. Some had been heavily trailed, such as spiking the National Insurance hike and a stamp duty reduction, but there were also two rabbits out of the hat: a cut in basic rate income tax to 19p from April and abolishing the 45p income tax rate too. Those tax cuts joined a wave of spending commitments, most notably the huge energy price guarantee bailout for Britain's households and businesses. Paul Johnson, of the IFS, said: 'Mr Kwarteng is not just gambling on a new strategy, he is betting the house.' On this week's podcast, Georgie Frost, Lee Boyce and Simon Lambert discuss what the going for growth mini-Budget means for people, how much they may save in tax, and whether it will work or cause the UK economy even more problems down the line. One thing was clear in the aftermath, markets didn't like the break from the orthodoxy that they saw: the pound tumbled b

The Bank of England is tipped to raise interest rates by at least 0.5 per cent this week, but the pound fell to a 37-year low last week - reaching $1.351, a level not seen since 1985. That comes against a backdrop of inflation edging down slightly to 9.9 per cent - taking Britain out of the double-digit inflation club - with a colossal rescue plan to save households and businesses from spiralling energy prices about to kick in. The details on that energy price guarantee rushed out by new Prime Minister Liz Truss - and how it's potential £150billion cost will be paid for - are still sparse, but are expected to be sketched out in more detail this week. Meanwhile, on Friday a mini-Budget is due to arrive with a rumoured round of tax cuts as Truss and her new Chancellor Kwasi Kwarteng go all out for growth. On this podcast episode, Georgie Frost, Helen Crane and Simon Lambert look at the pound, energy bills, inflation and interest rates, how all these issues connect and what could happen next? Also on the ag

This is Money's pensions guru Steve Webb racked up his 300th column answering readers' questions this week. Over the past six years, Steve, with the help of pension and investing editor Tanya Jefferies, has been guiding readers through the retirement maze - with his column regularly among the most popular stories of the week. To celebrate his 300th column, Steve joins Tanya, Georgie Frost and Simon Lambert for a special podcast episode to answer your questions. It's a dive into much of what you need to know about pensions, ranging from saving for retirement, to investing in your pension years and, of course, the state pension and triple lock. Among the questions on the agenda are: Is it better to put money into my pension or pay my house off quicker? Why do people retiring under the new post-2016 system get higher payments than me? My 41-year-old son has started a new job on a four year contract but there is no pension scheme, is that legal? My pension was valued at £94,000 last year now its worth £74

Belts are already being tightened but as bills head even higher more people will look to save where they can. But are there some things that you should avoid doing or cutting back on at all costs? Campaigns to get people not to pay their bills have obvious flaws, but what about only paying for the energy you use, diverting your pension saving elsewhere or cutting back on ditching saving or investing. Some are at breaking point and will have little choice but to do some of these things, but what about those who are still heading off on holidays, going out for dinner and drinks, or getting takeways in - should they hammer down on discretionary spending before stopping saving? In his column this week, Simon Lambert came up with his five false economies to avoid, but was he right to pick them? Simon, Georgie Frost and Lee Boyce discuss them on this podcast episode. Also this week's episode, are buy-to-let landlords all bad or a crucial part of the property market, will an electric car still save you money af

Inflation is soaring and if predictions are correct, it would result in the Consumer Prices Index measure hitting 13 per cent this autumn. That could result in a state pension rise of around £1,000 a year to £10,900 while even at the current level of 10.1 per cent it would be upped to £10,600. However, last year, the triple lock was scrapped. Would a new Prime Minister dare do the same this time around? Lee Boyce, Tanya Jefferies and Georgie Frost discuss. Inflation is hitting those with pensions in different ways, we explain how and Tanya unearths yet more errors at the DWP. She explains why – if you, or someone you know, was refused a state pension or given an unexpectedly low award when you turned 66 – it could be worth challenging.  Data also suggests that some workers are opting out of private pensions or reducing contributions thanks to the rise in the cost-of-living. Is that a wise decision? Outside of pensions, we had calculations this week that inflation predictions are undercooked and could ac

 Inflation is up again with CPI now measured at 10.1 per cent, the highest since February 1982, when Margaret Thatcher was Prime Minister.  How does this bout of inflation compare to then? Lee Boyce, Helen Crane and Georgie Frost discuss the higher than forecast inflation rate and what is driving it. With that rate of inflation soaring, a majority of economists believe another 0.5 percentage point increase in base rate is on the cards next month. But what would a base rate of 3, 5 or 7 per cent do to mortgage rates and property prices? Britons are estimated to have billions 'lost' in pension, investment and bank accounts – how do you go about tracking it down? And with thousands of students opening their A Level results this week, Lee reveals how he has already built a £10,000 investment pot for his three-year-old, in case she decides to go into further education.

Rising bills and the cost-of-living crisis are forcing many to dip into savings pots, if they have one to begin with. At the same time, with base rate rising to try and curb inflation, savings deals have become far better than they have been in the last decade. This week, Georgie Frost and Lee Boyce are joined by a special guest: James Blower, AKA The Savings Guru, who gives his take on where savings rates are heading next. With lesser known challengers paying the best rates, how do you know they’re any good? And should you fix now or wait? He explains how savings rates set, why big banks are slow to pass on base rate movements and with savings deals improving, James explains why a cash Isa might be a good home for your money once more. Elsewhere, times are tough with plenty of misery on the horizon thanks to rising energy bills. Latest predictions suggest the price cap could land somewhere between £4,000 and £5,000 a year. Much has been said this week about households, but what about businesses which a

The idea of the Bank of England raising base rate by 0.5 percentage points at the same time as warning about a long and painful recession would have been unthinkable a year ago. But things have dramatically changed and central banks are desperately trying to get a grip on runway inflation that just seems to keeo getting worse. Base rate has risen from 0.1 per cent in December to 1.75 per cent now and is set to keep climbing, but why trigger a recession to get inflation driven by outside forces under control. On this podcast, Georgie Frost, Tanya Jefferies and Simon Lambert discuss the rate rise and potential recession and what it means for borrowers, savers, the economy and our financial near future. Also on this episode, how can you prepare for the mortgage crunch as rate rises hit homeowners and Simon gives his tip on how to take the temperature of the property market... by looking at what's not selling. And Tanya gives an update on two important pensions issues: women's lower retirement savings and ho

This summer has seen travel demand rebound and for many, it could be their first overseas jaunt since before the pandemic. For that reason, there may be some rusty holidaymakers out there. But fear not, Lee Boyce, Helen Crane and Georgie Frost are at hand to help get you in the holiday mood (kind of). They talk about what you need to think about before a trip, from sorting out your passport with plenty of time to why it is imperative to have good quality insurance. It may not be sexy, but it is vital. Then, while you're away, what to think about in terms of spending money and little tips and tricks to save cash. We also ask if the days of cheap flights are over thanks to fuel price rises, whether chickenpox just before you go away means an automatic refund and more pearls of wisdom from decades of travel experience. Elsewhere, there are dire pension warnings linked to inflation. A new study believes that fewer than two in five households will be on course for a decent retirement due to the soaring cost o

In this special bonus This is Money podcast interview, Simon Lambert speaks to Barney Whiter, whose The Escape Artist blog helps others to try to achieve the same financial independence he has. Barney tells Simon what financial independence means to him, relates how he got there and his successes and mistakes along the way, gives some tips for budding FIRE savers, and explains why he still choses to do some work.

Financial independence and retiring early sounds great, but could you sacrifice enough of your spending to get there? The so-called Fire movement involves living a frugal live, saving as much of your income as possible – 50 per cent or more – and investing to build a pot to retire early on. Ideally, this needs to be 25 times your annual spending requirements, so that you can follow the 4 per cent rule on how much of your pot you spend each year. Advocates of financial independence will tell you that this requires giving up much of our modern-day consumer lifestyle but that it’s worth it in the end, as they can then live their lives on their own terms. Could you do this and would the This is Money podcast’s Georgie Frost, Lee Boyce and Simon Lambert be able to stomach the hardcore budgeting and saving it requires? On this podcast, the team discuss financial independence, its attractions and the drawbacks of getting there. And don't miss our second special bonus podcast this week, where Simon sp

Boris Johnson finally came unstuck this week and resigned as Prime Minister after one scandal too many caught up with him. Whatever you thought of the PM - and he certainly has the ability to divide a room almost as well as he can entertain it - there is no doubt that this ushers in another bout of 'what next?' instability for Britain. The economy is struggling, an inflation crisis is in full swing and the Bank of England is raising rates into a recession, yet at the end of a tumultuous week we are not just down one Prime Minister but a Chancellor and aren't quite sure if the new man in the job will be sticking around very long. The new Chancellor, Nadim Zahawi, reportedly has designs of his own on the job next door at Number 10 and even if he makes an unsuccessful leadership bid, will a rival want him sticking around. On this week's podcast, Georgie Frost, Tanya Jefferies and Simon Lambert look at what the change in Prime Minister could mean for the UK's economy, businesses and households - and what a ne

In recent times, private parking firms have come under scrutiny from motoring organisations, the Government… and This is Money. Many motorists will have received a dreaded charge in the post and in some cases, unjustifiably so. If that’s you, it’s time to fight back. This week Georgie Frost, Simon Lambert and Lee Boyce take a look at whether private parking firms are playing fair. It comes as Lee received a third private parking charge in the post in four years, and for the third time appealed and had it magically cancelled.  He explains his case and questions how he was issued the charge despite paying the correct amount and displaying the paid-for ticket in the windscreen. Also, is it fair to remove parking machines and replace them with apps? Halifax has been embroiled in a Twitter storm this week when it comes to pronouns and its bank branches – but what about the move to reduce new build deposits from 10 per cent to 5 per cent? Is it good news for first-time buyers? The energy price cap

A mortgage stress test designed to stop borrowers overstretching themselves will be scrapped, it was revealed this week. The mortgage industry has long bemoaned this supposedly unrealistic test that makes lenders check if borrowers can afford their repayments at a level higher than the fix or tracker deal they may be taking, their lender's standard variable rate plus 3 per cent. Yet, isn't a bit of an odd time to finally get rid of this, just as interest rates are finally rising and the base rate has jumped from 0.1 per cent to 1.25 per cent in six months? What's more, it's forecast by some to keep rising and go as high as 3 per cent by the end of the year - meaning almost that entire 3 percentage point rise the stress test uses. On this podcast, Georgie Frost, Simon Lambert and Lee Boyce discuss why the Bank of England is doing this and whether it is the right move, or could lead to risky lending and even higher house prices? Also, on this episode the team discuss inflation and how to at least try to do

Base rate has gone from 0.1 per cent to 1.25 per cent in the space of six months, in a flurry of rate rising that would have been considered unthinkable a year ago. Yet, as the Bank of England delivered another 0.25 percentage point raise, voices were raised in some corners to demand why it hadn't gone further. Why not a 0.5 per cent jump or even a 0.75 per cent one, as the Fed had delivered in the US? With inflation running at 9 per cent and expected to head north into double digits, the onus is on the Bank of England to show it has a grip and we aren't heading back to the 1970s. But is rapidly raising rates the right thing to do and how will it affect savers, borrowers and investors? On this podcast, Georgie Frost, Lee Boyce and Simon Lambert discuss the case for and against rate rises and what the impact is for the economy and people. Mortgage rates have risen even faster than the base rate, so what can those who need to remortgage do - and will this sink house prices? The team assess the prospects f

Women have already been hit by a huge state pension blunder in recent years, but now it seems the DWP is messing up again. After This is Money's Steve Webb and Tanya Jefferies exposed a £1billion women's state pension scandal, which emerged from a reader question sent in to his column, you'd think the Government would be keeping on top of payments. But it has turned out that more women appear to being told they aren't due the right amount, or in one case that we reported on this week anything at all. On this week's podcast, Tanya joins Georgie Frost and Simon Lambert to talk through the problems. Also, are we saving enough for retirement? Steve sounded a warning this week that auto-enrolment was lulling people into a false sense of security and said that employers need to do more. The team discuss what you can do to make sure you are putting enough into your pension and why the self-employed need to pay particular attention. Also on this episode, the investment themes that could run for years and make y

Just when you thought it was safe to go back on holiday... Britain descended into holiday chaos this week, as airlines cancelled hundreds of flights, airports struggled to cope and even Eurostar ended up with a day of disruption. For those who suffered at the hands of airline chaos, it was a harsh and unfair experience - with many of those travellers taking their first post-Covid trip abroad and others heading off for what were meant to be celebratory family events. Both airlines and airports let their passengers down - after all, they knew how many would be travelling, as they'd all booked tickets - and then got involved in a finger-pointing blame game with the Government. On this week's podcast, Georgie Frost, Helen Crane and Simon Lambert discuss where the blame lies for the disruption, what people's rights are if their flights are cancelled and what we can all do to protect ourselves if we hope to go away over the summer. Also on the podcast, the team talk about why some of the best mortgages are cur