This morning (21 November), Ofgem has announced that households will see a slight increase in their energy bills, as the energy regulator has announced a 0.2% rise in the price cap for the period covering January to March 2026.

As the temperatures have plummeted this week, more and more of us are looking to save energy at home, and the increase, albeit small, makes now just as good a time as any to ensure your home habits are well-equipped to save the pennies where they can.

In real terms, households can expect to see their bills rise by 28p per month on average, following the £35 yearly increase of the October price cap. This is everything you need to know, and how it will really affect you.

The January 2026 price cap refers to the default tariff applied when a customer is not on a fixed-rate tariff - something to consider if you’re trying to decide whether to fix your tariff or not. The price cap sets a maximum rate per unit and a standing charge that can be billed to customers.

For an average household paying by Direct Debit for gas and electricity, this means their annual bill for the year is expected to be £1,758 - an annual increase of £3.

While it is true that bills will see a slight increase as a result of the new cap, Ofgem states that year on year, when adjusted for inflation, bills are £37 (2%) lower than the same period of 2025.

‘While energy prices have fallen in real terms over the past two years, we know people may not be feeling it in their pockets,’ commented Tim Jarvis, Director General, Markets, at Ofgem.

‘The price cap helps protect households from overpaying for energy. But it’s only a safety net, and there are practical ways that customers can pay less for their energy.

‘Look at different tariffs and choose what’s right for you or change the way you pay to Direct Debit or smart pay-as-you-go. Prepayment remains the cheapest way to pay, and these customers are already saving around £47 on average.

‘While wholesale energy costs are stabilising, they still make up the largest portion of our bills which leaves us open to volatile prices. That’s why we’re working with government and industry to boost clean energy and reduce our reliance on international sources we can’t control.’

While the increase amounts to only 28p per month on average, it is still a good idea to adopt some energy-saving measures around the home. For example, Martin Lewis’s ‘tactical’ 4 pm rule - which is as simple as closing the curtains when it gets dark - is great for trapping heat in your home, while other home maintenance tasks, such as bleeding your radiators and booking in an annual boiler servicing, can all help ensure your heating system is working as efficiently as possible. Even small changes can make a big difference when it comes to bills.

If you’re worried about paying your energy bills or water bills, speak to your supplier or even an independent body, like Citizens Advice, who can talk you through your options, or explain any benefits you may be eligible for.

Energy prices will rise by 2% from October, Ofgem, the energy regulator, has announced today.

After the July energy price cap saw prices fall by 7%, this most recent announcement means the average household can expect to see an increase of £35 on their yearly energy bill when the cap comes into use at the start of October.

The news means that a household using a typical amount of energy will now pay £1,755 a year. This is everything you need to know.

The price cap, which is the tariff you default to if you’re not on a fixed tariff, sets the maximum rate per unit and standing charge that can be billed to customers for their energy use. From October, this rate is rising by around £2.93 per month for the average household. So, if you’re a typical household on a default tariff paying £100 per month, this will be £102 from October.

However, the latest figures from Ofgem show that more than a third of customers (37%) are on fixed tariffs, so therefore will be unaffected by the price increase. Ofgem is recommending households to shop around energy providers to find the best deals, as well as considering a fixed tariff.

‘While there is still more to do, we are seeing signs of a healthier market. There are more people on fixed tariffs saving themselves money, switching is rising as options for consumers increase, and we’ve seen increases in customer satisfaction, alongside a reduction in complaints,’ said Tim Jarvis, Director General, Markets at Ofgem.

‘While today’s change is below inflation, we know customers might not be feeling it in their pockets. There are things you can do though – consider a fixed tariff as this could save more than £200 against the new cap. Paying by direct debit or smart pay as you go could also save you money.

‘In the longer term, we will continue to see fluctuations in our energy prices until we are insulated from volatile international gas markets. That’s why we continue to work with government and the sector to diversify our energy mix to reduce the reliance on markets we do not control.’

If you’re worried about the rising costs of energy bills, switching from standard costs to direct debit can help reduce your energy bills up to £135.60 per year. Ofgem has also introduced rules that allow you to get help from your energy supplier if you’re struggling to pay your bills. This includes tailored repayment plans or emergency credit.

Ofgem say that the new fix is £625 cheaper than the cost of energy at the height of the energy crisis at the start of 2023. However, with rising food costs, rents and water bills, many households will be worrying about increased energy costs over winter.

Look for ways to save energy at home, as even small changes can make a difference in your bills. And if you are worried or struggling, speak to your supplier or an independent body such as Citizens Advice, who can advise on any benefits you may be eligible for.

Water regulator Ofwat will be scrapped and replaced with a new independent body, the government has confirmed, as new plans to overhaul a ‘broken’ system are announced.

The announcement has followed a major review into England and Wales’ water sector, which found a ‘broken regulatory system’ has allowed water companies to profit at the expense of British people, rather than investing in water infrastructure. You may recall that back in December, it was announced that water bills would rise by 36% on average over the next five years, leaving many households feeling increased financial pressure.

Ofwat will be replaced by a new single, ‘powerful’ regulator that will take on the responsibilities of Ofwat, the Environment Agency, Natural England and the Drinking Water Inspectorate, with Secretary of State for the Environment, Steve Reed, stating this move will prevent abuses of the past and benefit customers, this is everything you need to know.

The announcement comes after the Independent Water Commission released Sir Jon Cunliffe’s report, AKA The Cunliffe Report, which had 88 recommendations on how to change the water industry in England and Wales.

It called for a single water regulator, devolved planning and resources, greater consumer protection, greater environmental regulation, and infrastructure reforms. It called for better management of public health risk in waters, as well as tighter oversight of water company ownership.

In real terms, it will take at least two years for the new regulator to be put into place, and Ofwat will continue to operate until the new regulator is ready.

Today (21 July) in a speech at Kingfisher Wharf, Steve Reed, Secretary of State for Environment, Food and Rural Affairs, pledged to strengthen regulation, clean up the country’s rivers and protect the public from soaring water bills.

‘Our water industry is broken. That is why this Government will fix our broken regulatory system so the failures of the past never happen again,’ he said.

‘The Government will abolish Ofwat. In the biggest overhaul of water regulation in a generation, we will bring water functions from four different regulators into one.

‘A single, powerful regulator responsible for the entire water sector will stand firmly on the side of customers, investors and the environment and prevent the abuses of the past.

‘It will provide the clarity and direction required for a strong partnership between Government, the sector and investors to attract billions of pounds of new investment.’

In a statement, Ofwat has responded to this morning’s announcement:

‘The Cunliffe Report sets out a new direction for the water sector.

‘While we have been working hard to address problems in the water sector in recent years, this report sets out important findings for how economic regulation is delivered, and we will develop and take this forward with government. Today marks an opportunity to reset the sector so it delivers better outcomes for customers and the environment. Ofwat will now work with the government and the other regulators to form this new regulatory body in England and to contribute to discussions on the options for Wales set out in the report.

‘In advance of the creation of the new body, we will continue to work hard within our powers to protect customers and the environment and to discharge our responsibilities under the current regulatory framework. We will also work collaboratively with all our stakeholders to ensure a smooth transition.’

It’s unclear exactly how consumers will be affected as regulators change, as information is still being announced. However, Steve Reed has recommended customers invest in water meters to help with the rise in water bills.

While the reforms aim to bring about better services and more affordable bills, for the time being, your water bill is likely to remain the same, so it is a good idea to look for ways to save water and different ways to save water in your garden to cut back on your usage. If you’re struggling to pay your bills, always get in touch with your water company for support, and they may be able to offer a repayment plan.

What do you think about the reforms? Do you think it will improve water services in the UK?

For the first time this year, energy bills are expected to drop, as the energy regulator Ofgem announced this morning a 7% reduction of the energy price cap for the period of July to September.

This means that energy bills will fall by £129 for an average household using a typical amount of gas and electricity. This follows April’s price cap announcement, which saw an increase of 6.4% and a rise of £111 per typical household.

Now, a household can expect to see their bill reduced by around £11 per month on average, which for a household paying by Direct Debit for dual fuel equates to £1,720 per year. This is everything you need to know.

Ofgem’s price cap, which is set by the regulator every three months, sets a maximum of what suppliers can charge for a unit of energy in England, Scotland and Wales affecting 22 million households. Northern Ireland is not affected by this as it has its own energy market.

The regulator said a recent fall in wholesale prices was the main driver in the reduction, accounting for 80% of the drop. While the price cap is set every three months, Ofgem has stated its annual effect, stating Direct Debit and prepayment customers should see standing charges fall by £19 per year on average.

‘A fall in the price cap will be welcome news for consumers, and reflects a reduction in the international price of wholesale gas. However, we’re acutely aware that prices remain high, and some continue to struggle with the cost of energy,’ said Tim Jarvis, Director General of Markets at Ofgem.

‘The first thing I want to remind people is that you don’t have to pay the price cap – there are better deals out there, so it’s important to shop around, and talk to your existing supplier about the best deal they can offer you. And changing your payment method to direct debit or smart pay-as-you-go can save you up to £136.’

Ofgem has also suggested looking to fix your energy tariff while the prices are lower, stating it could save you up to £200. Currently, 35% of customers are on a fixed tariff, an increase from 15% last year when fewer offers were available.

‘Confirmation that Ofgem's energy price cap is dropping to £1,720 due to a fall in the international price of wholesale energy prices will be welcome news for households hoping for some relief from the raft of bill hikes that hit consumer finances in ‘Awful April,’ commented Alice Haine, Personal Finance Analyst at Bestinvest by Evelyn Partners.

‘The Cap, which gets reviewed every quarter, is expected to see a further modest fall in October, followed by a further drop in January, according to consultancy Cornwall Insight. While this will be reassuring for households, there are no guarantees as energy prices are vulnerable to volatility.

‘Remember, lower energy prices from July won’t translate into lower household bills across the board. Many bill increases will remain the same following the April uplift, such as water, council tax, car tax and more. Inflation jumped sharply to 3.5% in the 12 months to April as a result of those bill hikes in addition to companies choosing to pass higher employment costs onto consumers.

'With food prices also rising and expectations that inflation could edge up further from here, keeping a lid on everyday spending will remain important for households that want to retain control of their finances.’

While a reduction in the energy cap is a welcome decision by many customers, it’s still important to know how to save energy and save water at home,- especially considering the increase in other household bills.

If you are struggling with your energy bills, energy bill help is available. For one, you can set up an agreed payment plan with your energy company to help spread the cost. Here’s hoping the next quarter continues the trend of a reducing energy price cap.

With water bills set to rise this month, I asked the experts the best methods to save water, and many of them recommended installing a tap aerator to save on your bills.

After the most recent Ofwat announcement, water bills are expected to rise by 36% over the next five years, which has left many of us worried about how to save on our water bills.

Installing a tap aerator is a quick DIY hack you can fit to reduce water flow, while maintaining pressure, to save up to £200 on your water bill this year. This is everything you need to know.

What is a tap aerator?

‘A tap aerator is a small device that fits onto the end of a tap or spout, and they work by incorporating air into the flow of water, which reduces the amount of water passing from the tap,’ explains Jess Thomas, managing director of Drainage Central.

‘It separates the flow of water into several smaller streams that are surrounded by air, meaning that there is less space for water to pass through, but the air means that you cannot feel any reduction in water pressure.

A tap aerator can potentially reduce the flow of water from a tap by 10 litres per minute, according to Jess, which significantly reduces your water intake and makes tap aerators one of the best energy-saving products available on the market.

Tap aerators are also incredibly easy to fit at home by yourself. All you need to do is screw it to your tap (where the water comes out) and twist until it doesn’t tighten anymore.

‘You should then check that it has been fitted correctly by turning on the taps and increasing the pressure,’ says Jess.

How much money can a tap aerator save you?

Of course, if you’re looking to install a tap aerator, then you’ll also be looking to save money at home, too.

‘The average family home can save as much as 1,274 litres of water per month by fitting a water-saving aerator to their kitchen and bathroom taps, according to Save Water Save Money. With the current cost of water at £3.08 (on average, depending on region) per cubic metre, this represents a saving of £3.92 per month and £47.08 per year. The outlay for 2 aerators is approximately £10,’ says Derek Aaronson, founder of Hart Home.

‘Estimates show that two aerators can save up to 1,274 litres of water a month, meaning not only are you using less water, but you’ll also use less energy to heat it.’

'It is estimated that tap aerators can reduce your water consumption by up to 50% in some cases. With the average water bill for a UK household being around £37 a month or £448 a year (before the April 2025 increase), this can mean a potential saving of £18.50 a month or £224 a year,' says Jess.

‘Installing a tap aerator is recommended, as they reduce water usage and can reduce the amount of hot water that you use, which can help towards saving money on other bills. As they use less water, they are also better for the environment.'

With a tap aerator available for less than £10, it makes sense to invest, especially when many people are currently feeling a financial strain due to bill increases. Will you be giving it a try?

If you lost power during the recent storms across the UK, and as a result, your freezer content was left spoiled, you’ve probably been wondering if you can claim compensation from your network supplier. Unfortunately, the short answer is no - but what you can do is claim on your home insurance, according to experts.

Storm damage can be both devastating and unpredictable. While losing the contents of your freezer may not be as dramatic as your roof becoming damaged from harsh weather, it’s still frustrating and can equate to a couple of hundred pounds if you’ve lost a full family food shop.

The UK has been battered by storms this month and after Storm Éowyn last weekend, over 725,000 homes and businesses were left without power, with the BBC reporting 16,000 properties in Northern Ireland are still without power. Now, If you lost power during Storm Éowyn you could be entitled to up to £700 from your energy supplier.

If your freezer contents have spoiled due to power cuts, this is where you should claim compensation.

‘If your freezer contents spoil due to a power cut, you may be entitled to compensation depending on your circumstances. However, the process can be tricky and will largely depend on the cause of the power failure and your insurance policy. If the power cut is due to a failure by your electricity provider, they are usually not liable for losses unless the cause was their fault. However, it’s worth checking if the power company offers compensation for power outages – some do, but it often depends on the length of the outage,’ says Fiona Peake, personal finance expert at Ocean Finance.

According to Ofgem, network providers are responsible for issuing compensation in cases of severe weather (such as storms), if you have been without power for more than 12 hours or if you have had four or more power outages in the past year.

‘The way the system works in the UK, Ofgem sets the rules for what distributors are responsible for, and they focus on compensating for the outage itself, not for secondary losses like spoiled food,’ says Steven Kibbel, financial planner and Chief Editorial Advisor at Gold IRA Companies.

‘However, there’s still a potential way to recover the cost if you have home insurance. Many policies include coverage for food spoilage due to power cuts but it depends on the specifics of your policy. If your insurance policy includes coverage for freezer contents, you could file a claim for the value of the food that’s been lost. I’ve seen cases where people didn’t even realize they had this kind of coverage until they checked their policy, so it’s worth taking a closer look. Some insurers might require evidence, like receipts or photos of the spoiled items, so it’s a good idea to document what you’ve lost if you’re thinking about making a claim,' adds Steven. So make sure you check what your home insurance covers as it might be included.

In instances of extreme weather, it’s always worth speaking to your home insurance company to see if you are eligible for compensation - especially as you may not know what you are entitled to.

For spoiled food, you could be entitled to up to £1,000 worth of compensation via your home insurance policy according to Admiral.

‘If your power cut was a result of extreme weather or another uncontrollable event, some insurers may be more lenient about what they cover, but always read the fine print. You should also keep receipts for any replacements you’ve had to buy as a result of the spoiled food,’ says Fiona.

‘It’s worth contacting your insurance company directly to discuss your options and what documentation you’ll need to back up your claim. Keep in mind that compensation for frozen food loss isn’t guaranteed, but it’s always worth asking.’

While frustrating to hear you’re not necessarily guaranteed compensation for spoiled freezer content during a power cut, it’s important to note you do have options. So, don’t hesitate to reach out to your home insurance company and see how they can help you.

If Storm Éowyn has left you without power, you could be entitled to financial compensation from your energy supplier.

The storm is set to batter parts of the UK this weekend, with a red weather warning declared in Northern Ireland for the first time since the Met Office started using impact-based warnings in 2011. Strong winds and heavy rain can wreak havoc on power lines and leave your home without power.

Storms are unpredictable which is why knowing how to minimise the impact of storm damage on your home is so important. And if you’ve been left without power, you could claim up to £2,000 in compensation.

Check your eligable for compensation

According to Ofgem - the energy regulating body - the amount of compensation you can claim depends on the category of the severe weather and how long you were left without power. There are two storm categories which are based on the impact the severe weather has on the electricity network, such as pylons and overhead cables.

A category 1 storm causes eight times the average number of faults in 24 hours, while a category 2 storm causes 13 times the average number of faults.

The Ofgem website states you may be eligible for up to £2,000 in compensation, however, the experts we have spoken to state that the cap is likely to be at £700.

'With storms expected this weekend unplanned power cuts could be on the horizon. It’s important to know your rights if you lose power unexpectedly. If your electricity is off for 24 hours due to the storm, you could be eligible for £70 in compensation, with an additional £70 every 12 hours after that, capped at £700. The exact amount depends on the length of the outage and the severity of the weather,' says Ben Gallizzi, Uswitch energy expert.

'Compensation isn’t automatic, so remember to apply to your network operator. Claims should then be paid within 10 days of the outage ending (however, this may not be the case with weather-related outages).

'To stay ahead, keep emergency supplies like torches and charged power banks ready, and make a note of your Local Distribution Company’s contact details.'

What to do if you lose power

If your home has gone without power as a result of Storm Éowyn, it’s vital you report it as soon as possible.

‘Never assume that your electricity provider knows that you have had a power cut. Failing to alert them early could prolong the outage. The sooner an engineer is sent out to investigate the cause, the sooner you’ll have your power restored. To do this, simply call 105 to report the incident,’ advises Paul Collins, Technical Director of NICEIC - the UK's leading certification body for the electrical industry.

‘If your power has gone out, unplug all your smaller appliances and electrical equipment. Additionally, switch off larger appliances, such as electric showers using the switches. Doing so will prevent any electrical surge damage that may occur when the electricity is eventually restored. This advice is also essential during an electrical storm, to protect appliances from potential lightning strike power surges.

‘If your home is hit by lightning or experiences a power surge, first contact a NICEIC-registered electrician to assess any electrical damage to your home and ensure an electrical installation condition report (EICR) is issued to inform the repairs needed.

‘Some damage to electrical systems and appliances cannot be seen and any electrical repairs should always be carried out by a NICEIC-registered electrician – not yourself.’

Water bills in the UK are set to rise by 36% on average over the next five years according to water regulator Ofwat.

Ofwat reached its decision today, following its proposed rise of 21% between 2025 and 2030 whereby water bills rise by an average of £94 over 5 years. Ofwat shared the proposal as part of its 2024 Price Review based on a review of company business plans.

This means the average water bill will rise by £157 over the next five years. The averages have been calculated without inflation, meaning your actual bill price is likely to be more. This is how your bill could be affected.

After the announcement in July, water companies in the UK had called for bills to rise by around 40% on average and Southern Water even requested an 83% price hike.

Now Ofwat has made its decision of 36%, billpayers can expect to pay an average extra cost of £31 per year. However, Ofwat has said firms are expected to hike tariffs by a higher amount in the first year, so a typical bill will rise by £86 in April, according to the BBC.

It’s important to note each water company will introduce different tariffs. Wessex Water is increasing their water bills the least, with a 21% rise.

Meanwhile, Southern Water has the largest rise out of the 11 companies, hiking their prices by 53%. This comes as almost 60,000 homes across Hampshire are currently without water because of a technical issue with Southern Water.

In 2030, a typical annual bill will be £588 across the UK, and Dwr Cymru can expect to see the biggest hike with an average bill of £645 in 2030.

Prices are rising because of large levels of debt held by water companies and record levels of sewage outflows in British waterways. Today Thames Water was fined £18m after breaking dividend rules.

‘Although we might feel frustrated with the water companies - particularly their failure to address one of the biggest contributing factors to wasted water, leaks (both in transit and inside properties) - the reality is that when adjusted for inflation, water bills have in fact decreased in real terms nearly every year since 2010. Utilities now face the pressing need to invest in ageing infrastructure and innovation to keep systems running efficiently,’ comments Krystian Zajac, water-saving expert at Watergate.

‘Unfortunately, none of this changes the reality that water bills are adding yet another strain on household budgets.’

Full list of water company price hikes

To calculate your home’s water consumption and see tips on how to save water (and the amount of money and carbon it will save you) Krystian recommends checking out this free water impact calculator.

How to offset the increase

The announcement of high bills is likely to put a strain on many households, especially with an ongoing increased cost of living. Knowing how to save water, will help ease the price hike.

‘To offset the price rises, savvy homeowners can use simple water-saving tricks to reduce their consumption. The three biggest savings come from: keeping showers to four minutes or less; installing water-saving appliances like low-flow shower heads and tap aerators; and using a smart leak detector with an auto shut-off valve to spot and stop leaks. The added benefit is that you often also reduce energy bills by saving on heating water,’ says Krystian.

‘However, to see water savings lead to direct savings on your water bill, you need to be on a water meter - so you’re charged for the water you use, rather than a fixed amount based on your property’s rateable value.

‘You have the right to be charged for water based on what you use, and to have a meter installed for free, usually within three to six months. You can contact your water company and ask for a meter. As a general rule, if your property has more bedrooms than people living there, you could save money with a water meter.’

If you are worried about paying your water bill, contact your water company for further support

Black Friday gets a bad reputation, as many of us treat the US sales event that has taken off in the UK with suspicion, still assuming that we'll snap up better deals in the more traditional pre-Christmas or Boxing Day sales. However, according to Martin Lewis, if you're not doing your Christmas shopping now you could be missing out on big savings.

Speaking on the Martin Lewis Money Show Christmas special on ITV, the Money Saving Expert revealed that his team had found that Black Friday deals are the best if your shopping for gifts. He explained: 'We've actually just done a study of 50 item of was it cheaper to buy on Black Friday or in the pre Christmas sales that come later?

'70% of items were cheaper on Black Friday and 12% were cheaper on the pre-Christmas sales and the other 18% were equal. So if you're going to be buying before Christmas at this time of year, Black Friday is the time that you want to be buying.'

On his website he expanded further on the study saying: 'If the item you've been planning to buy has a decent discount on Black Friday, and you need it by Christmas, the chances are you should buy it – waiting to see if it gets cheaper in the pre-Christmas sales will more often than not be fruitless.'

What to buy as gifts in the Black Friday sales

The study found items like the Ninja Foodi MAX Dual Zone Air Fryer, which is one of the best air fryers was cheapest on Black Friday, as were the Dyson V8 vacuum cleaner, apple air pods and Amazon echo dots.

Our Certified Experts at Ideal Home have also spotted this pattern and do most of their Christmas gift shopping (and their own big investments) in the Black Friday sales.

'I’ve sourced the best Black Friday deals for our readers for the past four years, and I can testify to the fact it’s the one time of year that even those retailers that don’t usually discount tend to offer price reductions. One of the best deals I’ve seen this year is on the Hygge Days Luxury Faux Fur Warming Throw, which is reduced by £45 at Lakeland,' says Amy Lockwood, Ideal Home's Sleep Editor.

'It’s the best heated blanket I’ve tested and I’ve been using it every night on my own sofa since the temperatures dropped. It’s super soft and super toasty and looks just as good even when it isn’t plugged in. I think it makes a brilliant Christmas gift.'

Molly Cleary, Ideal Home's Kitchen Appliance Editor agrees that this Black Friday is going to be a great time to pick up some deals.

'I've worked as a deal hunter over Black Friday for the last four years, which means I've got a good impression of which products get the best discount applied. Back when air fryers were big in 2022, it was rare to see a really good air fryer deal (as it was more about finding one in stock!), but now they've been around for a while, I find better deals than ever. Finding a good sized air fryer on sale for under £100 on Black Friday is now pretty easy.'

She points out that it's still tricky to find strong deals at any time of year on the best bean-to-cup coffee machines. 'They tend to be higher ticket items which means that finding a huge discount is very rare. So if you do spot your dream coffee machine on sale at Sage or Smeg I'd recommend jumping at it. Pod coffee machines, however are less advanced in their technology, so they can usually be found for a steal price at this time of year.'

However, Molly has another trick up her sleeve to buying an affordable Christmas gift for a cooking fan in the Black Friday sales - appliance add ons. 'I'd buy appliance add-ons as a gift in the Black Friday sales this year. Anyone who already owns a KitchenAid will love receiving one of the brand's accessories to turn a mixer into an ice-cream maker or pasta maker, while a coffee machine owner will be grateful for a knock box or a snazzy new milk frothing jug.'

Black Friday officially kicks off on the 29th December this year, but we've already seen many brands drop deals early including Ninja, Argos and Amazon. So this year don't leave your Christmas shopping until the last minute, act now.

You could claim £6 a week in tax relief from HMRC if you are in a working from home role. In the last month, Google searches for ‘working from home what can I claim’ have risen by 215%. Since the pandemic, plenty of us have taken to working from home rather than commuting into an office five days a week. But with high costs of living, much of the money saved on commuting is fed straight into our energy bills.

We’re always looking for ways to save energy at home but there are other avenues to look into with a view to reducing pressure on your household budget. For example, were you aware you may be able to claim back money if you permanently work from home?

Here’s everything you need to know about claiming tax relief if you work from home.

What is the working from home tax relief?

‘HMRC allows employees to claim for additional household costs incurred due to working from home. This includes expenses like heating, electricity, and business phone calls. You’ll get tax relief based on the rate at which you pay tax,’ explains Myron Jobson, Senior Personal Finance Analyst at Interactive investor. The tax relief was first introduced during the pandemic in October 2020, with the rate rising to £6 per week in April 2021.

‘The flat rate allowance is £6 per week, which can be claimed without the need for detailed expense records. While a flat rate of £6 a week does not sound like a lot of money, it adds up to over £300 a year which could make a big difference to your bills and you can backdate your claim for up to four years.

‘Alternatively, you can claim the exact amount of extra costs incurred, but you’ll need to keep evidence such as receipts, bills, or contracts.’

However, in order to claim this tax relief, your employer must mandate that you work from home, meaning you are unable to work from an office setting. For example, if you're employer no longer has an office, or your job requires you to live far away from the office, then you could be eligible to claim. If your employer has an office and you choose not to work there, you are not eligible to claim. If you are a hybrid worker, where you work from home part of the time, you must be unable to work from the office the rest of the time in order to claim.

The rules are slightly different if you are self employed. ‘If you’re self-employed and work from home, you can claim a part of your housing costs as part of your allowable business expenses,’ says Adam Clark, founder of My Local Toolbox.

‘This can include mortgage or rent interest (but not the full mortgage payment), council tax, utility bills, home insurance, and maintenance and repairs to the work area, and can be calculated as a flat rate simplified expense, or actual cost based on usage.’

How to work out actual cost based usage

If you are looking to claim based on your actual costs, it’s important to keep a record of all your receipts, bills and expenses. Adam explains how you can work out what you are entitled to based on actual cost based usage.

‘In order to claim for your actual expenses, you need to work out the proportion of your home that is used for your business,’ he says. ‘Divide your costs based on the number of rooms you use for work, and the hours spent working. For example, if you have 5 rooms in your home and you use one for work, 40 hours a week, you can claim the proportional percentage of your expenses based on this usage – (hours worked/hours in a week) x (1 room/total number of rooms).’

How can I claim tax relief if I work from home?

‘If you’re going for the flat rate, the process is simple. You can claim the tax relief directly through the HMRC online portal. Log in to your Personal Tax Account on the HMRC website and navigate to the section for ‘claiming tax relief for your job’. Follow the prompts to complete your claim,’ says Myron.

‘For those who wish to claim the precise amount of additional costs, it’s crucial to maintain meticulous records. You’ll need to submit these details in your annual Self-Assessment tax return.

‘Once your claim is processed, HMRC will usually adjust your tax code to reflect the tax relief, meaning you’ll pay less tax each month going forward.

‘Also, remember that if your employer reimburses your working from home expenses, you can’t claim tax relief on the same expenses.’

If you’re self-employed you can submit your claim as part of your tax return which is due on the 6 April.

How to make the most of your WFH space

Whether or not you can claim the tax relief, if you work from home, you'll need to have a suitable space to work in. And as it's part of your home, you'll want it to not only be conducive to working, but you'll also want it to look good. Certain home office colour schemes can help boost productivity, while the correct placement of your desk can help boost your wellbeing as you work.

To maintain comfort levels, follow these designer tips for a comfortable and stylish office space. When the temperatures drop, it's also worth knowing how to stay warm when WFH, without necessarily relying on your heating, so you can keep you energy bills under control.

Water companies across England and Wales have called for water bills to be raised even higher than Ofwat’s proposed rise of 21% between 2025 and 2030 – with Southern Water even requesting a 84% price hike.

In July, Ofwat (The Water Services Regulation Authority) announced plans for water bills to rise by an average of £94 over 5 years. The proposal was shared by Ofwat as part of its 2024 Price Review which is based on a review of company business plans.

A concrete decision will be formally made on 19 December this year, but with calls by utilities to raise prices even higher, there is a concern our bills may increase more than first thought.

What's happening?

Out of the 11 water companies in England and Wales, it is just Wessex Water that has not requested higher prices since the decision was made in July. On average, companies have called for a 40% increase in bills on average instead of the proposed 21%, as reported by Sky News.

‘The news from Ofwat regarding rising water bills being higher than expected is something everyone ought to seriously consider. These increases are connected to the ongoing necessity for improvements and upkeep of the water supply system's infrastructure,’ says Steven Kibbel, financial planner and Chief Editorial Advisor at Gold IRA Companies.

Ofwat's final decision will not be revealed until December, however the call for a larger price hike is no doubt concerning.

‘A potential jump in water bills is likely to be a worry for consumers, particularly when household budgets are still recovering from the fallout from the cost-of-living crisis, which dented personal finances up and down the country,’ says Alice Haine, Personal Finance Analyst at Bestinvest by Evelyn Partners.

‘The one sticking point with water companies is that unlike gas and electricity suppliers, you cannot choose which company supplies your water. It means households must either absorb the financial hit from a more expensive bill or consider ways to reduce their water consumption.'

‘Water-saving tricks could reduce a water bill, provided you are on a water metre where you are charged for the actual units you consume.’

What can I do?

If you’re worried about your water bill increasing, there are ways to save money on your water bill that you can start implementing now ahead of official announcement.

‘Whether it’s making sure none of your taps are dripping or leaking to opting for a shower over a bath, not leaving the tap running when you are brushing your teeth, shaving or washing up and using a watering can to water your garden or a bucket to wash your car rather than the hose - these simple lifestyle changes all have the potential to reduce your water consumption,’ says Alice.

‘Other water-saving tips include only running your washing machine or dishwasher when they are full or installing water-saving devices on your taps and in your toilet cistern that can save how much water you use. Some water companies offer these free of charge and may even be willing to do a free home visit to help you learn ways to conserve water use.'

‘Those on the lowest income may also be able to apply to their water company for a cheaper rate, known as a social tariff, though each company has their own scheme so eligibility can depend on the benefits someone is on. Those worried about the prospect of higher bills should get in touch with their water company now to find out what options are available.’

Ofwat will announce their official decision at the end of the year.

Home insurance is a necessity that every house needs, but if you get the timing right when you renew you could your home insurance policy there could be savings to be had.

A new report by comparison website Go.Compare has revealed that renewing your insurance 29 days before it is due can save you up to £38 on average. Over the past year, home insurance costs have been on the rise, rising 31% between January and March this year according to Which. That's why it's worth keeping an eye on when it's up for renewal to make the most of these savings.

This is also the time to work out if you are paying too much for your home insurance or have invalidated your home insurance during the cold weather.

What does this mean for my policy?

The report looked at the average median costs calculated from home insurance policies purchased through Go.Compare from 1 April 2024 to 30 June 2024. It found that when policies were renewed 29 days before they were due, insurance cost £189 on average, compared to paying £227 if the policy was renewed the day it was due.

‘There are many factors that affect the cost of your home insurance – from your address and the safety of your neighbourhood, to the size of your home, the security measures you have in place, and how old your property is,’ Nathan Blackler, Go.Compare Home Insurance expert said.

‘However, our data shows that timing when you purchase your policy could also have an impact on how much you pay.

‘Our latest research shows that policies bought 29 days in advance of your renewal could offer the best value for money, costing £38 less on average than those bought same-day.’

Why is it cheaper?

‘GoCompare saying that the cheapest time to renew your home insurance is around a month (29 days) before its renewal is due has everything to do with insurers’ perceptions of you as a responsible homeowner,’ says David Joyson, Chief Customer Officer at Homeprotect.

‘That’s because sorting it in advance gives providers the impression that you are someone who is organised, looks after their finances and home and doesn’t leave things until the last minute.’

Another key factor to consider is that by giving yourself more time to renew, you have more time to shop around for different insurance policies.

‘If you have additional lead time, you might benefit from having a greater number of insurers available to return quotes for you, says Nathan.

‘Additionally, we advise using a trusted comparison site when you’re ready to find a new policy – doing this will ensure you are seeing all the options available, and getting the best bang for your buck.’

What else can I do to save money?

As well as renewing your policy early, there are other measures you can take to stay ahead of the rising curve of insurance costs.

Nathan recommends fitting insurer approved safety measures and finding the best security measures for your home.

Meanwhile, David suggests dedicating time to selecting the right policy for you.

‘Only purchase additional cover options if you think you need the extra protection. For instance, accidental damage coverage can be beneficial if you have pets or young children, or frequently undertake DIY projects,’ he says.

‘Spend time accurately pricing up the cost of replacing your belongings as-new and according to today’s prices before investing in contents insurance.

‘Over-estimating could result in you paying too much, whereas under-estimating could see you lose money on your personal items if you needed to make a claim.’

The best thing you can do is look into your renewal sooner rather than later - it may sound like a boring task but it is important - and it can save you money in the long run.

John Lewis is bringing back its 100-year-old ‘never knowingly undersold’ price pledge just two years after scrapping it - and it’s good news for fans of the brand like us.

In a bid to encourage more shoppers, the pledge means that you could be finding the lowest prices through John Lewis’ doors. In fact, John Lewis is aiming to deliver cheaper deals on its tech than Amazon.

From Monday, the retailer expects 30,000 of its prices to be adjusted in the first week, making their branded products, including those in the new John Lewis Christmas shop, the cheapest available.

Will it save you money?

For the first time ever, the John Lewis Never Knowingly Undersold pledge will apply to online sales, using AI technology to price check against 25 other retailers including House of Fraser, Amazon on technology products, Currys and M&S.

Where previously this pledge was only available in-store, shoppers can now access the same promise online too. Shopping for the best duvet or best pillow, as long as it's John Lewis's own brand, that's where you should find it cheapest.

And if you can get it cheaper? Don’t worry! Under the scheme, customers can return items if they have found a cheaper price at one of the 25 checked brands. This must be done within a week of purchase and John Lewis will refund the difference.

The 'Never Knowingly Undersold' legacy

'Never Knowingly Undersold’ had originally been scrapped in 2022 amidst pressure to match rival’s prices.

‘When we removed the price promise, people automatically assumed that all prices went up... that wasn't necessarily the case,’ Pete Ruis, new managing director of John Lewis said, speaking to The Guardian.

A retailer that prided itself on its value, the move had upset customers.

But the U-turn has seemed to appease shoppers. In the past few weeks, the department store has tested the pledge on 7,000 customers, with 67% saying they were more likely to shop there as a result.

‘We are reimagining never knowingly undersold for how customers shop today – offering great quality, service and prices in store and online – and restarting the conversation as to what it means to live knowingly in the 21st century,’ said Pete.

In the run-up to the annual frenzy of Christmas, this seems like a smart move from the retailer. But it also means customers have access to the lowest prices as we all get ready for the Christmas rush.

If they've seen better days, it’s well worth replacing your gutters. But keeping on top of your general house maintenance can be expensive, which is why you might (tentatively) be asking yourself: How much does it cost to replace gutters around a house?

One thing many homeowners don’t realise is that damaged gutters can potentially invalidate their insurance. And while cleaning your gutters regularly can keep them free of leaves and grime, the consequences of broken gutters are downright scary. Without anywhere to go, the water can create damp patches in your walls, pooling water in your foundations, and even subsidence.

Then, you won’t just be shelling out for replacement gutters. You’ll also have to spend a fortune trying to fix these other problems without the buffer of home insurance behind you. That’s why keeping an eye out for the signs you need to replace your gutters and how much it costs to replace gutters around a house will work in your favour.

Replacement gutters: General cost breakdown

While we wish we could give you an exact cost breakdown of how much it will cost you to replace your gutters, ultimately, this just isn’t possible.

As Jess Thomas, drainage and guttering expert at Drainage Central explains, ‘To work out the exact cost of how much it would be to replace guttering around the house, it would really depend on several factors. These factors include: house size, the type of guttering you want placing, the amount of guttering you have, and the complexity of the gutter installation.’

After all, replacing plastic guttering in a terraced house will cost much less than replacing aluminium guttering in a three-bedroom detached house.

It’s possible to get a general idea of how much it’ll cost, though. Charlie McNeill, Managing Director at Rainclear, has provided the following prices in terms of the material and the cost per metre.

From this table, you can see that replacing plastic guttering is significantly cheaper than replacing zinc or copper guttering.

And while these figures can certainly help you get a general idea of how much it’ll cost, it’s also important to note that you should always consult a professional for a personal, up-to-date quote. Remember to ask about the cost of labour and the potential cost of scaffolding, too.

Jess says, ‘I recommend always getting several quotes before you choose a labourer, and ensure that they're trustworthy by researching previous jobs that they've done. In general, a guttering expert will typically charge £30 - £50 per hour, but it depends on the extensiveness of the work and how big your home is.’

Signs your gutters need replacing

We understand that the figures above can be off-putting, but it's better to be safe than sorry when it comes to the integrity of the gutters around your house. So, if you spot any of the signs below, it's definitely worth paying to have your gutters replaced:

1. They are clogged or visibly sagging

One of the best ways to determine whether you need new gutters is to head outside and inspect them. Often, you’ll be able to see from the ground whether your gutters are clogged or visibly sagging.

Charlie explains, ‘Your gutters should run parallel to your roofline and are designed with a slight slope towards the downpipe to allow water to flow through it and into the drains properly. If they are not still a straight run, this might mean that the brackets might have come loose or the plastic has warped and bowed in the heat over time.’

There are many reasons why your gutters may start sagging, too. It may be that the sheer amount of leaves and debris in the gutters is too heavy, it may be that just the brackets are loose and need replacing, or it may be that your choice of guttering material just doesn’t suit your home and the rain levels.

Whatever the case, sagging gutters will just get worse (especially if the best DIY gutter cleaning tools don't solve your problems) and can cause even more problems as time wears on, so it’s best to get them replaced.

2. They’re leaking

Constantly hearing giant plops of rain outside your window when it’s raining? Well, if your gutters were in top form, you wouldn’t hear this.

These constant drips are a sure sign that your gutters are leaking and need to be replaced, as it means that the rainwater isn’t following the designated route of the guttering and is instead leaking in and around your home. Leaks aren’t just audible, though.

Charlie says, ‘Even peeling paint on the fascia boards around your gutters can signal that there’s a leak somewhere.’ And if this excess water is leaking into your walls or into your foundations, you’ll have a serious problem on your hands.

In some cases, you may even find that your leaking gutters cause mould build-up in your home. This can be a huge health hazard, and is something you should deal with as soon as possible. Make sure you solve the cause of the mould first, though.

This is echoed by Charlie, who says, ‘There’s no point cleaning the mould until the damage to the gutters and downpipes is fixed, or it will just keep coming back.’

3. They have come loose

Your gutters should be attached to your home at all times. So, if it looks as though you gutters have come loose, you should get them replaced.

‘Over time, gutters can start to pull away from the roof if they aren’t regularly inspected or maintained,’ explains Charlie. ‘This is because the wood or mortar into which they are screwed can dry out with age and the screws hold onto/into the fascia boards, facade or mortar are what support the gutters.’

‘If you notice your gutters are pulling away from your roofline or downpipes from your building facade, even a little bit, it’s time to get them looked at and repaired or replaced.’

It’s extreme cases where your home is at the older end of the spectrum, you may even have to replace your fascias and soffits to suit a more modern guttering system. So, you may have to pay more to get your gutters replaced.

FAQs

Do you need scaffolding to replace guttering?

Ultimately, this all depends on your house and the professional you choose to replace your guttering. In some cases, a ladder may be sufficient. In others, replacing your guttering may only be possible with scaffolding.

Because of this, it’s always worth getting bespoke quotes from trusted professionals before getting your gutters replaced. This way, you can compare advice and prices and feel comfortable with the work that’s agreed.

If you do need scaffolding in order to replace guttering, just remember that this will be an extra cost on top of the price to replace the guttering itself.

Are new gutters worth it?

If your gutters are showing signs of wear and tear, visibly broken, or causing leaks in your home, new gutters are essential. Although getting new gutters installed can be expensive, it will pay off in the long run as you won’t have to pay to fix other areas of the house.

Alongside this, many home insurance companies require you to keep on top of your gutter maintenance. If you don’t, you may invalidate your insurance. This means that you won’t have your insurance to help if anything goes wrong.

If you’re simply looking to upgrade the look or material your gutters, though, they might not be worth the price. You ultimately need to decide what works with your budget.

So, there you have it. That’s how much it costs to replace gutters around a house.

Household water bills will rise by an average of £94 over the next five years under proposals by Ofwat, the water body regulator.

This new increase to water bills works out to around £19 a year, or an average 21 per cent increase. The announcement was shared by Ofwat as part of its 2024 Price Review which is based on a review of company business plans. The proposal is now in a consultation process, and Ofwat will publish its final decisions on 19th December 2024. 

Here is how annual water bills will be impacted in different regions if Ofwat's proposal goes through:

However, these proposed numbers are lower than water companies had suggested. Overall companies proposed water bill increases averaging £144 over five years. For example, Thames Water had proposed an increase of £191 by 2030, but this has been reduced to £99, and Severn Trent's proposal of £144 has been reduced to £93.

Many water companies have hit back at the regulator calling out the proposals for not being enough to 'deal with the water shortages we now are coming'. A spokesperson for industry group Water UK said: 

'Today’s announcement is the biggest ever cut in investment by Ofwat. If it doesn’t put this right Ofwat will be repeating the mistakes of the past. As a direct result, more housing will be blocked, the recovery of our rivers will be slower and we will fail to deal with the water shortages we know are coming. Water companies proposed to invest £105 billion because it is the minimum needed to meet the legitimate concerns we’ve heard from the public about our environment and our economy.'

Ofwat says it has allowed a spending package of £88bn by water companies, which is £16bn lower than in companies' business plans. It says that it believes this reflects Ofwat's analysis of their company plans and removed or reduced costs where expenditure is insufficiently justified, inefficient or for things companies have already been funded. 

David Black, Chief Executive at Ofwat has said: 'Our draft decisions on company plans approve a tripling investment to make sustained improvement to customer service and the environment at a fair price for customers.'

Water companies can challenge this proposed bill increase during the consultation process. If you're worried about rising bills there are many ways you can save money on water bills including cutting showers short and using grey water around the house. 

The final decision will be announced at the end of this year.

An electric fan is easily the tried and tested heatwave solution we always find ourselves turning back to. However, as temperatures continue to reach soaring figures and our fans see a lot of use, it's only natural that you might question whether an oscillating fan uses a lot of electricity.

While it's a given that the best fans will more or less always be the more energy-savvy way of staying cool during the hot weather – especially compared to the likes of a portable air conditioner – when you're leaving an oscillating fan on for hours at a time it might leave you wondering if it's still the most eco-conscious option.

Thankfully, you'll be happy to hear that the cost of running a fan (despite long hours) shouldn't set you back more than pennies for the most part so long as you're not running them for excessive periods.

But of course, with the price of energy bills always ticking on our minds, we've asked energy experts to break down how much an oscillating fan costs to run as well as how to save on running costs this summer.

Does an oscillating fan use a lot of electricity?

'The amount of power used for an oscillating fan will depend on factors, such as its size, the speed it is set, and its running time,' begins James Longley, managing director at Utility Bidder. 'A typical fan can use around 25 watts of power for a small size, with larger ones using around 125 watts.'

For example, an average 18-inch bladed floor fan can use up to 110 watts (0.11kW) when run at full speed. Under the July 2026 energy price cap, where electricity is 26.11p per kWh, it'll cost just under 3p per hour to run. Over 10 hours, it'll cost around 29p, and 69p if you run it for 24 hours.

If you want to know how much you specific oscillating fan costs to run, you can use our calculator. All you need to know is the wattage of the appliance.

While this may seem pretty menial at first glance (and a price worth paying to keep a bedroom cool when it's warm out), if you're running this fan for 24 hours every single day for a month, this can potentially add up to £21.37 to your monthly energy bill total.

Granted, it's a little unrealistic to leave a fan running for that long without any breaks, but we think this helps to visualise just how much it could potentially cost you throughout the summer months to stay cool.

How to save on fan running costs

Luckily, Andy Kerr, founder of BOXT assures that this cost can be lowered if you are strategic with your fan and utilise their strengths.

'Many will keep their fans in storage during the colder months. However, this means they will have accumulated a lot of dust once you get them out – reducing their efficiency,' notes Andy. 'Before switching them on, be sure to remove any dust from the blades and any other surfaces before using your fan to boost their efficiency.' Besides, it's never a bad idea to clean a fan periodically anyway.

In terms of actually using a fan, James recommends turning the fan off when you are leaving the room it is in to help you save energy at home.

Since fans don't actually lower the temperature of a room but rather just cool the person (unlike an air conditioner which does actively cool a room), it's a little pointless to keep it running when nobody is occupying the space.

'Another option is, rather than increase the speed of the fan, place a bowl of icy water in front of it, this will cause small cold water droplets to circulate the room and therefore cool the room faster,' adds James. If you opted for a fan when debating between a fan vs air conditioner, doing this is almost akin to a similar cooling experience an AC unit provides if you need the extra boost.

'Since heat rises, the coolest air in your house is going to be at floor level, so set your fan on the ground floor and point it upwards,' advise OVO Energy's experts. 'Position it so it points upwards towards the opposite wall, with no large objects in the way. This will bounce the cooler air back into the room, to cool the overall temperature.'

Alternatively, strategically positioning your fan by a window will also increase its efficiency.

Shop oscillating fans

So, while an oscillating fan doesn't typically use a lot of electricity, its cost to run will inevitably jump during heatwaves and hotter months of the year.

However, by investing in an energy-efficient model and keeping the above energy-saving tips in mind, you can do your part to keep costs down without sacrificing the relief of cooling comfort.

Most of us have gathered a lot of stuff in our homes over the years, much of which we don’t even use anymore. These amassed things are often forgotten about and left to collect dust. And yet, many could be sitting on a fortune as a lot of this supposed ‘clutter’ could be worth a significant amount of money on online resale websites according to Dan Hatfield, pawnbroker and This Morning’s resident money-making expert. And he’s shared with us the top things from around the house to turn into profit.

Selling unwanted and unused objects from your house to give them a new lease of life while making some extra cash is one of the best decluttering tips you could ever receive. And if you’ve owned a house for some time or have access to your parents’ abode that has ample storage space like an attic that hasn’t been touched for a while, then it’s more likely that some of the treasures as discussed by Dan below are hiding in there.

But unless you’re Marie Kondo, we understand it’s difficult to part with your belongings and make time for getting rid of stuff. So let this be something of a motivation or a decluttering checklist for you.

Dan Hatfield shares 5 items to make money from

‘The stats go that there's £48 billion-worth of unwanted items in our homes that we don't realise the value of, and these items are everywhere and anywhere around us,’ Dan Hatfield starts. ‘We've got a vast amount of items that equate to each household as roughly about £3,000-worth of items that they could be selling, which would make a massive difference in most people's lives.’

And finding a better home for your things through selling them on rather than throwing them away is a form of sustainable decluttering after all. So everybody wins!

Selling online is the easiest way to do this as you can list everything from clothing to selling furniture second-hand. But choosing the right platform or app for specific items is crucial to making the most money as you can.

‘The difference between one app and another could mean doubling your money,’ Dan says. ‘There are so many apps out there that you can pick, you just have to tailor it to the right app.’

The kitchen, for example, is a place where a lot of unused equipment lives. ‘In the kitchen, we have £822-worth of gadgets that we just are not utilising, they're just sitting in the cupboards.’

So let’s start looking there.

1. Pyrex dishes

‘I know that some people are aware that Pyrex dishes are worth money, but Pyrex dishes right now are so popular. You can get lots of money for your Pyrex dishes, particularly the 1960s versions and the pastel colours. At the moment, we're seeing some of the vintage ones go for thousands,’ Dan exclaims.

So if you, your parents or even grandparents have some old Pyrex dishes lying around, then start listing them asap. Etsy is the best place for selling them as per Dan’s recommendation.

2. Quality Street tins

While you may have heard about the recent rise in popularity of Pyrex dishes, not many know that something as simple as a Quality Street tin could make you money.

‘Then there's the little bits and bobs at home that we just collect that we never throw away - like Quality Street tins. Some of those from the 60s and 70s can raise £200. Even the ones from the 1980s and 90s can reach £50. And these are things that lots of us have in our home that we might put our sewing kits in or our plasters for a makeshift first aid kit, but actually, you could be sitting on £200.’

But having a scroll through eBay, the recommended platform by Dan for selling these tins, even some more recent designs can go for as much as £25 which is not bad at all.

3. Newspapers

‘A lot of us have old newspapers, in our homes and in our attics, that are just collecting dust. Some of those with big headlines can make big money. So for example, the wedding of Princess Diana and Prince Charles, that's going for £200. Death of Princess Diana is going for £200. The Cuban Missile Crisis which is quite far back but some people might have a copy of that for about £50,’ Dan explains. 

These amounts aren’t guaranteed every time, of course. But having a look on Etsy, which is your best bet for selling old newspapers, some of the editions with big Princess Diana stories currently sell for about £125 which is not far off. 

4. Barbies

‘The interesting thing about what's happening in our lifetime is that we are curating our own collectibles and antiques. During our grandparents era, this nostalgia did not exist, we wouldn’t be able to sell things from 30 years ago and make big profits out of it. And that's because things go up in value over time, maybe 100-250 years after it has been created. Because it goes through a cycle and eventually becomes popular again. But we're now seeing that cycle go down to 20 to 30 years. So what we're seeing is things that we bought 20 or 30 years ago, things like 80s and 90s toys that a lot of us have in our attic, you could be looking at silly prices for that,’ Dan explains.

One such example are Barbie dolls from the 1980s and 90s. And their popularity has gone up even before the Barbie movie was released, causing the Barbiecore trend to take over home decor. 

‘A lot of people that had Barbies in the 80s and 90s became massive Barbie collectors and Cindy collectors,’ Dan says. ‘Prices for Barbies increased in price by about eight or nine times. And that's because nostalgia is in at the moment. And I think we're only going to see this trend continue as the world develops.’

And so if you have your old Barbies knocking about, join fan groups on Facebook to advertise on there.

5. Lego

And perhaps the best one we saved for last. Loved by children and adults alike, Lego is pretty much everywhere. Which is perhaps why its value goes up so exponentially.

‘We all wish that we kept our old toys,’ Dan starts before turning to Lego specifically. ‘Lego increases in value by 11% per year on average, which is more than gold. So a £45 Lego set might be worth £90 to £100 now.’

And while the big money lies in complete sets with the original box included, even loose bricks sell through various auctions, which is the best place for them to be listed.

‘I can't give a list of absolutely everything that's worth money, but I want people to understand that there is treasure in all of our lives. It is just about doing our research, understanding the intrinsic value, and then working out how best to sell it. You've got to be a detective, you've got to put your home through a sieve. And then work out the values and you'll be shocked at the amount of money that you can make,’ Dan concludes.

We couldn’t have said it any better than that.

If you started 2024 off with a big ol’ declutter, there’s a high chance you’ve come across old furniture you no longer want or need. That’s why it’s always handy to know how to sell furniture second-hand and turn your declutter into a little extra cash.

Whether you’re opting for a 10-minute declutter or have gone all out and ticked every box on your decluttering checklist, clearing out your home can give you some much-needed space. But rather than ditching it at the tip why not turn it into an extra bit of income? 

‘The New Year brings a clean slate, prompting people to declutter and clean out their homes, with selling furniture online becoming an increasingly popular option,’ explains Emmanuel Baumard, Home Expert and Co-founder of Purlfrost. Whether it is in tip-top condition or needs someone to work their upcycling magic, you can always guarantee that someone out there will pay for your furniture if you know what you're doing.

How to sell second-hand furniture  

Below, you’ll find everything you need to know about selling second-hand furniture online to make money from your decluttering efforts. Our handy step-by-step guide has rounded up the basics and smart tricks to get you selling in no time. 

1. Choose the right selling platform

Selling furniture second-hand is now easier than ever, which is a win-win situation for buyers and sellers. However, it’s important to understand the intricacies of each selling platform and what they can offer you as a seller:

• eBay: As one of the most popular buying and selling platforms worldwide, it’s incredibly safe and easy to buy and sell on eBay. In fact, it’s one of our favourite places to buy refurbished air fryers. If you’re a private seller and haven’t gone over your monthly allowance, selling furniture second-hand on eBay is free. You will have to pay a percentage to the platform when your item sells, though. 
• Etsy: Famous for its independent sellers and small businesses, Etsy is a common platform for buying and selling second-hand goods. However, this platform seems to favour buyers rather than sellers. To sell anything on Etsy, you’ll be charged a 16p listing fee, a 6.5% transaction fee, and then a 4% + 20p payment processing fee. 
• Facebook Marketplace: Facebook is much more than just a social media platform. Facebook Marketplace is a handy and totally free way to sell furniture second-hand to those in your local area. You won’t have to pay any fees, and you can have your buyer pick it up from your home. Just keep an eye out for scammers, and if you ever decide to buy anything on this platform yourself, remember to use the secret Facebook Marketplace buying tip. 
• Gumtree: Dubbed as the number-one classified ads site in the UK, Gumtree is another platform for selling second-hand furniture. While it’s usually completely free to list your items on Gumtree, the platform does note on its website that certain services do incur a fee. But before you use any of these services, the platform will allow you to review and accept the charges to ensure you know what you’re signing up for. 
• Vinted: A popular choice for those buying and selling pre-loved clothes, what many don’t realise is that you can also sell second-hand furniture on Vinted. As it’s primarily known for selling clothes, shoes, and accessories, it may take you a little longer to sell - but it is completely free to use, which is a bonus. 
• Shpock: This buying and selling platform relies on finding potential buyers close to you, which is a great option for those who don’t have the ability to post a large chest of drawers. There are zero fees involved, and there’s even added buyer and seller protection to ensure you’re selling to the right person.
• Preloved: Like many of the other online selling platforms, Preloved offers a free way to sell your second-hand furniture. However, you can also become a member for extra perks. You can either sell your furniture using a single photo and description, or you can become a paid Preloved member and add multiple photos and respond to buyers straight away. 

2. Prepare the furniture for selling

Everyone knows that every piece of second-hand furniture comes with a story. No matter whether it’s had one or multiple owners, buyers know that it may be a little rougher around the edges - especially compared to brand-new furniture that comes straight from the shop. 

While sellers can give or take chipped paint or a wobbly table (as long as you were honest about these features in the first place), they won’t appreciate buying second-hand furniture that’s covered in dust, mould or completely missing a door. So, it’s important to prepare your second-hand furniture for selling before you really get started. Think about what you look for when buying secondhand furniture.

Margaret Larson from Sustainable Furniture explains, ‘When preparing furniture for sale, it is important to perform a deep clean, this will ensure furniture pieces are looking their best to help achieve a quick and high-profit sale. Start by emptying any drawers and cupboards or check under cushions for miscellaneous items.'

‘Furniture made from wood, glass or metal can be cleaned using a damp cloth to remove dust, and if there are any lingering tough stains, try spot cleaning with a sponge, warm water and mild dish soap. Then, to finish, buff and polish using suitable products to restore the furniture's appearance.'

‘For upholstered furniture pieces, start by lightly hoovering the surface to remove debris, then spot clean any tough stains and plump cushions for the perfect finishing touch.’

3. Make sure your photos are stellar

You wouldn’t buy clothes or a car online without looking at photos first, so you can’t expect potential buyers to purchase your second-hand furniture without seeing what it looks like. The best way to give them what they want is to take stellar photos that really show off the item.

Hannah Rouch, second-hand expert at Gumtree, explains, ‘Pictures may tell a thousand words - but bad photography won't sell your furniture. Take photos of the item against a plain background so it's clear what you are selling, and whatever you do, only post images that are in focus!' 

'Buyers will want to see as much of the item as possible - warts and all. So, take photos of the object from all angles and clearly show any defects that are present. When shooting, make the most of natural daylight to ensure your images are bright and sharp.’

It may also be a good idea to take photos of the furniture in the room they’re designed to go in if you can do so without the pictures looking too cluttered. For example, photographing a sofa in a living room or snapping a chest of drawers next to a bed. This will allow buyers to gauge the general size and visualise it in their own home. 

It goes without saying that you should also never use photo editing tools when taking photos of your second-hand furniture, as you don’t want to mislead a potential buyer. 

5. Write a spot-on (and honest) description

No online advert would be complete without a description. And while you might think that short and simple descriptions filled with important info will help sell your furniture, Hannah suggests otherwise.

‘A one-line description might make the buyer think you have something to hide,’ she says. ‘Put yourself in the buyer's shoes and think about what they need to know to ultimately make the purchase. Practical information such as measurements, the material it is made from, and the item's history are the basics.’

‘But for a quick sale, paint a picture of how potential buyers could use the item. Describe what makes the object stand out from the competition - are the drawers extra deep and great for storing bulky jumpers? Is the desk extra wide and perfect for working at home? Create a story so the buyer can imagine the furniture in their own home. Once you have written your description, run it through a spell checker, as listings with incorrect spellings are far less likely to be found online.’

Within this description, you should also explain about the delivery or collection method. If you’re willing to send the furniture to your buyer, confirm who will be covering the postage fees. If they live locally, you could also explain that you’re willing to deliver the item for an extra fee if required. Alternatively, confirm that you will be selling for collection only. 

The main aim is to pre-emptively answer any questions a buyer may have, as this will not only make you look confident and trustworthy but will usually result in a quick sale too. 

5. Settle on a price

If you want to sell furniture second-hand rather than recycle or donate it, you obviously want to get money out of it - and there’s absolutely nothing wrong with that. Everyone is within their right to ask for money in exchange for goods, but you need to settle on a price that works for both the buyer and the seller. 

It can be easy for sellers to become emotionally attached to their items and ask for more than the furniture is worth. However, a good rule to follow is that second-hand furniture in good condition can be sold at around 70-80% of the original sale price.

Ava Wilson, Chief Editor at Unclutterer, also adds, ‘Research similar items to price yours competitively. Be realistic about the condition and age of your furniture.’

One of the easiest places to do this research is on your chosen selling platform. If you find something similar that’s been for sale for months, it’s highly likely that it’s been priced too high, and therefore you should lower your expectations accordingly. 

6. Engage with potential buyers

So, what do you do when you have an interested buyer? Many people will try to haggle the price of pre-loved and second-hand furniture, and it’s down to you how you want to play that game. Of course, if you want to drive a hard bargain and are willing to wait a little longer to get what you want, stick to your advertised price. 

But if you want to get rid of heavy second-hand furniture in a hurry to make space for new pieces, it’s probably worth being lenient and finding a comfortable middle ground between you and the buyer. 

Whatever you choose, it’s important to respond quickly to enquiries and keep things short and professional.

7. Seal the deal

When you’ve found a willing buyer and are confident with the price, you can then seal the deal and arrange for the exchange of money and goods. How this is done will depend on whether you’re posting, delivering, or exchanging on collection, and how you choose to accept the money.

As online scams are rising, the safest way to exchange money is in person and with cash. If you feel like you’re being pressured into accepting money online, it’s best to avoid it - especially if you’re planning on sending the furniture to your buyer. 

Ultimately, you are the only one who can make the decision on how you receive money. But one thing that’s important to note is that you should never send items to a buyer without receiving the money first. 

FAQs

So, now you know how to sell second-hand furniture, all you need to do now is get started! 

EDITOR’S NOTE: An earlier version of this article included a quote from a purported expert whose credentials we have not been able to verify. The quote has been removed. We regret this lapse in our verification process and have updated our internal protocols to reduce the risk of recurrence.

Ah, the humble kettle—an essential part of British life. Whether it’s for your morning coffee, an all-important afternoon tea-and-biscuits break, or boiling water for pasta at dinner, it's always there, loyally bubbling away. But have you ever wondered what it actually costs to boil a kettle?

Surprisingly, even the best kettles can quickly become one of the most energy-guzzling kitchen appliances in the home, especially if you overfill them. And with the energy price cap £21 higher for the January-March 2025 period than it was from October-December 2024, understanding these running costs is vital.
Plus, it's a great start to saving energy at home.

Working out how much it costs to boil a kettle depends on a number of factors, including how much water you’re boiling and how efficient your kettle is. Because while some are designed to save energy, others are about as efficient as trying to dry your clothes in a rainstorm.

We've spoken to the experts and done some calculations to work out exactly how much energy a kettle uses, and how much a kettle costs to boil.

How much does it cost to boil a kettle?

'To work out how much it costs to boil a kettle, you’ll need to know how much you pay for one unit of energy (1kW), how many kilowatts your kettle is and how long it takes to boil the desired number of cups,' explains David Johnson, Techinal and Category Manager, The Underfloor Heating Store.

Under the January 2025 price cap, the average price for electricity is 24.86p/kW. However, as you won’t be boiling a kettle for a solid hour, it’s better to work out how much energy a kettle uses based on a smaller amount of time.

• The majority of kettles have a 3kW element. An example 3kW kettle boils one cup of water (235ml) in approx 45 seconds. This means it uses less than 1p (0.0093p) to boil a cup of water in a kettle. The same kettle can boil 1.7 litres of water in about 4 minutes, meaning that it costs around 5p (0.0497p) to boil a full kettle each time.
• Some kettles have a 2.2kW element. This means that they’ll use less power, but also take longer to boil. An example 2.2kW kettle can boil a litre of water in 3 minutes 10 seconds, meaning that although its cost per minute is less than 1p (a little over 0.9p to be exact), boiling a litre will cost 2.8p.

To work out the cost of boiling your own kettle, you'll firstly need to find out how much you pay for one unit of energy (1kW), which should be listed on your energy bill. Check the power rating of your kettle, then time how long it takes for your kettle to boil one cup of water (you can pour water from your chosen mug into the kettle if you want to be super precise).

By multiplying the kW of your kettle by the price you pay for energy, you'll get the figure of how much it costs to boil your kettle for an hour. Divide this by 60 to get a rough price of how much it would cost per minute.

Heating larger amounts of water for cooking starts to become more expensive. Fill the example 3kW kettle up to its maximum of 1.7 litres each time and the boiling time for a full kettle rises to 4 minutes, and a cost of 5p every boil. That means if you often boil a full kettle for just one cup you're wasting about 4p every time.

Are some kettles cheaper to boil than others?

While most kettles use a similar amount of energy to boil the same amount of water, with how much does it cost to boil a kettle, some are cheaper because they're more energy efficient. Some may not switch off immediately after reaching boiling point, while others have poor insulation that mean they lose heat externally, taking longer to reach boiling point.

The difference can be substantial over time. For example, one 3kW kettle can boil a litre in just over 2 minutes, while another may take as long as 2 minutes 30 seconds. This can mean a cost difference every time you boil a litre of water, so make sure you're using the best electric kettle for you.

‘We use our kettles more frequently than most other kitchen appliances,' says Ben Gallizzi, Energy Expert, Money. ‘In fact, the average UK household boils the kettle 1,500 times a year. If you’re in the market for a new kettle, look for rapid-boil models in the 2.5 - 3kWh range that can boil a single cup of water in under a minute as well as those with insulated casings that keep the water warmer for longer after boiling.’

What energy saving features should I look for when buying a kettle?

If you're shopping for a new kettle, look for the clever functions listed below so that using it is as energy efficient as possible.

1. Variable temperatures

A choice of temperature is a great option for those who enjoy pour over coffee, green tea and herbal tea. These drinks, as well as others, benefit from brewing with water at lower temperatures than boiling. And, as the water reaches the desired temperature sooner without needing to boil, your kettle will use less energy. Filling your hot water bottle with cooler water than boiling will also prolong its life.

2. Clear markers

Kettles without markers inside or on the water fill window mean you may boil more water than you need. Ideally, look for a model that has both litres and cups shown clearly so you can fill it quickly without overboiling.

3. Low minimum fill

Minimum fill amounts vary between models, meaning that even if you only want to make a cup of tea, you may need to consistently heat more water than you need. Minimum fills can be as much as 500-800ml, so look for those that allow you to boil as little as a single cup. Alternatively, one cup kettles, like the LAICA Dual Flo Electric Kettle, are rising in popularity.

How can I cut the cost of boiling a kettle?

1. Descale regularly

Limescale stops your kettle from working as efficiently as possible, meaning it’ll take longer to boil and use more energy. Keep the inside scale-free by descaling every four to eight weeks in a hard water area and every few months if your water is softer.

Pop the kettle’s filter out regularly (if it has one) and rinse that, too. You don't need to use chemicals – you can descale and clean a kettle with lemon, vinegar and other natural solutions.

2. Only boil as much as you need

While it might be a chore to work out how much water you need to fill a mug or pan, it’ll save you money in the long run to only boil what you need. Rather than do it every time, jot down how much water a few of your favourite cups use and which marker on the kettle this corresponds to.

Your kettle will boil the water quicker as a result, and you'll bring those energy bills down ever so slightly.

3. Don't fill the kettle up every morning

‘Even though we drink a lot of hot drinks during the day, it’s still more energy efficient to boil what is needed each time than fill the kettle at the start of the day,’ explains Matt Manning, Group Carbon and Environment Manager, Currys.

FAQs

Does boiling a kettle use a lot of electricity?

Boiling a kettle doesn't use a lot of electricity, though this does depend on the wattage of your kettle specifically. Most kettles use between 2-3 kWh of electricity.

A lower kWh doesn't necessarily mean that the kettle uses less electricity to boil water than one with a higher kWh. Generally speaking, a lower kWh means the kettle will take longer to boil, meaning it's going to be using energy over a longer period of time.

'Compared to a much larger, heat generating appliance like a tumble dryer, boiling a kettle doesn't use much electricity,' says Ideal Home's home energy expert Sarah Handley. 'However, if you want to keep your bills as low as possible, it's to use your appliances in the most energy efficient way possible. When it comes to the kettle, this means only boiling the water you need each time, and keeping it limescale-free so it works it's best.'

What is the cheapest way to boil water?

While the cost of boiling water in a kettle is relatively cheap, there are even cheaper methods out there.

You could use the microwave, but a cheaper and more effective boiling method is to heat the water on a gas hob, if you have one. Gas generally costs less than electricity. Under the January 2025 cap, the average price of gas is 6.34p per kWh.

An even cheaper solution than the gas hob is to install an instant boiling water tap, which may have a larger upfront cost than simply buying a kettle, but can save you a pretty penny long term.

'One of the most energy-guzzling appliances, the kettle uses on average 2,200 watts to boil 1.7 litres of water,' says Stephen Johnson, Managing Director, Quooker. 'Comparatively, a Quooker boiling water tap only uses 10 watts per day to keep water in the tank at 110°C, thanks to its patented high-vacuum insulated tank preventing heat from escaping.'

When working out how to cut energy costs around the home, it can be easy to neglect considering how much it costs to run a vacuum cleaner. The best vacuum cleaners on the market promise to help you tackle mammoth cleaning tasks effortlessly, but as electrical appliances used weekly, and sometimes daily they come with a hidden cleaning cost.

With winter fast approaching and a sudden cold spell on our hands, many of us are likely looking into how to save energy at home more than ever. Despite the newly lowered energy price cap, electricity bills are still higher than before the energy crisis began. It still pays to be clued up on just how much every appliance in your home is costing you to run including your vacuum cleaner.

How much does it cost to run a vacuum cleaner?

To work out exactly how much a vacuum cleaner is costing you to run, you'll need to find out two things: how much you're paying for energy per pence/kWh of electricity and the wattage of your vacuum cleaner model.

In light of the recent adjustments to the energy price cap in January, the highest price you can expect to pay per pence/kWh of electricity is 29p.

Commenting further, James Longley, managing director at Utility Bidder says, 'With the revised cap in place, the annual expenditure for a standard dual-fuel household is expected to be £1,923, marking a decrease from the previous £2,074. These figures consider a consumption pattern of 12,000 kWh of gas and 2,900 kWh of electricity each year, priced at 29 pence per kWh.'

So, with this in mind, we used 29p to calculate how much a handful of vacuum cleaners could cost to run following the price cap decrease.

• An example 600W vacuum cleaner used on average for one hour every week will cost roughly 17p per week, 73p per month, and £8.86 per year.
• An example 1,200W vacuum cleaner used on average for one hour every week will cost roughly 35p per hour, £1.49 per month, and £18.15 per year.
• An example 1,400W vacuum cleaner used on average for one hour every week will cost roughly 41p per week, £1.74 per month, and £21.17 per year.

I based the calculations on a combined usage of one hour per week, given that you likely won't be vacuuming any more than this allotted time. However, if you suspect that you're using your vacuum for less or more than an hour a week, these figures will vary.

If you're after specifics, you can take how much you pay for electricity per kWh (29p, in our case) and multiply your vacuum cleaner model's kWh to find out the cost of your vacuum cleaner. However, at just £20 a year for a powerful vacuum, I was pleasantly surprised by how little my vacuuming was adding to my bills compared to how much it costs to run a kettle or how much it costs to run a tumble dryer.

Are some vacuum cleaners cheaper to run than others?

'Vacuums typically draw power from regular electrical sockets. While their power consumption can range from 450 to 3,000 watts, most popular models hover around the 1,400-watt mark, translating to about 1.4 kWh,' explains James at Utility Bidder.

At Ideal Home, you already know that we love Dyson vacuum cleaners (especially if the matter of the best vacuums for pet hair is concerned), and luckily enough, the retailer offers models with power consumptions typically between 600 to 1,200 watts, which is less than an average vacuum cleaner's 1,400-watt mark.

James continues, 'For perspective, the Dyson Cinetic Big Ball Animal + Allergy upright model (available to buy at Dyson) can consume up to 1,200 watts. This means that while an average vacuum might cost about £0.406 for an hour's use, the Dyson model could run up to £0.348 per hour.'

'In general, Dyson has a reputation for crafting energy-efficient models, which might lead to lesser costs in the long run compared to some traditional vacuum cleaners.'

On the back of popular vacuum cleaner retailers, another notable mention is the iconic Henry vacuum cleaner, AKA the backbone of many British schools and households.

Utility Bidder's James continues, 'This model, designed with energy-saving in mind, typically runs on 600W, leading to a cost of around £0.174 for an hour's operation. For those requiring a boost in cleaning power, toggling to the HI setting will elevate the consumption to 1,200W and the cost to £0.348 per hour.'

And, if you're looking for something even smaller than just a typical handheld vacuum with efficiency in mind, the best robot vacuums easily deserve a spotlight. James explains that these models consume a 'mere 60-90 watts over three hours, resulting in an impressive cost of about 18p per three hours.'

So if you've been wondering, 'Are robot vacuum cleaners worth it?', their energy efficiency is certainly something to consider.

'However, it's worth noting that variables such as the surface being cleaned or the vacuum's motor can also cause fluctuations in energy usage. For instance, vacuuming a hardwood floor is usually more energy-efficient than tackling a plush carpet,' he concludes.

FAQs

James at Utility Bidder concludes, 'When it comes to everyday appliances like vacuum cleaners, the energy consumption remains relatively low.'

'So, as you warm up your homes and maintain their cleanliness, there's no need for concern; using your vacuum won’t make a significant dent in your energy bill.'

It may seem crazy taking out a variable rate mortgage at a time when interest rates are rising, but for some borrowers it’s the right move.

Later this month, the Bank of England will meet to decide whether to put up the base rate again. It has risen more than 13 times since December 2021. During that time, the price of fixed rate mortgages have climbed and climbed, driven even higher by unexpected shocks to the economy.

An average two-year fixed rate for a homeowner with 25% equity was 6.21% at the end of August, according to the Bank of England, up from 4.6% in April. But with variable rates rising more slowly (the equivalent rate is 5.66%) it’s no wonder they’re grabbing borrowers’ attention when they are looking for the best mortgage rates.

We’ve asked the experts to lift the lid on why borrowers choose variable rate mortgages, their pros and cons and the different types available.

What is a variable rate mortgage?  

A variable rate mortgage is a home loan with an interest rate that can go up or down within the term of your deal, unlike a fixed-rate mortgage, where the interest rate is fixed for a specific duration, usually two, five or ten years.

There are three types of variable rate mortgage:

• Tracker mortgage – this tracks the Bank of England base rate by a specified margin, for example base rate + 0.25%. As soon as the base rate changes, your mortgage will change by this amount.
• Discounted rate mortgage – these deals are linked to your lender’s standard variable rate (SVR), the default rate you go onto when your mortgage deal expires if you don’t arrange a new one. A discount off the standard variable rate is offered, for example, SVR – 3%. This means that if your lender’s SVR was 8%, your rate would be 5%. When the base rate changes, your lender is not obliged to alter its SVR or pass on the full rate rise or cut, but it can do.
• Standard variable rate – if you do nothing when your deal expires, your interest rate will revert to the lender’s standard variable rate which is much higher than other variable rates, averaging around 8%.

 Is a variable rate mortgage ever a good idea? 

Whether a variable rate mortgage is a good idea depends on two things; whether or not you think interest rates will fall and your financial circumstances. 

In early September 2023, the governor of the Bank of England said it was “much nearer” to the end of its interest rate hikes but because inflation remained high, borrowing costs may still rise further. 

If you think rates will drop, then taking a tracker or discount mortgage may interest you. While you may have to endure a short-term increase in your monthly payment, if rates do fall over the next two years, you’ll be on a cheaper rate than if you locked into an expensive fixed-rate now. 

David Hollingworth of L&C Mortgages said: “If interest rates don’t come down you must consider whether you have enough capacity in your budget to deal with an increase in your rate and how much flexibility you have before your finances are under too much strain.”  Read our guide if you find you can't afford to pay your mortgage - it's packed full of practical steps you can take.

Lots of tracker deals, and some discounted mortgages, come with no early repayment penalties. If rate rises are putting your budget under stress you can switch to a fixed rate at any time. But you would have to pay remortgaging costs to do so. Check the terms and conditions of your tracker deal before signing up. Some are only penalty-free to ditch early if you’re switching to a fixed rate with the same lender.

Should I stay on my lender's Standard Variable Rate?

Staying on your lender’s Standard Variable Rate is a costly decision and one that’s not advisable for more than a few months. Borrowers who are moving home may sit on their lender’s SVR if their old deal has expired to avoid the stress and cost of remortgaging. 

Rowan Frayling, managing director of brokerage J Finance, said: “Lots of borrowers choose variable rates because of their features not because they’re cheaper than fixes. Many allow borrowers to make unlimited overpayments and leave early with no penalties. These extras are more important to them than the stability of their rate.”

Most mortgages restrict borrowers to a maximum of 10% overpayments each year. An unlimited overpayment feature is useful for homeowners expecting an inheritance or who receive bonuses at work that they plan to use to pay down the mortgage.

Pros and cons of a variable rate mortgage

Benefits of a variable rate mortgage

• You’ll benefit from a lower interest rate and monthly payment if the base rate falls.
• You are not tied into a fixed rate for two to five years, watching rates drop while you remain on a higher fixed rate.
• There are more flexible features on a variable deal than a fixed rate mortgage.

Drawbacks of taking a variable deal

• Borrowers on a tracker will see their monthly payment rise if the base rate increases.
• Those on a discount deal may be shielded from all of the rate rise but are likely to see some increase in their monthly payment if the base rate increases.
• Households have a lack of certainty over their monthly budget.
• Most variable rate mortgages have a restriction in their terms which states your mortgage rate cannot drop below a certain level, however low the base rate falls.

If you’re a first-time buyer, you might be wondering what your chances are of getting a mortgage right now. Taking that first step onto the property ladder isn’t easy, and thanks to rising mortgage rates and the cost-of-living crisis squeezing budgets, your dream might now feel completely unobtainable.

But the good news is there are still plenty of first-time buyer mortgages available, even if you don’t have much of a deposit saved up. Plus, there are steps you can take to boost your chances of mortgage approval and help you find the best first-time buyer mortgages.

'Lenders are still lending, in fact we are expecting some increased competition for new business to actually reduce lending rates quite soon and with better economic news, it is just possible that the worst of the rate rises is now behind us,' explains property expert and buyer Jonathan Rolande.

'However, first-time buyers have a stark choice – reduced affordability thanks to higher interest and factoring in the cost of living rises means either adding to the deposit to increase buying power, or reducing expectations of what can be bought.'

What are my chances of getting a mortgage as a first-time buyer?

First-time buyers are more likely to get a mortgage if they can put down a decent deposit as this gives them access to a greater range of deals. But even with little to no deposit, it's still possible to get a mortgage. 

'Prospective first-time buyers should go ahead and take the plunge if they have managed to save for a deposit or if family members are able to help,' says Mel Whiting, mortgage expert at Norton Finance.

'This is especially true if the alternative would be to rent, as rents are at an all-time high due to increased demand and a decrease in supply.'

Most lenders require a deposit of at least 5% to 10%. But if you can save more than this, the better the interest rate you’ll secure and the lower your monthly repayments will be.

'There is actually a fair amount of flexibility in the market, but lower deposits tend to come with higher interest rates which reduces your overall affordability,' says Alex Chambers, senior mortgage adviser at Clifton Private Finance. 'For example, Skipton is currently offering a 0% deposit mortgage, but you need to have a track record of renting for the past 12 months to qualify and the interest rate is fixed at a high 6.19% for five years.'

'Elsewhere, Nationwide will lend at 95% LTV (loan to value) for first-time buyers and up to 5.5 times your salary. But again, with interest rates so high, affordability becomes a real squeeze in these cases.'

 How can I increase my chances of getting a mortgage? 

As well as a higher deposit, there are several other ways to increase your chances of getting a mortgage. These include checking your credit score is the best it can be and paying down any existing debt, such as personal loans and credit cards. 

Lenders will also want to see that you have a steady source of income as this tells them you’re more likely to be able to repay your mortgage debt. However, this doesn’t necessarily have to be your main salary.

'We see many first-time buyers with side hustles or second jobs, and if you can demonstrate the earnings with either payslips or a tax return then it can be used to show the lender that you can afford the loan,' says Dominic Sheahan, mortgage expert and director of the Mortgage Branch. 'Universal credit, employment allowances, maintenance - these and many other incomes are now acceptable.'

Different lenders have different eligibility criteria so compare a range of lenders before making a decision. 

'To assess your specific chances of getting a mortgage right now, you should reach out to multiple mortgage lenders or consult with a mortgage broker,' explains Gary Hemming, financial expert at ABC Finance. 'They can evaluate your financial situation and creditworthiness, provide guidance on available loan options, and help you determine the best course of action based on your unique circumstances.'

'Some lenders might be willing to offer you a longer-term mortgage, with terms of 35 to 40 years (compared to the traditional 25 years) available. This can help to lower your monthly mortgage repayments, making them more manageable, although it does mean you’ll pay more in interest overall.'

'In addition, it can be worth exploring some of the first-time buyer schemes on the market. Barclays, Lloyds and Halifax, for example, offer mortgages where parents can deposit savings with the lender for a fixed term, reducing the amount of deposit required from the first-time buyer.'

'Some mortgage lenders also allow parents to join their children on the mortgage application, as chief executive of mortgage broker SPF Private Clients, Mark Harris, explains: “These enable parents to buy with their child, boosting income and the deposit for mortgage purposes but the parents’ names don’t go on the property deeds so there is no additional stamp duty to pay.'

Alternatively, the First Homes government scheme can help you purchase a home for 30% to 50% less than the market value, while the shared ownership scheme lets you buy a share of the property and pay rent on the remaining share. 

If you’ve fallen in love with your dream home you may be tempted to pay over the asking price. But is it ever a good idea? 

Those new to buying a home may not realise that an asking price is just a guide. An estate agent will advise the seller on an appropriate asking price for their property based on its condition, location, size and how competitive the current market is. 

But there can be lots of other tactics at play too, to get you hooked on the property and encourage you to pay above the asking price. 

House prices, however, are forecast to fall by 5% this year, according to Zoopla. So before you decide to pay over the asking price for a home read our guide to make sure it’s the right decision for you.

Should you ever pay above the asking price for a home?  

Whether you pay above the asking price or not should  ultimately depend on your own research and budget. Jeremy Leaf, north London estate agent and a former residential chairman of the Royal Institution of Chartered Surveyors, says: 'It might sound as if it’s going against the grain to pay above the asking price but an asking price is just that. It could be aspirational on the sellers’ part or set quite low to generate interest. Buyers shouldn’t be too fixated on it; your own research should tell you what an appropriate price is to pay, which is usually below the asking price but not always.'

Use online resources such as Rightmove, Zoopla, Onthemarket.com and PrimeLocation.com to search for recent sold prices in your area. Check if those prices have gone up or down in the last 12 months. If prices are going down, you may have more bargaining power as a buyer.

Carol Peett, owner of buying agency West Wales Property Finders, adds: 'Look at all the property sites, not just one, to see if there are multiple properties which have been reduced in price. Zoopla, for example, makes it easy to check when a property went onto the market, at what price and if it has had a price reduction.'

She adds that if a property has recently been reduced in price by 5%, you may be able to knock a further 2.5% off the asking price without insulting the seller. If the property was reduced in price two months ago and is still unsold, the seller may be willing to accept a 5% reduction off the asking price.

If prices in your area have been rising and there’s lots of buyers chasing a limited number of properties (known as a sellers’ market) the seller will be able to command a higher price for their home. Carol says in this type of market it may be appropriate to pay over the asking price: “Due to Covid, there was a mad rush of people wanting to move to the country, particularly the west coast of Wales.

'Prices rocketed and smallholdings and coastal properties were fought over. The only way to secure these properties was by paying over the asking price. Instead of raising the asking price, agents put a ‘come-and-get-me’ price tag on homes to lure buyers in causing a bidding frenzy. Buyers only had one chance to secure the property by submitting the highest price they could afford. Properties often went for as much as double the asking price.'

Since interest rates have risen, however, demand has subsided because buyers simply have less buying power. That means to sell a property sellers must price their homes realistically and buyers have more power to haggle down the asking price.

Jackie Fitzgerald, chief executive and founder of Homesorhouses.co.uk, a service to help investors find buy-to-let properties, says now is it not the time to pay over the asking price: 'The market pendulum is swinging towards the buyer,' she explains. 'Overpayment is never sensible. But for some buyers, when they find their dream home and there’s competition from rival bidders it could be tempting to do so. Proceed with real caution, the heart should not rule the head in property purchasing.'

Pros and cons of paying over the asking price for a property

If you're unsure whether you should pay over the asking price or not, it's worth weighing up the pros and cons. 

Pros of paying over the asking price for a property

If you have the means to pay over the asking price, you stand a better chance of having a bid accepted on the most sought-after properties such as:

• Homes with a sea view
• Properties in areas of outstanding natural beauty,
• Period or quirky properties that rarely come up for sale
• Homes in exclusive locations.

By offering over the asking price, you could also skip the bartering process which some buyers find stressful. 

You’re less likely to be gazumped too. Gazumping is when your offer has been accepted by the seller, but before you complete on your purchase the seller accepts a higher offer from another buyer. 

Cons of paying over the asking price

If you’re using a mortgage to purchase the property, the bank may think you’re overpaying for the house. Before it lends you the money, your bank will send a surveyor to value the property. If the surveyor thinks it is worth less than you’re paying for it, you must either pay the shortfall from your own pocket or renegotiate the sale price.

You may also struggle to get back what you paid for the house if you sell up in a few years, particularly if house prices have fallen since you bought it. This could leave you in negative equity.

Reasons for paying above the asking price 

• Property is being sold at auction Asking prices are set low at auctions to generate interest from buyers who typically aren’t dependent on mortgage finance. If there’s lots of interest, offers flood in above the asking price.
• Buying in a sellers’ market When buyers outnumber homes for sale, bidding wars may break out driving buyers to submit offers above the asking price.
• Secure the most desirable properties Carol Peett adds: “Even though the housing market is more subdued now, there are still more buyers for sea view properties in areas such as Pembrokeshire than there are properties.  If any are listed for sale on the open market, it is well worth paying over the asking price to secure them. Even when property prices drop, homes like these continue to rise due to demand.” 

  Do houses usually sell for the asking price?  

Whether houses usually sell for their asking price depends on housing market conditions. Analysis from Zoopla showed that in June, over 40% of sellers were accepting cuts of 5% or more to their asking price, the highest proportion since 2018. In the first half of 2022, when interest rates were still low, less than 15% of sellers were accepting such offers.

 Do sellers have to accept the highest bid? 

Sellers are under no obligation to accept the highest offer. While a high offer is attractive, so is a chain-free buyer. If you don’t need to sell a property to buy a new one, if you are a first-time buyer or investor, for example, you are in a strong bargaining position because you can proceed quickly without fear of losing a buyer for your own home.

Sellers are also advised to vet high bidders to make sure it is an offer they can make good on and not just an offer to win the race. Ask to see the buyer’s Agreement in Principle from their mortgage lender to prove they can afford to pay the price they have bid. 

If you're not sure whether you should fix your mortgage, you're not alone. After all,  it’s been a nail-biting experience for anyone trying to buy a property or remortgage their home loan over the last few months.

June 2023 marked another round of sharp and frequent increases in mortgage rates as inflation remained higher than expected. This prompted the Bank of England to continue with its base rate hikes and sparked forecasts, at the time, that the base rate could peak as high as 5.75%. It currently stands at 5.25% after 14 consecutive rises.

And the Bank’s actions have had a significant impact on mortgage rates. Between 22 June and 4 August, the average two-year fixed rate rose from 5.49% to 6.85%, according to financial data experts Moneyfacts, as mortgage lenders factored in the possibility of even more base rate rises.

So that begs the question, is now the right time to lock in a fixed rate before they climb even higher? Or, like last October when rates spiked following the mini-budget but fell back slightly in February and March, is it better to hold tight and hope the cost of borrowing with fall?  We’ve asked mortgage experts to share their views.

 Should I fix my mortgage? 

Whether you should fix your mortgage or not will depend on your specific circumstances (and it's a good idea to discuss it with a mortgage broker). 

However, the main advantage of fixing your rate is that you’ll know exactly how much your monthly mortgage payment will be for a fixed number of years, and it could protect you from further interest rate hikes. But if rates fall, you will be stuck paying a higher rate for the duration of your fix. 

It’s understandable that borrowers are unsure about locking into a rate of around 6.5% for the next two to five years considering just 12 months ago rates were at least half that. 

Adding to the confusion is that since the beginning of August, despite an increase in the base rate once again, some of the biggest mortgage lenders including NatWest and HSBC began cutting rates. 

Chris Sykes, technical director at mortgage broker Private Finance, explains that the current base rate is not the only factor that influences the cost of mortgages. 

"Banks buy money from the financial markets to lend out to their borrowers. The rate at which they purchase this money is called a swap rate. The main factor affecting the cost of swap rates isn’t the level of the base rate now, but the financial market’s expectations of where the base rate will be over the next few years." 

He added: “Over the last few weeks we have had some positive news in the form of US and UK inflation figures which have fallen. That means even though the base rate went up again in August, swap rates have gone down because there is now an expectation that the future base rate may not peak as high expected. Some lenders have cut rates because of this.”

What if rates change?

If you choose a fixed rate and rates fall in the near future you will not benefit from the reduction in borrowing costs. You will be tied to that rate for its duration or face an early repayment charge if you leave before the deal expires. 

If rates rise, you will be shielded from the increase in borrowing costs until the term of your fixed rate expires. 

You can switch to a cheaper rate if mortgage rates fall before you have completed your purchase or remortgage. Ask you mortgage broker to check if your lender’s rates have gone down since you applied. 

Chris Sykes adds: “We get in touch with borrowers coming up to a remortgage six months early. We lock into a rate and then if things change we switch them to a better deal nearer the time.

“In the most cases, you are not bound by the lender’s mortgage offer until you complete your purchase (which means you’re ready to move in) or when you finalise your remortgage and the new rate has begun.”

What to consider before fixing your mortgage

“Borrowers who like to insulate themselves against turbulence in the market and like to budget around a set monthly figure often prefer fixed rates,” adds Chris Sykes. “Now more than ever this is a widespread priority.” 

Other borrowers, who can withstand payment increases if rates do rise, are opting for tracker or discount variable rates, because they expect the base rate and mortgage rates to fall faster than some economists are predicting and are willing to take that gamble.”

Before fixing your rate, consider what your plans will be over the coming years. The shortest time you can fix a rate is two years. If you plan to move home or raise extra finance within two years will incur an exit penalty to switch mortgages.

If you’re unsure of your plans in the next two years, ask your mortgage broker to find a remortgage deal or first-time buyer mortgage that has no early repayment penalties. This is likely to be a variable rate, either a tracker mortgage or a discounted mortgage. Although these rates may be cheaper now, if the base rate increases again, they will soon rise.

 How long should I fix my mortgage for?  

You can commonly fix your mortgage for two, five or 10 years. Occasionally lenders introduce three, seven and even 40-year fixes but these are rare. But it's important you speak to a mortgage broker or your lender for specific advice on how long you should fix for, or even if you should fix at all.

Pros and cons of a short fixed rates

A short fixed rate is considered anything less than five years. If mortgage rates fall soon, you’ll benefit from being able to remortgage to lower rate in just two years. If you opt for a five-year deal, you’ll be tied to a high rate for a further three years.

The downside of a short-term fixed rate is that if rates rise considerably in that period you’ll soon be facing another payment hike.

You’ll also face another package of remortgage costs two years from now.

Pros and cons of longer-term fixes

Opting for a five-year rate is a good way to insulate yourself from a volatile market in the longer term. Selecting a five-year fix can also be a good option for borrowers buying at high loan to value, such as 95% or 90% who are worried about ending up in negative equity in a year or two. A five-year term gives their house price chance to recover. 

Fixing for a longer term also means no re-transaction costs in two years’ time.

However, if rates fall in the next two years you will be tied to a higher rate for longer. 

 When will mortgage rates go down?  

Zoopla expects mortgage rates to peak over the summer. According to Moneyfacts, the average two and five year rates are 6.83% and 6.33% respectively. Rates began to marginally reduce in August.

Mortgage rates are expected to fall from their current highs but not to the levels we’ve been used to since the aftermath of the financial crisis.

MoneySavingExpert founder Martin Lewis points that during the last 15 years borrowers have lived through an ‘anomaly time’ where interest rates have been ‘limbo-ing well below the prior 300-year historic lows’. There is no rule to say that those low rates will return.

According to Zoopla’s analysis, mortgage rates could fall below 5% later this year for borrowers with a 25% deposit or more, but its adds that the decline will be slow. 

Home buyers and mortgagees should expect mortgage rates to remain between 4 and 5% for some time to come after we get over the recent surge in rates.

Jane King, mortgage and equity release adviser, Ash-Ridge Private Finance, added: “We have to accept that previous ultra-low interest rates were within an artificial environment and that we are unlikely to see these again.  Borrowers will have to get used to higher rates and the feeling among economists at the moment is that bank base rate will settle around the 5% mark.”  

Not so long ago, a mortgage was something you only discussed with your bank or your broker. But since October, when rates more than doubled, mortgages have become a hot topic among friends and family. Concerns over affordability and buying a home are naturally rife. 

Ideal Home's Money Editor Sarah Handley says: 'With some mortgage rates now hitting 7%, it's no wonder people are incredibly worried about how they will keep up with their repayments, or in the case of first time buyers, whether they will actually make it on to the property ladder any time soon.'

So we asked two mortgage experts, Simon Cutler and Adrian Anderson, to share the answers to the most frequently asked questions from borrowers and to shine a light on the parts of the mortgage journey and bank lending policy that are commonly misunderstood.

How high will mortgage rates go?

It's hard to predict exactly how high mortgage rates might go, but as many are linked to the Bank of England's base rate, which has risen more than 13 times in a row, they could go higher. But it is forecast that interest rates will peak in early 2024, but it is not known how soon they will come down again. 

For those looking to get a mortgage, it's advisable to save as much of a deposit as you can, and get your finances in the best shape they can be, to maximise your chances of securing the best rate from your lender. 

If you're worried about your mortgage skyrocketing, there are potential solutions worth considering. And here's what to do if your mortgage payments become unaffordable.

I need a long mortgage term but I'm already 40 - can I extend my term past retirement age?

'Yes you can, many lenders will lend up to the age of at least 70 and some up to age 75,' says Simon Cutler, director of independent financial advisors Blackdown Financial. 'Although there’s no compulsory age when you must retire from work, if you’re taking the mortgage term beyond the state retirement age, lenders will ask to see evidence that you have a private or workplace pension to sustain your income later in life.'

Some banks will offer a mortgage up to the age of 80 at the end of the term.

Can I extend my mortgage term when I remortgage? 

Since borrowing costs rose, this has become a common request among remortgage borrowers, according to Adrian Anderson, director of mortgage brokerage Anderson Harris. 'You can extend your term when you remortgage to lessen the impact of the jump up in interest rates when you switch deals. By extending your term, you will lower the monthly payment but you will to pay more interest in the long-term. You can reduce your mortgage term in the future.'

Is it okay that 100% of my deposit is from my parents?

100% gifted deposits are widely accepted by lenders but some attach certain rules to their acceptance. For example, Halifax will only allow the gift to be from a family member specified on its list of acceptable relatives. Santander does not insist the donor is a family member,

Both lenders ask for a letter from the donor confirming the money isn’t repayable. 

NatWest, on the other hand, specifies only parents or guardians can gift money but it’s okay if the money is a loan. The monthly repayment will be taken into account when the lender checks the mortgage is affordable. 

Will a student loan impact the size of the mortgage I'm offered? 

'Almost all lenders factor in student loans when calculating how much to lend you,' says Adrian Anderson. 'As your income rises, so too will your student loan payment and this will feed into the bank’s affordability calculator as a regular outgoing which will reduce the amount you can borrow.'

Why don't many lenders offer 95% mortgages on new-build properties? 

New-build properties come with a higher price tag than equivalent second-hand homes because you’re paying a premium for being the first owner. That premium can be around 5% or more. If you sell the property two years later, you will lose the new-build premium so it could be worth less than you bought it for. 

If you bought the property with a 5% deposit, you may end up in negative equity. If the lender had to repossess the property, it may struggle to recover the whole mortgage when the property is sold. For that reason, lenders often insist borrowers put down a deposit of between 10% and 20%.

What happens if the valuer instructed by the bank thinks the property is worth less than I'm buying it for? 

The lender bases its maximum loan amount on either the purchase price (the price you’ve agreed with the seller) or the valuation, whichever is lower. 

'Let’s say you agree a price of £400,000 with the seller,' explains Adrian Anderson, 'and the bank offers you a maximum mortgage of 90% which is £360,000. If the bank’s surveyor values the property at £380,000, the bank’s 90% mortgage offer falls to £342,000 [90% of £380,000]. If you still want to buy the property, you must either pay a deposit of £58,000, instead of your original £40,000 deposit, or negotiate the purchase price lower.'

When do you pay stamp duty?

Buyers have 14 days to pay their stamp duty bill to HMRC. Your solicitor can do this for you, but it is your responsibility to meet the deadline.

Stamp duty can be the most expensive cost associated with buying a new home. It’s paid to HMRC by home movers on the value of the purchase price above £250,000. For first-time buyers this threshold is £425,000. Both thresholds are scheduled to fall next year. 

What happens on the day of completion?

On the day of completion the ownership of the property passes from the seller to the buyer. But first, the money to purchase the property, a combination of your savings and a mortgage, must be transferred from your solicitor to the seller’s. The mortgage funds will be requested from the bank a few days ahead of completion. Once the seller has received the funds, the estate agent will release the keys to your new home.

The days before a holiday involve all sorts of preparation at home. For example, most of us like to leave the house spick and span before leaving, so a deep clean is always in order, as are multiple loads of laundry, and the all-important safety checks, such as testing our home security systems.

And something many of us are likely do on top of this, is turning off all of our electrical appliances – because the last thing we want is to leave something on during our week away, using up needless electricity.

But interestingly, there are some household appliances that it is absolutely vital to turn off before going on holiday. And not only that, but it turns out that simply turning them off on your remote, or on the display, isn’t actually sufficient enough to reap the energy-saving benefits, either…

The appliances to turn off before a holiday – and how to turn them off properly

It’s unlikely that you’re leaving your hair straightener or hair dryer on before you head out of the door for a week or two. But there are a few household appliances that you may be tempted to leave on during your time away that you absolutely shouldn't, according to Ian Palmer-Smith, appliance expert at Domestic & General.

He explains that leaving certain appliances on at the plug is likely to suck up some electricity; which is the last thing any of us want during a cost of living crisis.

And that’s not all. More often than not, it's necessary to unplug these items too, for the maximum energy saving benefits.

'Some think that simply turning these appliances off is sufficient, but there are many electrical products that continue to use power when left plugged in; these are often called "vampire devices".'

So which appliances should we make sure to unplug completely – rather than leave on standby – when going on holiday? 

'The most common vampire devices found in homes are washing machines, dishwashers, tumble dryers, TVs and microwaves,' says Ian. 'Computer monitors, printers, coffee machines and kettles are also energy-sucking.'

So why are these appliances particularly costly to leave on?

'Appliances that need to heat water use a lot of energy – which is why dishwashers, washing machines and kettles score so highly on energy consumption. They use more energy than others on standby as they need to be ready to heat water instantly, on demand,' explains Ian.

These appliances should be unplugged entirely, or at least switched off at the plug, because only turning them off via remote or on their display will still use up electricity.

'Any appliance that’s still switched on or that stays plugged into a live socket, is using an electric current,' Ian clarifies. 

'Even in sleep or standby modes, some items continue to use energy for updates, connecting to remote servers, and recording data. The only way to ensure you’re not using any energy is to turn it off at the plug – or pull it out.'

That being said, there are a couple of household appliances that should never be turned off when you're heading on an extended trip away from home – despite them using up a lot of electricity.

'Whilst fridge freezers contribute around 12% to a household energy bill, you shouldn’t turn off or unplug this before a holiday, as this will cause the fridge to defrost and also potentially result in a smelly kitchen,' warns Ian.

The same applies to TV boxes, where unplugging could prove to a bit of an inconvenience when you return home.

'If you’ve set your TV to record your favourite shows while you’re away, turning your TV off won’t affect your recorded programmes. However, turning your Sky box off at the mains will – so be sure to leave that turned on.'

Soaring monthly mortgage payments are putting household budgets under severe strain. This is down to high mortgage rates, that are a knock-on effect of rising inflation. Between July 2021 and 2023 the average two-year fixed rate mortgage has risen from 2.58% to 6.70%, Moneyfacts data shows. 

And with forecasts suggesting interest rates could remain high, around one million mortgage borrowers will face a rise of £500 or more per month by the end of 2026, according to the Bank of England.

The situation for borrowers is so grave that Chancellor Jeremy Hunt held crisis talks with money expert Martin Lewis to thrash out ways to help homeowners manage the spiralling cost of mortgage debt.

The Chancellor ruled out financial help in the form of mortgage interest relief for borrowers, stating it would worsen inflation, currently at 8.7%. Instead, after meeting with the UK’s main banks, many lenders have agreed to adhere to a set of measures, known as the mortgage charter, to help struggling borrowers or those facing a steep increase in payments.

These include:

• Not pursuing repossession within 12 months of the first payment.
• Offering borrowers the chance to lock into a new mortgage deal six months before their fixed rate expires and the flexibility to switch to a cheaper option up until their deal expires.
• Switching customers to interest-only mortgages or extending their mortgage and allowing them to switch back to their original terms within six months.
• Permitting borrowers who are up-to-date with payments to switch to a new mortgage deal at their end of their fixed rate without another affordability check.

If your repayments are set to soar, there is support for struggling borrowers and steps you can take to help ease the pressure on your personal finances.

1. Speak to a mortgage broker if your repayments are rising

Ask an independent mortgage broker to review your mortgage deal and financial circumstances to make sure you’re on the most suitable interest rate. Choose a broker who has access to all mortgage deals on the market. 

Rachel Lummis, mortgage adviser at Xpressmortgages, said: ‘The most suitable deal and length of the product term depends on the borrower’s individual needs and attitude to risk. Some homeowners may be brave enough to choose a tracker mortgage, a variable rate mortgage that rises and falls in step with the Bank of England base rate. Others may prefer to lock into a two-year rate rather than a five-year deal hoping that rates will be better in two years.’ 

'It’s impossible to know where interest rates will be in the future but by speaking to adviser you can make sure you’re on the best deal today.’

2. Be prepared to shop around for a better mortgage deal

Mortgage lenders sometimes offer loyalty rates to their customers for staying with them when it’s time to remortgage. While these rates may be slightly cheaper than those available to new borrowers, your loyalty rate may be higher than another bank’s best rates. For example, at the time of writing, Santander is offering a rate of 6.14% fixed for two years for new customers with a 25% deposit and a rate of 5.94% to existing borrowers. Halifax’s equivalent deal for new customers is cheaper, at 5.85%.

The advantage of sticking with your current bank, however, is that it will not run a new credit or affordability checks on you as long as you are not altering the size or term of your mortgage.

You can check out our guide to the best remortgage deals or use a price comparison site, like our sister brand Go.Compare, to find the best deal for your circumstances.

3. Speak to your current lender if you are struggling to repay your mortgage

While the mortgage charter measures encourage lenders to support their customers, it’s up to you to ask for help. Don’t wait until you can’t afford the payment, call the bank and make arrangements that will allow you to keep on top of your commitments.  

4. Consider a short-term lifestyle change to help afford your mortgage payments

Sarah Coles, head of personal finance for wealth Hargreaves Lansdown, says: ‘At this stage in the cost-of-living crisis, it’s difficult to find any costs left to cut. Any significant savings are likely to involve real lifestyle changes. 

‘It’s not something anyone relishes, which is one reason why so many people have eaten into savings built up during the pandemic instead. However, it’s worth bearing in mind that higher rates won’t last forever. If you decide to forgo your summer holiday or reconsider car ownership, don’t think this is something you have to live with for the rest of your life – it’s a temporary stop gap.’ 

5. Look for ways to boost your income

Boosting your income by making money from your home can help make ends meet. You may be able to make your home work for you by taking in a lodger. You may find someone looking for a place to live during the working week or even consider advertising your spare room on a website such as Airbnb. By renting out a furnished room in your house you can qualify for the Rent-a -Room tax break, which means the first £7,500 you make this way will be free of tax.

Sarah Coles adds: ‘You can also consider anything from offering your driveway as cheap parking, to providing storage space in your attic or garage. There are websites that help you share your home in a less intrusive way. The first £1,000 you make is tax-free.’

Buyers and sellers face a tough set of challenges in the housing market. Not least the swift re-pricing of mortgage deals, with banks giving less than 24-hours’ notice before they increase interest rates making an affordable move suddenly unaffordable.

Whether you are buying a house or selling a house, with such uncertainty around high inflation and the prospect of even more interest rate hikes, the number of property transactions falling through before they reach completion is on the rise. As industry body Propertymark told us, 33.3% of transactions per estate agent member branch fell through before completion in May, up from 28.9% in April.

When a property sale falls through it means either the buyer or seller has pulled out of the transaction after agreeing an offer for the purchase price. Even in a stable market, this can happen for several reasons such as:

• The property chain has collapsed
• The seller accepts a higher offer from a different buyer after the sale process has begun (known as gazumping)
• Problems arise from the survey
• One party pulls out because progress is too slow
• The buyer tries to lower their offer near to completion causing the sale to stall.

What to do if your property transaction falls through

Here's our step-by-step guide for what you can do if your property transaction falls through.

Work with estate agents if your property transaction falls through

If more than one offer was received on your property, sellers should ask their agent to go back to other potential buyers to find out if they are still interested. Be prepared to receive a lower offer, however, because your bargaining position may be weaker.

Buyers can employ a similar tactic. Should your purchase fall through, go back to your shortlist of properties which may have rejected your previous offers to see how they’re progressing. They may be back on the market. If so, your offer may now be appealing. 

What can you do if your transaction falls through before you exchange contracts?

If the sale falls through before exchanging contracts, there is sadly little recompense for buyers and sellers for any fees paid out up to that point. However, if you’re selling a leasehold property, and have paid the fee to obtain your leasehold pack, you can reuse this pack at no extra cost when you find a new buyer.

Movers can shop around for a solicitor who offers a ‘no-sale, no-fee’ agreement. Rob Houghton, chief executive of Reallymoving, a comparison site for home move services, says: 'You may have to pay a little extra for this agreement, although some solicitors include it as standard. But if the deal doesn’t complete, you won’t have to pay for their service – even if they’ve done most of the legwork and you’re close to exchange. This is particularly reassuring in the current market where there is greater uncertainty for buyers and sellers.

'It’s important to understand, however, that you will probably still have a bill to pay. There are other costs, or ‘disbursements’, that may have been incurred by the solicitor during their enquiries on your behalf which are non-refundable, such as local authority searches, bankruptcy checks and identity checks. The buyer is responsible for these costs.' Bankruptcy and identity checks only need to be completed once within a three-month period, so if your purchase falls through and you find another property quickly, buyers may not need to pay again.

It’s also possible for buyers to sell their searches to the next buyer of the property. These can cost between £50 and £250 depending on where you live and the type of searches you need. Buyers can arrange this by telling the seller’s estate agent you are prepared to sell the searches if a new buyer is found while the searches are in date.  They are valid for up to 6 months.  

A mortgage booking fee, paid upfront to the lender, to book the mortgage rate in some cases and the valuation fee are non-refundable.

What can you do if the sales falls through after exchanging contracts?

On exchange, the buyer must transfer 10% of the purchase price to the seller’s solicitor as a deposit. If the seller pulls out after the exchange of contracts, they must pay the deposit back with interest. If the buyer pulls out, the seller can keep the deposit and claim costs of moving house, such as removal fees.

Paul Saunders, solicitor and managing director of Amity Law, “Conveyancing has two stages, exchange and completion. Exchange is the formal point at which you are committed to purchase the property and usually happens a couple of weeks before formal completion, where people actually move home. Once exchange of contracts takes place it is very difficult to get out of buying the property.”

Can you do anything to prevent a property sale falling through?

While sales can fall through, you can limit the chances by taking the time to properly assess who you are entering into a transaction with.

If you are selling, it's a good idea to qualify your buyer or choose a buyer without a chain. Ask your agent to investigate the buyer’s financial circumstances, such as their proof of deposit and evidence of a mortgage in principle agreement, before you accept their offer. 

Complete maintenance tasks before putting your home on the market. This will decrease the likelihood of issues cropping up on your survey that may cause buyers to pull out.

If you are buying, speak to the estate agent to find out how long a property has been on the market, and what position the sellers are in.

Buyers and sellers should keep good lines of communication open throughout the process to stop either side getting frustrated over delays, without knowing what’s behind the hold up. 

It’s an anxious time for any homeowners due to remortgage this year. The Bank of England's base rate has just hit 5%, the highest level in 15 years, increasing the cost of borrowing, especially when it comes to mortgages. 

But if your current mortgage deal is coming to an end, don’t adopt a wait and see approach, hoping rates will fall before you need to renew your deal. Remortgage rates may stay high, increase further or worse still, if you’re unprepared, you could wind up paying your lender’s standard variable rate. 

Richard Campo, founder of broker Rose Capital Partners, says: ‘I’m seeing couples who face around a 50% increase in their monthly payments when they remortgage from sub 2% five year fixed rates to more than 5% today. But if they end up on the lender’s standard variable rate, they’ll be facing an 80% increase instead.’

To make sure you’re ready to reserve the best deal, read our six-point remortgage checklist and six things to avoid before your deal expires.

 1. Prepare at least seven months early 

The remortgage offer, your lender’s formal agreement to give you a remortgage at a specific rate, is only valid for six months. So there is little point in starting the remortgage process any earlier. But it's important to be prepared to make the most of this six-month window and secure the best deal possible.

Richard Campo adds: ‘My top tip for remortgagers is to prepare for your remortgage more than six months before your deal expires. If you have all your documents ready on day one of the six-month countdown to your current deal’s expiration date we can reserve the best rate for you on that day. If rates drop in the meantime your broker will switch you to a cheaper deal. If rates rise, you’re shielded from the increase. It’s a win win.'

2. Use your current lender’s rates as a benchmark 

Your existing lender will offer you a ‘product transfer’ rate in the six months leading up to the end of your current deal. This means you can switch to a new rate without being credit checked as long as you are not increasing your loan amount or changing the mortgage term. Don’t accept it straight away. 

Ask a mortgage broker to compare it against other lenders’ rates. You can also use our sister site Go.Compare. Your current lender's rate is there to fall back on if it cannot be beaten. 

 3. Order your credit report 

Order a copy of your credit report to double check there are no payment history blips. You may be unaware that you’ve accidentally missed a payment or you might want to query an entry on your report. You can use the likes of Experian, Equifax, TransUnion or Credit Karma to get your credit report.

If you’re not on the electoral roll, make sure you sign up to boost your credit score. It'll make you a much more attractive borrower.

4. Get a valuation

Your home may have gone up in value since you took out your last mortgage deal, which means you could unlock cheaper deals. Lenders don’t always carry out a valuation for a remortgage so do your own research to make sure you get the best rate. 

5. Keep your unsecured credit low

Lots of credit card debt, personal loans or car finance and leasing agreements make lenders nervous and you may be declined for the best rate. Pay off or reduce as much of this debt as possible, and certainly don’t take out more ahead of your remortgage. 

 6. File your latest tax return if you're self-employed

James Miles, director of brokerage The Mortgage Quarter, said: ‘Even though the last tax year has only just ended, mortgage lenders are really scrutinising the affairs of the self-employed so they’ll want to know how you’re business is doing. Don’t wait for the 31 January deadline to file your 2022/23 tax return, actively take control and submit your accounts now.'

6 things that can slow down your remortgage application

1. Incorrect address on your driver’s licence. This will stop you from using your driver’s licence as identification until it’s updated.
2. Not knowing your login details for your employer’s HR hub to download your latest payslips. If you’ve lost them, it may take time to request new details. Likewise, make sure you know how to download your bank statements to send them by email to your broker.
3. Having an out-of-date passport. To be used as proof of identity, your passport must be in date. A renewal can take up to 10 weeks.
4. Taking out a payday loan up to 12 months before your remortgage. Even if the loan has been repaid in full and no payments were missed, a payday loan suggests you cannot manage your finances and will put lenders off.
5. Making significant changes before your remortgage completes. ‘Don’t do anything to rock the boat before your remortgage goes through,’ said James Miles. ‘Don’t apply for any more credit, move jobs or go self-employed.’ Lenders reserve the right to do spot checks before your remortgage completes so don’t get caught out.
6. Using the free solicitor offered by the lender. The service can be slow. Use your own trusted solicitor instead.

Young buyers face a tough challenge to get on the property ladder. Rents are at record highs and to save a 10% deposit for a first home, young buyers must save from the age of 21 for the next 13 years based on the average house price of £285,000, according to stockbroker Interactive Investor.

First-time buyers may be tempted to skip the wait or preserve the small savings they’ve managed to put away by choosing a 100% mortgage instead. 

But no-deposit rates are among the highest on the market and house prices are forecast to fall this year, increasing the risk of negative equity. Is a 95% mortgage a better idea instead?

We look at the benefits and drawbacks of both.

100% mortgages

A 100% mortgage means the buyer does not have to put down any deposit. Instead, they’re offered a mortgage equal to 100% of the purchase price.

Some of the UK’s best-known lenders offer 100% mortgage options.

• Barclays Family Springboard – family or friends must deposit 10% of your purchase price into a Barclays savings account for five years, after which the money is returned with interest if your mortgage is up to date.
• Lloyds Lend a Hand – helpers deposit funds for three years.
• Halifax Family Boost – similar to Lloyds
• Buckinghamshire Building Society Family Assist – parents or grandparents have a charge registered on their property (similar to a mortgage but they don’t make any payments). Their home can be repossessed if you don’t keep up with your repayments.
• Skipton Building Society Track Record Mortgage – no guarantor required, but applicants must be first-time buyers with a minimum track record of 12 months renting.

Pros

With a 100% mortgage, a buyer can purchase a home quicker than if they had to save for a deposit – escaping record high monthly rents. The average monthly rent for a newly-let property outside London is £1,190 a month, up 9.4% in a year, according to Rightmove. 

Richard Campo, founder of mortgage broker Rose Capital Partners, said: 'If you can put down a deposit you should do. But not everyone can. I am a huge fan of the current 100% deals as they are highly targeted and will get people out of the rent trap. As rents continue to rise, anything that can get you owning your own home faster can only be seen as a good thing.'

Cons of 100% mortgages

To qualify for all but the Skipton deal, borrowers wanting a 100% mortgage must have family or friends in a position to help. The terms and conditions are restrictive on all 100% mortgages, so not all borrowers will be eligible.

Rates are high too. 'Even the best-priced 100% mortgage offer with Skipton is priced at 5.89% and rates go up to 6.74% for Barclays’ Family Springboard,' explains Richard Campo. By comparison, Family Building Society’s 5.14% five-year fixed rate at 95% loan to value looks much cheaper and comes without any of the catches such as needing a family member to lock away savings. 'The bigger the deposit you put down, the less risk you are to the lender which means you’ll be offered a cheaper rate.'

Ending up in negative equity is a major risk of using a 100% mortgage. Negative equity means your home is worth less than the value of your mortgage debt. This can happen if house prices fall soon after you’ve bought the property before you’ve had time to pay off much of the debt. If you sell during this time, you would owe your mortgage lender money even after selling your property.

95% mortgages

A 95% mortgage means the borrower is contributing a 5% deposit and taking out a mortgage for the remaining 95% of the purchase price.  

Pros of a 95% mortgage

A lot more lenders offer 95% mortgages than 100% deals which means there’s a greater chance your circumstances will be agreeable to at least one lender. According to Moneyfacts, there were 24 95% deals on the market at the time of writing this article. The terms and conditions are also less restrictive, although you’ll still need to have high credit score to pass. 

Rates are also cheaper than 100% deals. The cheapest deal on the market for borrowers in England and Wales is 5.14%, fixed for five years. 

Nicholas Mendes, mortgage technical manager, added: 'If you’re able to, putting down a deposit will often be the most cost-effective solution as you would hold 5% equity in the property. This puts you one step closer to building up a larger amount of equity so when you’re at the end of your fixed rate period you may be able to remortgage to a lower rate at 90% LTV.'

Putting down a 5% deposit also alleviates some of the risk of negative equity if property prices dip as expected.

Cons of a 95% mortgage

If you choose to opt for a 95% mortgage as a first time buyer, you’ll have to wait longer to get on the housing ladder, and for some that means continuing to pay  high rent.

There’s still a high risk you could end up in negative equity if house prices fall this year. However, unless you’re planning to sell your home in the short term, this can be less of a concern. 

Rates are still high at 95% because mortgage lenders perceive 95% loans to be high risk, but are lower than 100% mortgages.

Which is better - a 100% or 95% mortgage?

Which type of mortgage is better for you will ultimately depend on your circumstances, but if you do have capacity to save up a 5% deposit, it's a good idea as you will likely benefit from a cheaper interest rate than if you went for a 100% mortgage. 

Either way, when borrowing large amounts from your lender, remember you will have to meet strict affordability criteria to ensure you can afford the repayments. 

For first-time buyers trying to get on the property ladder, a 40-year mortgage term may seem like the best option to keep monthly repayments as low as possible. 

But is it a good idea? The decision to extend a mortgage more than a decade beyond the traditional 25-year-term is one of necessity rather than choice. 

The average house price stands at around £260,000, according to Nationwide, up from almost £170,000 ten years ago, a rise of 53%. To afford such a huge uplift in price, borrowers in England can expect to spend 8.3 times their full-time annual earnings, figures from the Office for National Statistics show.

Coupled with the volatility of mortgage rates since October 2022 and more recent rises, it’s no wonder that first-time buyers taking a mortgage with a term of 35 years or more rose from 8% to 18% between February 2022 and 2023.

 Are 40-year mortgages a good idea? 

Whether or not a 40-year mortgage is a good idea depends on your individual financial circumstances.

Adrian Anderson, director of mortgage broker Anderson Harris said: ‘Everyone is seeing a rise in the cost of their outgoings across all areas of their lives and interest rates have increased. Those who are looking to buy are trying to reduce their monthly costs as much as possible. One way to do that is by having the maximum possible mortgage term.’

For some buyers, a 40-year mortgage may be their only ticket to homeownership. Stretching the mortgage term lowers the monthly payment and makes it easier to pass the lender’s affordability test. 

 Who is a 40-year mortgage suitable for?  

Young borrowers in their late twenties or early to mid-thirties are best suited to a 40-year mortgage because they are more likely to be employed throughout the life of the mortgage.

David Hollingworth of broker L&C Mortgages said: 'Not everyone’s eligible. There’s a natural cap and that’s down to banks’ lending criteria. A lender looks at the borrower’s affordability not just now, but throughout the life of the mortgage. If the mortgage term takes you past retirement, the bank needs to know how you’ll pay the loan when you’re not working. The lender also has a maximum age restriction at the end of the mortgage term, beyond which it won’t lend.'

The good news for first-time buyers is that almost 90% of lenders have a maximum age of 71 or more and 65% of all mortgage deals have a 40-year term according to Moneyfacts.

Here's a snapshot of lenders’ maximum ages and terms (if your retirement income meets their affordability rules):

Reasons to get a 40-year mortgage 

There’s only one benefit to a 40-year mortgage and that’s lower monthly payments.

David Hollingworth says: “Buyers taking on homeownership for the first time may want some breathing space in their budget. First-time buyers are likely to be stretching themselves in the first place, a 40-year mortgage term can help to make things more affordable in those early years.”

Borrowers with a £150,000 mortgage on a rate of 4.5% will pay monthly:

• £833.75 over 25 years
• £760.03 over 30 years
• £709.89 over 35 years
• £674.34 over 40 years

Source: L&C Mortgages 

By stretching the term from 25 years to 40 years you can lower your monthly payment by almost £160 a month.  

 Drawbacks of a 40-year mortgage 

The longer you take to repay your mortgage, the more interest you’ll pay back. Using the example above, by stretching your term from 25 years to 40 years you will pay back £73,558 more in interest over the life of the mortgage. 

David Hollingworth adds: 'Stretching the term comes at a cost because you’re eroding the debt more slowly and paying interest for a lot longer. When borrowers are ready to remortgage in the future, they should review the term and trim it back as much as possible.'

What are the alternatives?

One alternative is to choose a lower term. You don’t have to jump from 30 to 40 years if a term of 34 years is sufficient. 

Or, take a 40-year term and contact your lender after your mortgage has completed to up your direct debit to a level that helps you to pay back the loan sooner. If that becomes a struggle, drop it back to your contractual monthly payment.

Taking a mortgage on an interest-only basis is another way to lower your monthly payments. But this option is reserved for those with a deposit of at least 25% of the purchase price, the maximum term is restricted to 25 years and the maximum age is also lower. Borrowers must have a plan in place to repay the mortgage at the end of term.

Check out our guide if you're looking for the best first-time buyer mortgage deals.

More of us than ever are watching what we spend and trying to reduce our bills. But what if we could make money from our homes, instead of simply cutting back? Covering the costs of a holiday by hiring out your home on Airbnb isn't new, of course, but more and more people are turning to the vacation rental platform to help earn an extra income, either by renting out a room or letting the entire property while they are away travelling or visiting family and friends.

You can earn up to £7,500 tax free by renting out a room or your entire home, as long as it's your main residence, under the Government's Rent a Room Scheme.

'Airbnb is an economic lifeline for families across the UK, allowing guests to travel affordably and enabling hosts to share their homes to boost their income,' says Amanda Cupples, general manager for Northern Europe at Airbnb. 'A typical host earns just over £6,000 a year, and one in three hosts say the extra income helps them stay in their homes by affording rising living, energy and mortgage costs.'

How to Airbnb your house

You'll probably need a holiday when you're done with decluttering your home, cleaning it from top to bottom, and keeping on top of tidying tasks so you can quickly stow away your personal possessions, but the effort is worth it for the extra income that renting out your home can provide.

It can also create more opportunities for you, too – especially if you are able to work remotely, or take an extended break to travel or visit family.

'The pandemic and the rise of remote work has untethered many people from the need to be in an office every day, and offered them a newfound flexibility to continue their work from home,' explains Airbnb's Amanda Cupples. 'As a result, people are spreading out to thousands of towns and cities, staying for weeks, months, or even entire seasons at a time.'

Whether you're going away for a weekend or a month, here's how to Airbnb your house with minimum stress and maximum return. 

1. Make your home attractive to more than holidaymakers

While tourists and travellers may make up the bulk of guests on Airbnb, they're not the only people looking for a home away from home – especially now that flexible working means that any room we set up our laptop can be our home office.

'As remote work becomes more common, we've noticed changes in how and why people travel. We've shared that with our hosts to help them highlight amenities to attract remote workers, whether that’s a dedicated workspace, or allowing pets,' says Amanda Cupples.

If you've got great wifi, then boast about it in your listing.

'Speed matters when it comes to wifi. We launched a Verified Wifi tool, which allows hosts to easily test the speed of their property’s wifi, then display it directly on their listing page,' Amanda says.

2. Tempt guests with great design

No need for a complete makeover; a few simple design touches can elevate your space and make your listing stand out from the crowd. Don't feel you have to tone down your own style to have a broader appeal; it's that personality and distinctive touch that can make the difference when it comes to bookings. You could focus on a key area – a home office, the kids' play space or the living room, say – and give that the wow factor.

'Be bold with wallpaper ideas, and don’t be afraid to add texture or mix patterns,' suggests Amanda. 'If you don’t want to commit to a design for years to come, choose a brand with removable options that can peel right off without the hassle factor.

'And beautify small spaces. Incorporate artwork you love, repurpose wall and ceiling treatments that add visual interest, or add some lighting ideas that will make your space feel extra cosy.'

You can also make your space feel bigger, whether that's for the listing pictures or once your guests are in your home.

'Whether it’s a loft conversion or a beachside cottage, there are ways to showcase the standout features of a smaller space. Add large mirrors, place decor above eye level; and use a cohesive colour palette,' Amanda suggests.

3. Bring the outdoors in

Greenery is one of the easiest ways to bring life and energy into a space, and houseplants are a big tick when it comes to Airbnb styling. 

'Low-maintenance plants, like rubber plants and snake plants, are a few of our favourites,' agrees Amanda. 'If you go faux, try placing your tree or plant in a natural setting, like in front of a window, and you might just forget it’s not real.'

And don't forget your outdoor space, too – even if it's a balcony garden or tiny patio.

'Refresh close-to-home outdoor spaces with high-impact, low-cost updates,' recommends Amanda. 'Stain or paint a fence a fresh new colour, add new planters filled with fragrant herbs and cheerful flowers, or bring the indoors out with a fun, durable outdoor rug.'

4. Take great photos of your property with these tips

Just as with an estate agent's listing, great photos will 'sell' your property to potential guests. And you don't need a fancy camera to get your home's best angle – you can take great snaps on your phone, by following these tips.

'Make sure your rooms are clean and free of clutter for a spacious look, and take the shots in daylight – open blinds and curtains, and turn on lights if the space still looks a little gloomy,' says Amanda.

Another tip is to turn your phone on its side and take photos in landscape format, as vertical shots won't display as well in your listing. And make sure that you upload hi-res images – at least 1024px by 683px – so they're clear and sharp on the page.

'Guests love to stay in spaces with character, so make sure to show off unique and special details such as a fireplace, artwork, or garden barbecue,' suggests Amanda. 'And if there are amenities that make your home more accessible, like wide doorways and step-free floors, then make sure to feature these in your photos.'

Airbnb also has professional photographers available in some locations, if you'd prefer an expert to take the pictures.

5. Describe what makes your home special in the listing

Pictures are only one part of the story; you need to write what makes your home special in the listing in order to entice the most guests.

'As you're writing about your place, describe what makes it special,' advises Amanda. That might be features of the property itself, or attractions and amenities close by. If you've got a hot tub, shout about it. And if there's a great park nearby for families, then don't forget to mention it.

Airbnb's new Categories feature can also help to highlight what's different about your home, whether that's the architecture, location, or travel links.

'Airbnb Categories organise homes by what makes them unique, which helps people discover places they wouldn’t have otherwise found,' explains Amanda. 'This can help alleviate over-tourism by redistributing travel to new locations beyond the same popular destinations.' It can also put your property on the map, even if it's not in a typical must-visit location.

If your home is beautifully decorated, then be sure to include it in the Design category.

'Airbnb’s Design Category features more than 20,000 listings globally, so lovers of architecture and interior design can easily discover their next design-led stay,' Amanda says.

6. List your property at the best price

Not sure what you should be asking for your rental? There's a tool for that.

'Prospective hosts can learn about how much they could earn by sharing their space on Airbnb through the interactive What’s My Place Worth tool,' says Amanda. 'It computes the estimated income based on geography and type of listing, and also uses prior Airbnb booking data in the area.'

There's a growing trend for longer bookings via Airbnb, so if you plan to travel for a month or more, you might want to tap into that market with a special offer.

'Long-term stays of 28 days increased by 18% in the first three months of 2023, across all regions and age groups,' explains Amanda. 'Many hosts are embracing this growing trend of longer stays and remote working by offering discounts on monthly stays across the platform.'

7. Prepare a warm welcome for guests

Your pictures are taken, the listing is written and you've got your first booking. Beyond presenting a clean and clutter-free space, it's thoughtful details that will generate great reviews and reward you with more bookings.

Bobby Berk, interiors expert on Queer Eye and also an Airbnb Host, is a pro at making his guests feel welcome.

'Include a welcome basket filled with local favourites like olive oil, candles or wine to set the tone for the stay. And outfit bathrooms with high-quality, refillable toiletries for sustainable alternatives to one-use products,' he says. 'It's also a good idea to avoid heavy scents in linens or air fresheners to accommodate potential guest sensitivities.'

Alongside blackout curtains to guarantee a good night's sleep for guests, Bobby also suggests curating a custom playlist that channels the vibe of your space. If you know what time your guests are arriving, you can set it to play for ambiance as soon as they enter the door.

8. Protect your property

This is your home that you're letting people live in for a while, so you want to feel reassured that you're protected for any damage or loss. Airbnb offers damage protection of up to $3 million for your property, plus liability insurance of $1 million in the unlikely event that your guests are hurt in your home. It's also expanded its identification verification, with guests going through an ID process before they can book a stay. However, there are exclusions, so read the small print so you know what's covered and what's not.

'Lock personal items away, share your mobile number with neighbours so they can contact you if they have a concern, and set house rules for guests, especially around noise,' says Amanda. 'Parties are banned by Airbnb, and if you believe your guest is going to throw one, you can cancel their reservation prior to check-in without consequences.' 

To reduce risk of mishaps when using appliances, heating or the shower, it's a good idea to provide a brief manual for instructions, the wifi code and any other essential information. And write an inventory of everything that's in each room, and take photos of any existing marks or damage, so you can be sure your home is returned to you as you left it.

9. Check your mortgage and insurance providers allow you to Airbnb

Although the Government is happy for you to rent out a room or your home, your insurance company, mortgage provider, landlord, or leaseholder may not be – so check the terms and conditions of any agreement before you go ahead. Different companies have different rules, so don't assume that just because your next-door neighbour makes a mint on Airbnb, you will be able to as well.

10. Stay in control

That counts for everything from the heating, what rooms you allow your guests to use, your rental calendar and who you allow to stay. While Airbnb has default settings, you can set these to suit your preferences.

For example, you can turn off the Autobook setting, so you get to check out potential guests before agreeing a let. You should keep your calendar updated so that you don't agree to a booking on a weekend you thought you would be at your cousin's wedding but is now next year instead. And set a minimum booking period – if you don't want the hassle of preparing your property for a one-night stay, you can make your minimum booking a week.

Finally, if you're worried about guests leaving your heating on 24 hours a day, a smart heating system will be your friend. You probably wouldn't want to invest in one if you're only renting out for a couple of weeks a year, but if you have one already, you can set it to go on just before a guest's arrival time and check it's not been left on all day.

It is the news we've all been eagerly awaiting, energy prices are finally set to go down from July after the new Ofgem energy price cap announcement. 

This morning, energy regulator Ofgem announced that the energy price cap will be dropping to an annual level of £2,074 for a dual-fuel household paying by direct debit based on typical consumption. This means that the new price cap will fall below the Government's Energy Price Guarantee which caps the typical bill at £2,500.

The news is the first time since the energy crisis started that price drops will be passed on to customers on their supplier's default tariff.

'After a difficult winter for consumers, it is encouraging to see signs that the market is stabilising and prices are moving in the right direction. People should start seeing cheaper energy bills from the start of July, and that is a welcome step towards lower costs,' Ofgem CEO Jonathan Brearley said in a statement.

However, while the news of energy bills dropping by £426 from July is welcome news, it still is not a return to pre-energy price crisis levels.

Ideal Home's Money Editor Sarah Handley says: 'A drop in energy prices will be welcomed after months and months of highest ever prices. But while the new cap is more than £400 cheaper than the price guarantee, prices are still much higher than they were before the energy crisis began. For families who are struggling to afford their energy bills, things will still be tough, so it's really important to keep your energy use as low as possible to keep your bills under control.'

Ofgem acknowledged in the quarterly announcement that the new energy price cap is by no means a sign that we're out of crisis territory. 'We know people are still finding it hard, the cost-of-living crisis continues and these bills will still be troubling many people up and down the country,' Jonathan added. 'Where people are struggling, we urge them to contact their supplier who will be able to offer a range of support, such as payment plans or access to hardship funds.  

'In the medium term, we’re unlikely to see prices return to the levels we saw before the energy crisis, and therefore we believe that it is imperative that government, Ofgem, consumer groups and the wider industry work together to support vulnerable groups.'

If you're planning on renovating your home, a second charge mortgage might be worth considering.

In an uncertain housing market, with falling property prices and rising interest rates, some homeowners are choosing to take on a renovation rather than move. A survey by mortgage lender Together found that one in 10 households planned to invest money into renovating their home.

Stewart Simpson, second charge mortgage specialist at brokerage Bright Star Financial, says: 'We’re finding that people who aspired to climb the property ladder and would have previously qualified for a mortgage to buy a bigger house last year, no longer do. Instead, they’re looking at finance options to extend or improve their current home.'

If you don’t want to sink all your savings into home improvements - should you consider a second-charge mortgage to renovate your home instead?

What is a second charge mortgage? 

A second charge mortgage, also called a second mortgage or a secured loan, is a way of borrowing more money against your property if you already have a mortgage. Like a traditional mortgage, a second mortgage is regulated by the Financial Conduct Authority.

So how does it work? You must apply through a mortgage broker who will assess your income and outgoings, including your mortgage payment to check the loan is affordable. Your home will also be valued. The legal work is done in-house by the lender so there’s no need to instruct your own solicitor. 

If you were to view the title deeds to your property after your secured loan application you’d see your mortgage lender’s name registered first then the second charge lender’s name underneath.

If your home was repossessed, the mortgage lender who ranks top on your title deeds takes their share of the proceeds from your property sale first. Anything left gets paid to the second charge lender.

That’s why second charge rates are higher than mortgage rates. There’s a greater risk they will not get all their money back.

 How much can you borrow? 

You can borrow up to £1 million but lenders will consider more on a case-by-case basis. The amount you’re offered depends on the equity in your home. Most second charge lenders will lend up to 85% of the value of your home, after your mortgage has been taken into account. Some will go up to 100%. 

Let’s say your home was worth £300,000 and you had an outstanding mortgage of £150,000. If you applied for a second charge mortgage, the lender would calculate 85% of your home’s worth which is £255,000. They would deduct your mortgage balance, leaving you with £105,000. This would be the maximum loan amount you’d be offered subject to income checks.

 Who is eligible?  

To be eligible you must have had a mortgage for six to 12 months. The property must remain in a liveable condition throughout your renovation works. 

Your first charge mortgage lender must consent to your application. They’ll be checking you can still pay their mortgage even though you’re taking on more debt. 

 Who is a second charge mortgage not suitable for? 

If you don’t need to borrow a large sum of money, a second charge mortgage may not be suitable for you. For example, for a loan of £10,000 you may be paying fees of around £2,000 in total, a cost of 20%. Some personal loan rates for £10,000 are around 6.5% and you may even qualify for an interest free credit card to cover a small sum.  

Is a second charge mortgage a good idea for renovators? 

A second charge mortgage can be a good idea for renovators because you can access a high loan amount to complete a substantial project. The loan can be spread over 25 years to lower the monthly payments.  

Pros of a second charge mortgage

Can keep your mortgage deal

Homeowners part way through a low fixed rate of 2%, for example, will be keen to hang on to their mortgage deal until it expires. By taking out a second charge mortgage, borrowers can keep their favourable fixed rate in place.

When their mortgage deal does expire, they can remortgage to repay both the current mortgage and second charge.

Taking a second mortgage also means you’ll avoid paying a high early repayment charge to quit your mortgage deal before the rate expires. 

Flexible lending rules

If you’ve been declined for additional borrowing by a mortgage lender, a second charge lender may give you the loan. They offer higher income multipliers (how many times your salary they will lend) and are more sympathetic to past credit issues. 

Lenders often offer flexible early repayment charge terms too. For example you can take out a five-year fixed rate that only carries a penalty for early repayment in the first two years. This is useful if your current mortgage deal has two years left to run. You can then remortgage and repay both debts at the same time. 

High loan amounts

With loans available up to £1 million, for those with the equity and income to support a large loan amount, a second charge mortgage is a good way to pay for large renovation projects. 

Cons of a second charge mortgage 

Rates are expensive

Second charge rates are around 7% and can exceed 10% depending on your circumstances. 

Nicholas Mendes, mortgage technical manager at mortgage advisor John Charcol, says: 'I always recommend that borrowers consider all the options for borrowing the money they need, such as a remortgage or a further advance from their existing lender, before turning to a second charge because rates are often more expensive.'

A broker will compare the cost of keeping your current mortgage in place and taking out a second charge with the cost of remortgaging to a new lender to raise the cash, taking early repayment charges into account.

Increased risk of repossession

Having two mortgages increases your risk of repossession if you can’t keep on top of both commitments. Even if you’re up to date with your mortgage, if you fall behind with your second charge mortgage, you could still lose your home. 

Fees can be high

Second charge broker fees vary widely. Some can be more than £1,000 or a percentage of your loan, for example 2%, so it’s worth shopping around. 

Other fees include: 

• Lender arrangement fee up to £995
• Valuation fee which depends on the value of your property
• Administrative fees to cover the cost of applying for consent from your mortgage lender and transferring the money to you on completion.

May be unable to remortgage in future

Nicholas Mendes adds: 'You may intend to remortgage in a few years’ time and clear the second charge so paying a higher rate in the short term seems fine. But if lenders tighten their affordability criteria again, like we’ve seen in the cost-of-living crisis, you may find that in the future you are refused a remortgage large enough to clear all your secured debt. 

'If you think your circumstances are likely to change in the future which could lower your income, don't risk taking out a second charge mortgage." 

 What happens if you want to sell? 

If you want to sell your home, you’ll have to repay both your mortgage and second charge loan which will leave you with a smaller deposit for your next property purchase.

 Alternatives to a second charge mortgage  

• Further advance from your current mortgage lender.
• Remortgage to another lender and raise money for home improvements at the same time.
• Take out a personal loan. Balances tend to be capped at £25,000 but some banks will offer up to £50,000.
• For smaller, inexpensive projects, you could use a credit card that has an interest free period.

Before taking out a second charge mortgage, ask a broker to review your circumstances and compare the costs of each option. 

When thinking about buying a new sofa, there's a lot to think about. As well as planning how you'll pay for it, you'll also likely be surrounding yourself with all the sofa inspiration you can handle and finding out the best way to measure the space.

A new sofa can make a big impact in your living room aesthetically, but it also takes a toll on your bank balance. You could be paying thousands of pounds to purchase your sofa, depending on the retailer you buy from, the style you go for and how many sofas you need according to your living room size.

The good news is, just like you can get finance for kitchens and beds, for some people, opting for 0% finance when purchasing a new sofa could be a suitable option. 

Laura Suter, personal finance expert at investment platform AJ Bell says: 'Buying items on 0% credit is a good way of spreading the cost without incurring any extra fees and usually the cost of the item will be broken down into monthly repayments over a set period.'

If you're considering using this finance option to buy a sofa, make sure you avoid these common mistakes. 

1. Not researching your options  

It's important to understand that 0% finance isn’t the only option you have when paying for your sofa, and it won't be the right choice for everyone. It ultimately depends on your personal circumstances, for example how much you’re willing to spend and how long you need to pay the debt off.  

To avoid this error, take time to research your options. One alternative is to pay on a 0% interest credit card. Laura Suter from AJ Bell says: 'This will give you a set period interest fee and you just need to pay off the debt before that period is up. But if you take this route, you’ll need to always make sure you make the minimum payments each month and make a note of when any interest-free period ends, so you’re not hit by interest charges.'

Other financing options include taking out a personal loan if you need longer to pay off your sofa. You will have to pay interest going this route, but the better your credit score, generally speaking, you could be offered better rates. Personal loans tend to be for one to five years, with some lenders offering up to 10 years. Remember, the longer your loan term, the lower your monthly repayments, but the more interest you will pay overall. 

2. Assuming your credit score isn’t involved  

Just because you’re not whacking the cost of your sofa on a credit card, it doesn’t mean your credit score doesn't need to be factored in. Retailers that offer 0% finance will check your credit score to to ensure you can afford the monthly repayments. 

Futhermore, should you miss any repayments or pay late, this will also affect your credit score and could impact future credit or mortgage applications. Depending on the retailer, you could also risk your sofa being taken back if you don't keep up with your payments. 

To avoid this mistake, only opt for 0% finance if you know you can afford the monthly payments required by the retailer. Keeping on top of your repayments can have a positive affect on your credit score, showing you are a reliable person to lend to and you could find you are offered better rates in the future. You can avoid missing a payment by setting up a direct debit so you don’t have to remind yourself each month.

When considering 0% finance, also read the small print at each retailer as some state that if you miss a payment, your 0% rate could get dissolved so you will end up paying an extortionate rate on your purchase. 

3. Betting on getting the headline 0% period 

Another common mistake is reading the retailer's 0% finance for 24 months offer, for example, and thinking you will be offered the full 24 months. Laura Suter from AJ Bell explains: 'You’re not promised the headline interest rate on offer from finance or credit card companies, and those with poor credit ratings will usually be given higher interest rates or shorter interest-free periods, or may be declined altogether. What’s more, lots of applications for credit or approved credit agreements can have a negative impact on your credit record, so be aware of that.'

To maximise your chances of getting the best rates for the longest time, always check your credit history beforehand. You can check yourself online using Experian or Clear Score. 

4. Temptation to go over your budget  

0% finance is a good option for some, but remember it’s also a clever marketing ploy. When you’re getting a feel for a sofa and you see the price, some retailers show the full price as well as the monthly payment price options if you were to get 0% finance. That monthly price looks a lot smaller and manageable, so you might be tempted to commit to paying it off for longer and paying more overall. 

To avoid this error, set yourself a strict budget before you start shopping and stick to it. When you're out shopping, look at the overall price before you sit down and test out its comfortability. If it fits your budget, then have a seat and go from there. If it’s over budget, move on. 

5. Giving in to costly add-ons

When you go for a 0% finance deal, you will notice that many retailers will try to throw in add-ons or extras, such as insurance. Laura Suter from AJ Bell warns: 'You should also be wary of the retailer trying to sell you add-ons or insurances as part of the financing deal, which are often expensive and you might not need.'

Being strict and savvy with your budget will help you avoid falling into this trap. Know, before you walk into the retailer, that you only want to leave with your sofa and whatever else you factored into your budget. 

It's also a good idea to make a note of what insurance policies you already have that might also cover your new sofa. Contents insurance (which covers personal possessions within your home) covers furniture such as sofas. This insurance doesn’t cover accidental damage, but you might get that within your home insurance policy so it’s worth reading through that first (this can differ per policy). 

If this isn’t the case, check how much extra it costs to have accidental damage as an add-on to your home insurance, as it might work out cheaper than getting cover through your sofa retailer. 

If you are looking to invest in property to help boost your income, you might be wondering whether now is the perfect time, with house prices starting to fall and rents rising. 

A buy-to-let is a long-term investment that offers you the opportunity to grow the value of your capital and receive an income too. But the buy-to-let market has become much more complex and challenging in recent years. Plus, mortgage rates are rising as the Bank of England trying to curb high inflation,

So is 2023 a good time to invest in property or will you be better off waiting until the market changes? 

 Is now a good time to invest in property? 

Whether now is a good time to invest in property depends on your financial circumstances and investment objectives says Greg Tsuman, a north London letting agent and president elect of industry body the Association of Residential Letting Agents Propertymark (ARLA). However, several market forces have come together in 2023 which make investing in property a tempting prospect.

'If you’re an investor who can buy in cash, now is a fantastic time to invest in property,' he explains. 'In north London and in other parts of the country, rents have shot up by 25% in the last two years and demand from tenants has gone through the roof. 

'But for those who need a buy-to-let mortgage, due to rising interest rates and changes to tax rules, they will just about break even. They’ll need to adopt a long-term view to their investment and be in position to cover the mortgage payments for the next five years.'

Reasons to invest in property in 2023 

Falling house prices

House prices are expected to fall by between 5% and 10% this year, but there is no expectation that there will be a house price crash. The drop in prices presents investors with a buying opportunity and the chance to negotiate over the asking price. 

Sophie Lang, of Cornish letting agency Lang Llewellyn & Co, says: 'Now is great time for investors because the prices are coming back down to normal level but rents remain high which makes rental yields extremely good.'

The yield is a measure of the rental income you earn from your property compared to the value of your property. If you’re trying to work out if your rental yield is good, experts say compare it to the rate of return you would get if you put your money in a savings account. 

According to Zoopla, average national yields range from 4% to 7%, but can go up to 10% for large house share properties known as Houses in Multiple Occupation (HMO).

Soaring rental demand

Landlords who price their properties correctly have a queue of tenants at the door says Sophie Lang, of Cornish letting agency Lang Llewellyn & Co.

'We get around 10 applicants per property and in some cases we’re having to stop people from viewing. We had one property advertised last week, a family home in Falmouth, which received 150 enquiries in the first 24 hours.'

Zoopla found that demand for rental homes was 50% higher the average level of tenant demand seen over the last five years driven up by a strong labour market, record immigration and an influx of overseas students. At the same time, the supply of homes to rent has increased by just 1% since 2016.

High rents

With nowhere near enough homes to satisfy renters’ housing needs, rents on newly-let properties (not the rents of those with existing tenancies) have rocketed by an average 11% in just a year taking the average rent to £1,119 a month.

Rents are expected to continue to rise this year but at a slower pace as affordability pressures weigh down on tenants and new mortgage schemes, such as 100% mortgages, offer renters a chance to get on the property ladder, easing demand. 

But location is key

The location of your rental property remains crucial to its success, despite high demand for rental properties.

Paul Smith, founder of Redmayne Smith, says: 'Find where the current prime or up-and-coming areas are by speaking to local agents. If you want to manage the property yourself, consider somewhere in close proximity to make this a smoother process.

'Consider the cities and areas that are being heavily invested in that are likely to be cities outside of London such as Birmingham, Manchester.'

Glasgow and Manchester were revealed as the two best cities for property investors, according to Redmayne Smith’s latest research, because they provide the best rental yields for landlords.

Decide who you want to rent to such as families, students or young professionals and choose properties that will appeal to their lifestyle. Properties close to transport links are highly sought after by young professionals. Apartments or HMOs close to universities or hospitals will attract interest from students and student nurses. 

What are the drawbacks of investing in property in 2023? 

Despite runaway rents and demand, there are several drawbacks to investing in property. A combination of tougher taxation rules, incoming regulations and higher buy-to-let mortgage interest rates have caused some landlords to throw in towel.

ARLA’s Mr Tsuman explains: 'The biggest problem for landlords, especially those who own an investment property in their own name rather than a limited company, is no longer being able to deduct their mortgage costs from their tax bill. This is probably one of the biggest changes that is forcing rents up.' To remain profitable landlords are forced to pass the costs on to tenants, or sell up. 

Up until 2016, landlords could deduct their annual mortgage costs from their rental earnings before calculating their tax bill. This was phased out from 2017 to 2020 and replaced with a 20% tax credit which leaves higher rate taxpayers worse off. 

Additional challenges for landlords include the requirement to upgrade all rental homes to a minimum Energy Performance Certificate rating of C by 2028 and the incoming Renters Reform Bill, which could make it more difficult for landlords to evict tenants.

Can I still get a buy-to-let mortgage in 2023? 

Yes, you can still get a buy-to-let mortgage but since interest rates have risen it’s harder for some landlords to get the loan amount they need. 

Landlords who need a new mortgage deal on their existing investment property because their fixed rate has just expired are seeing their monthly payments double or even triple. 

Others are being declined a remortgage because the rent they charge is no longer high enough to cover the new, higher mortgage repayments. This is driving some landlords to sell or use cash earmarked for another investment property to pay off some of their mortgage balance to be accepted for a remortgage deal.

Those purchasing a new investment property may need to put in a larger deposit than was necessary 12 months ago to buy the same house. 

Jeni Browne, sales director for broker Mortgages for Business, says: 'When applying for a landlord mortgage the amount you can borrow is specific to the property type and monthly rent it can generate. When you’re buying a home to live in, the loan amount is specific to your personal circumstances.'

For example, if a landlord wants to purchase a property worth £300,000 with a 25% deposit and the rental valuation of the property is £1,000 a month, they would be declined based on the current average fixed rate of 4.8%. To be accepted, the landlord would need to charge rent of £1,479 a month, which is unachievable for this property. However, if the landlord had a 50% deposit they would be accepted. Based on a loan of £150,000 (50% of the purchase price), the rent required would be £980 which is less than the £1,000 a month rental valuation of the property. 

Skipton Building Society has launched a deposit-free first-time buyers mortgage scheme for renters, in an attempt to break the rental cycle and open up access to the property ladder. However, experts warn that it could come with a serious risk of falling into negative equity.

As of today, renters can apply for Skipton Building Society's Track Record Mortgage, where they can borrow up to 100% of a property value with a new 5-year fixed-rate mortgage if they are successful. Skipton is also ensuring that the buyers will not be paying more on a monthly basis than what their current rent is.

The only catch seems to be the slightly higher interest rate of 5.49%, compared to the UK's average five-year fix of 5%. Skipton Building Society's mortgage scheme means there are no fees to pay and there's no need to provide a guarantor, so it could be a game-changer for first-time buyers looking to get their foot on the property ladder.

While a deposit-free mortgage might sound like a dream come true, Co-founder and CEO of Wayhome, Nigel Purves warns that there is a serious risk of falling into negative equity.

'Although the re-introduction of 100% mortgages will no doubt be welcomed by those struggling with the high cost of homeownership, it’s important that anyone considering such a product fully understands the approval process they will be subject to.  

'While the concept of purchasing a home without a deposit is attractive, the income multiplier associated with mortgages would still limit the purchasing power of those with lower incomes. What’s more, there’s a very real risk of buyers falling into negative equity should property values start to fall. 

'Given the unsettled market conditions seen in recent months, such a change in the market is far from out of the question and could see buyers lumbered with their property and unable to remortgage until such a time that market values recover.'

Ideal Home's Money Editor Sarah Handley adds: 'Saving for a deposit is incredibly difficult when you're renting. It's harder still when the cost of living crisis has meant household finances are being stretched more than ever before. So I can see the appeal that a deposit-free mortgage will have. But, remember that during the five-year (minimum) fix of this mortgage, interest rates may drop and you could be tied into a more expensive rate even when a cheaper deal may become available.

'Before you commit to a mortgage, it's really important to do your research and speak to a mortgage broker to understand what other options might be available to you so you can make the best decision for your circumstances.'

How the Skipton Building Society's deposit-free mortgage works

Skipton Building Society has launched the UK's first ever deposit-free mortgage scheme following research which found that eight in ten tenants feel ‘trapped’ in the rental cycle, paying rents that are higher than a mortgage which then prevents them saving a deposit to buy their own home.

The Track Record Mortgage scheme is now available to renters aged 21 or over, who haven't owned a home before. Tenants must be able to evidence affordability for a mortgage and have a strong track record of rental payments. They can borrow from a 95% mortgage loan up to the value of 100%, with an interest rate of 5.49% over a 35-year term if they succeed. This rate will be fixed for a minimum of five years.

5.49% is slightly higher than the national average (5%), which is something to be aware of. But another selling point of the scheme is Skipton's commitment to ensure that buyers will not pay more than their current rent each month. For example, a tenant paying an average of £800 per month over the last six months will have a maximum monthly mortgage payment of £800.

With many banks now asking for a deposit of at least 15% of the property's value, Skipton's new scheme is a groundbreaking opportunity for renters looking to own their first home.

Homebuyer demand may have fallen compared to the frenzied activity we’ve seen in recent years, but there’s still a determined cohort of movers set on a purchasing a pad. In fact, around half a million property sales are expected to take place in the first six months of this year, according to Zoopla. 

But buying a house, in particular, getting a mortgage has become a lot harder since interest rates increased and inflation rose to double digits putting pressure on household budgets and making mortgage lenders more cautious over who they lend to and how much. 

How to boost your chances of mortgage approval

That’s why it’s more important than ever to review your financial situation, plan carefully for six to 12 months before applying for a mortgage and take advice so that you can avoid making a mistake that could cost you your mortgage. 

Here’s our top tips for boosting you chances of mortgage approval

1. Keep your finances stable

'Avoid making any major financial changes in your life at least six months before applying for a mortgage such as switching jobs,' says Chris Sykes, technical director for mortgage broker Private Finance. Being new to your job can affect your chances of getting approved for a mortgage, particularly if you are still in a probation period when you apply. 

There are lenders that will consider lending in these circumstances, usually if you have moved jobs within the same industry, but your options can become limited and you may be charged a higher rate. 

2. Get your credit score in good shape

A credit score is a numerical rating that tells lenders how good you are at paying your bills and debts on time. 

(You can find out what your credit score is by signing up to a credit agency such as Experian, Equifax or ClearScore. Experian and ClearScore allow you to check your score for free. Equifax offers a 30-day free trial, after which you’ll have to pay monthly. The agency will tell you if you score is low, medium or high and how to improve it.)

'A clean credit history and good credit score can improve your chances of mortgage approval,' explains Chris from Private Finance. If your credit score is low the mortgage rate you qualify for might come at a premium so it may make sense to work on improving your score before applying for a mortgage.”

You can improve your credit score by:

• Signing up to the electoral roll so that lenders can easily trace your address history
• Opening a credit card to buy small items which you repay in full immediately to demonstrate you are a responsible borrower
• Ensuring you’re not using more than 30% of the credit limit on any of your credit cards
• Pay off as many small debts as possible remembering to close the accounts afterwards.

You can also check up on your credit history, which shows if you have fallen behind on any credit commitments, if you have had any defaults or County Court Judgements registered against you in the last six years or if there are any mistakes on your credit file that you need to put right.  

3. Reduce your monthly debt obligations

As well as boosting your credit score, reducing your debt will improve your chances of passing your mortgage lender’s affordability assessment. 

Having debts affects your ability to borrow a mortgage in two ways: 

• Regular monthly debt commitments will be deducted from your salary and reduce the amount of mortgage you can borrow.
• Lenders use a calculation called a debt-to-income ratio, where they consider the total amount of debt you have in relation to your annual salary. If it is considered high, you’ll be offered a lower mortgage or rejected. 

To boost your chances of getting approved for a mortgage, try to pay off outstanding debts before you apply. This could mean paying off your car and any other pre-existing loans you may have.

4. Don’t take on new debts before your mortgage completes

Your lender will run its credit check at the start of your mortgage application and any debts you have will be considered when the bank works out the maximum mortgage it will lend you.

However, the lender can run a new credit check whenever it likes up until your home purchase completes. If you’ve taken out a large commitment such as a new car loan in the meantime, the lender could withdraw its mortgage offer. 

5. File your latest tax return

If you’re self-employed, lenders will want to see your last two years’ HMRC tax returns.

Although the tax year ends on 5 April, you have until 31 January the following year to submit your tax return. If your profits have increased in the most recent tax year, but you haven’t filed your tax return before applying for a mortgage, your higher earnings will not be included in the lender’s affordability assessment which will restrict the value of the mortgage you’re offered.

'If you’re self-employed and applying for a mortgage, timing around annual HMRC tax returns can be crucial,' explains Adrian Anderson, director of mortgage broker Anderson Harris.

'Tell your accountant you are going to be applying for a mortgage in the near future so they can file your return as any increased amount you pay yourself may have an impact on your mortgage capacity.'

6. Put down a bigger deposit if you can

It may sound obvious, but the larger your deposit the easier it will be to get a mortgage. Not only will the monthly repayments be cheaper because you’re borrowing less, but the bigger your deposit the lower the rate you’ll be offered – making it cheaper again. 

You also need to have a higher credit score to get a mortgage with a 5% deposit than you would if you had a 20% deposit. That’s because you pose a bigger risk to the bank so it wants to know you have an excellent payment record.

7. Work with a mortgage broker

A mortgage broker can help you navigate the application process. 'A good broker will know each lender's criteria and which lender should be most suitable for you based on your circumstances and mortgage requirements,' says Adrian Anderson. 

'Your broker should be able to access the market leading rates and make the application process as smooth as possible.'

In the current cost of living crisis, you might be wondering whether some of your insurance policies are dispensable. But we can’t plan for everything, and with home insurance cover there’s the peace of mind that you’re protecting your beloved possessions, and yourself from any costly future bills - whether you’re a homeowner or renter, student or landlord.

So what are the other options? Well, it’s time to get smart with your home insurance and look at how else you can make some savings.

What is covered by home insurance

There are several different types of insurance, from life insurance and travel insurance to car insurance and pet insurance.

But when it comes to home insurance, there are only three types that you need to know: buildings insurance, contents insurance, and combined building and contents insurance.

Your home's physical structure - everything from the bricks and doors to the fireplace and shower – is covered by buildings insurance.

Contents insurance, however, covers the actual possessions in your home like your TV, for example, or your prized three-seater, against damage or theft. And combined, as the name implies, allows you to take out both buildings and contents insurance with the same insurer to keep things simple.

How to save on your home insurance

Saving on your home insurance doesn’t have to be a chore. 

Building up your no-claims discount if you’ve gone several years without claiming, can often help fix you up with a good deal, as can paying annually or asking for a lower excess.

There are also several home improvement adds that we at Ideal Home would always recommend including insulating your water pipes and upgrading your home security.

Probably the best way to save though is by keeping your eye out for a good deal - a task made easier with MoneySuperMarket. According to Consumer Intelligence, 51% of consumers could save up to £170.96 by shopping for their home insurance with MoneySuperMarket. 

Compare home insurance policies from up to 65 brands including LV=, Churchill, Halifax, and Admiral, and discover a whole host of clever ways to save a lot, by doing less. Plus all policies on the site are backed by the MoneySuperMarket Price Promise, so if you find a like-for-like policy cheaper elsewhere, they will refund the difference and provide a £20 gift card.*

Find a cheaper deal on your home insurance with MoneySuperMarket now.

*Restrictions and T&C’s apply, click here for details

After two years of rapid house price growth, the value of our homes has begun to fall - but does this mean a house price crash is on the cards?

Nationwide Building Society’s latest report that measures the rise and fall of house prices across the country recorded a 3.1% fall in property prices in March 2023 compared to the year before. The lender said it was the largest annual decline in prices it had recorded since July 2009. 

The regional picture is similar to the national one. Nine out of the 13 regions tracked by the lender saw a year-on-year fall in prices, while the remaining regions saw a slowdown in growth. Rival bank Halifax, which also reports on property prices, has yet to record a fall, but month-on-month growth has now slowed to 0.8% following a rise of 1.2% in February 2023. 

The news should not come as a shock to homeowners. Housing market experts have been warning of a slowdown since the Bank of England began raising interest rates in an attempt to calm stubbornly high inflation. 

When mortgage rates shot up after the disastrous September mini-budget those forecasts became gloomier, and homeowners were told to brace for a decline in prices. 

Is a UK house price crash coming?

Although most experts agree that house prices will fall this year, as yet no-one is predicting a house price crash. 

Borrowers’ buying power has been dented thanks to high inflation and a sharp increase in mortgage rates last year. The cost of fixed-rate mortgages has since reduced but rates remain high compared to the last 10 years. Two years ago, the average two-year fixed rate was 2.65%, now it is 5.32% according to data company Moneyfacts.

Since rates have risen, households can’t afford to borrow as much to buy a house so some sellers are reducing their asking prices. This has already started to happen, according to Zoopla. The property portal says, on average, sellers are offering a 4% discount off the asking price – the equivalent of £14,000.

Richard Donnell, executive director at Zoopla, said: 'As we end the first quarter of 2023, the housing market is in much better shape than many predicted at the end of 2022 and there are no clear signs of a house price crash.

'Although there has been an increase in asking price reductions, the positive news is that buyers and sellers are agreeing deals which are supporting activity in the housing market.'

How much could UK house prices fall?

Predictions vary over how much house prices could fall. Zoopla expects house price falls of up to 5% this year, this is likely to be less in more affordable parts of the country.

At the same time, estate agent Savills has forecast a 10% drop in house prices this year, on the basis that there isn’t another upheaval in the mortgage market and the Bank of England base rate gradually reduces from the middle of next year as inflation is brought back under control. It expects a 1% rise in house prices in 2024.

Anthony Codling, chief executive of home buying and selling platform Twindig agrees with Savills’ prediction: 'I do not think a house price crash is coming. In my view, at a national level, house prices will fall by 10% during 2023.

'However, it is foolish to compare national prices to local markets. The UK housing market is a collection of thousands of local housing markets which operate independently of each other. For instance, housing market conditions in Swindon do not impact house prices in Sidmouth.'

Zoopla recently conducted research into local markets around the country. It found there were only seven local authority areas in the country where house prices were already falling year-on-year, four of those were the London boroughs of Westminster, Kensington & Chelsea, Hammersmith and Fulham and Tower Hamlets. The other areas where on the east coast of Scotland. 

Areas where house prices are rising the most, which tend to be those where housing is most affordable, include Oldham, Rochdale and Wigan in Greater Manchester and Calderdale, West Yorkshire.

What does this mean for homeowners?

From the beginning of the pandemic until the autumn of 2022, house prices rose by around 25% across most of the country. Although no-one wants the value of their home to fall, when considered against the backdrop of the rapid gains made in recent years, homeowners are still likely to be selling for a price higher than the value of their home two years ago if prices drop by 10%. 

Although Nationwide’s economist Robert Gardner says it will be hard for the market to regain much momentum in the near term, for those who want to move home there’s some good news. There are 65% more homes up for sale than there were in March 2022, according to Zoopla data, so buyers have a lot more choice. 

Mortgage lenders have also been cutting fixed rates of late as they compete to win business. Variable rate mortgages, such as base rate tracker deals, remain high, however, as they are linked to the Bank of England base rate.

Anthony Codling says that homeowners should not be too concerned about a short-term fall in house prices: 'If you are thinking about buying today and you find a property that you can afford and you would like it to be your home, I’d advise against letting concerns about short term movements in house prices impact your long-term decisions. 

'Most of us stay in our homes for more than 10 years and there has not yet been a period of time where UK house prices were lower than they were ten years ago.'

Moving home is a stressful and costly business, and there is usually lots of tasks to tick off the moving house checklist. So it’s no wonder the average Brit moves just four times in their life. 

A new survey by Legal & General found that moving home was ranked the most stressful life event by more than half of those surveyed. One the biggest factors sending movers’ blood pressure soaring is not having enough money not cover hidden expenses included in the cost of moving house.

Make sure you’re not caught out by unplanned and unpleasant costs by following these simple tips.

1. Getting caught out by mortgage fees 

Mortgage fees can run into thousands of pounds, depending on the type of mortgage you choose and the adviser you use.

It’s advisable to ask a broker to arrange your mortgage deal for you. Some brokers don’t charge a fee and receive a commission from the lender instead. However some charge between 0.3% to 1% of your loan amount. If you’re buying a property, you usually pay this on receipt of your mortgage offer. 

Watch out for a booking fee charged by your lender too. This can range from £300 to £1,000 which you’ll need to pay at the start of your application to book your mortgage deal. 

It’s more common for lenders to charge you an arrangement fee instead. This is more expensive, ranging from £995 to £3,000 for high-value loans, but can be added to your mortgage balance instead of being paid on the spot. Some lenders offer a zero fee in exchange for a higher mortgage rate.

Nicholas Mendes, mortgage technical manager, John Charcol, says: 'All fees and costs associated with your mortgage and when they must be paid will be listed in your mortgage factsheet known as a European Standardised Information Sheet, ESIS for short. The sheet also states if the fees are refundable or not should your mortgage fail to complete. Make sure to read through your ESIS in full and ask questions immediately to avoid making a costly mistake.'

2. Not preparing for delays

If you’re buying a house, you’re likely to be asked to pay for a basic valuation for mortgage purposes. A basic valuation covers little structural detail about the property and costs around £150. It’s valid for six months. This should be enough time to complete your purchase. 

But if you run into delays, for example because your property chain has collapsed, you will have to pay for another valuation if your old one expires.  

It can help to build a contingency fund into your budget of about 10-20%.

3. Underestimating your legal fees

The average conveyancing costs for a first-time buyer are £1,342 and for a home mover this increases to just over £2,000 according to moving services firm Reallymoving.  

But not all property purchases are straight forward and buyers can often find themselves being asked for additional fees as problems arise. The top three reasons buyers see their legal costs rise are:

• complex access to the land they are purchasing such as a third party right of way
• the previous owners have carried out unapproved building work or they’re buying a property in area with unusual conditions such as close to a tin mine, or near to land erosion or flood risk. 

4. Misjudge your removal needs 

It’s amazing how many belongings we accumulate so it’s easy to underestimate the extent of our removal needs. But doing so can prove to be costly. Some moving firms ask you to estimate how many boxes and items you’re moving which they’ll use to base their quote on. If you exceed this amount you’ll be charged extra, often on the spot. 

To avoid a nasty surprise, Rob Houghton, chief executive of moving services firm Really Moving says get a professional appraisal. 

'Book your removals firm well in advance, ensuring they visit your home to assess the volume of belongings so you’re only paying for the space you need. Professional removals typically cost around £400 for first-time buyers, but it varies according to the volume of belongings and distance moved.'

5. Ignoring repairs

Unexpected repairs can make a big dent in your budget. For example, if you decide to redecorate and realise you need to replaster the walls and ceilings first it will cost you much more than a few cans of paint.

The average cost to replaster a three-bedroom house, according to Legal & General, can range from £1,500 to £15,000.

Faulty wiring is another less-than-obvious repair job that, if discovered, will eat into your budget when you first move in. The average cost to rewire a three-bed property is £5,750. When you’re working out a budget to spend on new furniture and decorating, include a contingency fund to pay for unexpected repairs.

One way to spot more serious faults before you buy the property is to pay for a detailed valuation inspection such as a Homebuyer Report (from £400) or a full structural survey (from £600) to be carried out before you buy. These reports can uncover any serious issues that could deter you from buying the property or help you to negotiation a lower price. 

EDITOR’S NOTE: An earlier version of this article included a quote from a purported expert whose credentials we have not been able to verify. The quote has been removed. We regret this lapse in our verification process and have updated our internal protocols to reduce the risk of recurrence.

We're big fans of the multi-cooker at Ideal Home and with good reason. They can whip up a mid-week casserole, slow-cook a Sunday roast, and even make yogurt without you having to shuffle appliances on and off the worktop. But while this most versatile of gadgets is busy serving up delicious meals, have you ever wondered how much it costs to run a multi-cooker?

Knowing the energy consumption of the best multi-cookers – and their cost to run versus a traditional oven – isn’t just a matter of curiosity. It’s a smart move that can help you manage your kitchen costs and make more informed choices about how you prepare your meals.

As the energy price cap may affect the running costs of this appliance, let’s take a look how much energy-greedy your multi-cooker is. Spoiler: It’s more energy-efficient than your oven, but there’s still a price to pay for all that culinary convenience!

How much does it cost to run a multi-cooker?

We've done the maths for you and come up with some up-to-date figures on how much does it cost to run a multi-cooker. First, you need to understand how much electricity a multi-cooker uses.

'Multi-cookers vary when it comes to their power consumption, smaller models may only use 400W, while larger multi-cookers could use up to 1,800W,' says Sarah Handley, Ideal Home's home energy expert.

The top three multi-cookers in our best multi-cooker buying guide use 1200W, 1460W, and 1100W. Multi-cookers with larger capacities will use more electricity, as they'll take longer to heat up.

How much does it cost to run a multi-cooker?

To give you more of an idea of how much it cost to run a multi-cooker, we've used the top three multi-cookers in our guide, and calculated how much they will cost to run under the January 2025 energy price cap, which is 24.86p/kWh for electricity.

• The Instant Pot Pro Multi-Cooker uses 1.2 kWh of energy and costs 29.8p per hour to run.
• The Ninja Foodi 9-in-1 Multi-Cooker uses 1.46 kWh of energy and costs 36.3p per hour to run.
• The Sage Fast Slow Go Multi-Cooker uses 1.1 kWh of energy and costs 27.3p per hour to run.

'The exact price will depend on your specific multi-cooker model, how much you pay for your energy (which you can find on your latest bill), and how long you use the appliance for,' explains Sarah.

To work out the running costs of your particular multi-cooker, you'll need to look at the wattage power of your multi-cooker, and divide this number by 1000 to get the kWh when used for one hour. Multiply the kWh by how much you pay per unit of energy to find out how much your multi-cooker costs to run for an hour.

For example, the Tefal CY505E40 All-in-One Cooker has a power of 1600W, which works out at 1.6 kWh (energy units per hour). If your current energy rate is 24.86p per hour, this multi-cooker will cost 39.8p per hour of use.

If you tend to use your multi-cooker for around 30 minutes per day rather than a full hour, just cut this figure in half at the end.

How much does it cost to have oven on for 1 hour?

Multi-cookers can use the same amount of energy as smaller convection ovens, however, most multi-cookers won't cost more than 50p an hour to run. And thanks to the different functions like air frying, steaming, and pressure cooking, the cooking process doesn't take as long. They don't need to be switched on for as long which makes them effectively cheaper to run than the cost to run an oven.

Will you be investing in one of the best multi-cookers now you know how much they cost to run?

Bargaining doesn't come naturally to everyone, but there are some times when you should give it a go. Learning how to haggle with builders is one of those, and one which could save you a pretty penny.

When it comes to buying a house, most homebuyers are are aware that there'a a discussion to be had over the price. But did you know you can haggle with builders over the cost of a new-build home or smaller building jobs to add value to your existing home?

Well you can, and in fact, the experts say you should. But if you don't feel confident in your haggling skills, follow these pointers to make sure you pay the best price. 

1. Make sure you have at least three quotes

In order to haggle effectively, you need to have an idea of what the best price looks like. Always make sure to source at least three quotes for your home improvement plans, and make sure you get detailed quotes rather than estimates so you can be sure you are comparing like-for-like. 

You can then use them as bargaining tools - for example, if you have a builder you prefer, who is more expensive than another builder you approached for the same job spec. 

It's a good idea to get all quotes in writing so you can prove you’re in negotiations with other builders. 

2. Be prepared to do some legwork yourself

Whether it’s an extension, loft conversion or you’re redesigning your layout there’s plenty of ways you can drive a hard bargain with your builder.

Do some of the prep work yourself such as ripping out a kitchen or bathroom to save time but only if you know what you’re doing. It'll be a false economy if you take on tasks beyond you capabilities, cause a problem and then have to pay for it to be fixed.

Ask your builder if you can buy the materials and pay them a day rate instead. Agree a realistic timescale and project manage the process to keep on top of the work that needs to be done. Put a contract in place that details when the project is due to finish.

3. Go in low 

It can be difficult to know where to start when haggling, but remember it's a negotiation and the plan is to meet somewhere in the middle between your first offer and the builder's first asking price. 

'Once you know how to haggle it’s amazing how much you can get off the asking price,' says Emma Morby, founder of The Female Property Expert. 'I always say, make your first offer 25% below the asking price and aim to get at least 10% to 15% off by the time you’ve finished bargaining.'

When it comes to buying a new build property, housebuilders are more likely to accept an offer that is lower than the asking price when their development first launches in order to gain sales momentum, or when they are selling the remaining homes in the last phase of the development.  

When you’ve arrived at an offer, submit this to housebuilder’s sales agent by email, says Matt Johnson, area director of estate agency Johns & Co. 'As well as clearly stating your offer, also state that you have everything in place for a quick completion. Give your mortgage broker’s details in case the agent wants to check your position.'

You can also attach to the email the Agreement in Principle from your mortgage lender which outlines how much they are prepared to lend. Confirm the level of deposit you have and that it is readily accessible, not tied up investments that are tricky to sell quickly. Finally if the property build is completed, state how quickly you want to move in after you have exchanged contracts.

4. Do your homework 

Whether you are looking to buy a new build house, or carry out some improvements to your existing home, it pays to do your research. 

Find out exactly what a project involves, and how long it should take. This will make you feel a lot more confident when haggling and deciding what you think is a fair price. You can look online, or ask the questions of those providing quotes - you're more likely to haggle successfully if you and your builder have a mutual understanding of what the project entails. 

If you're buying a new build, ask the sales agent how many properties they have left to sell in that phase of the development. If the home is one of the last few the developer has to sell they are likely to accept a lower offer. 

Research the average house price of similar properties in your area and check to see what they sold for on Rightmove or Zoopla. Use this as a negotiation tool. But don’t forget the price of a new-build comes with a premium of between 5% to 10% so it will be more expensive than a second hand property. 

5. Sell your strengths 

Making yourself as attractive a client as possible can help your negotiations with your builder. Have a think what you might be able to go to make the builder's life easier or the project run smoother. Or maybe you have friends or family who are also looking to complete similar improvements - could this first project be a stepping stone to more work for the builder? 

Also, be friendly. Try to build up a rapport with your builder - this'll not only make working together much easier and improve communication, but you're such more likely to haggle successfully.

Similarly, if you are buying a new build, housebuilders like speedy sales. They will expect you to be able to exchange contracts 28 days after accepting your offer. So if you’re chain-free and have your mortgage agreed in principle – shout about it. It will improve your chances of getting a lower offer accepted.  

6. Get ready for a counter offer 

Remember that haggling is a negotiation - your builder will understandably want to get the highest price, while you want to pay the lowest. The goal is to meet somewhere in the middle. So don't be disillusioned if your first offer is not accepted.

But remember as well as price, you can also negotiate on terms. For example, you might agree to a certain price on the condition that work is completed by a certain date.  

This approach can also work for new builds. 'If you’re opening offer is in the ballpark region of what’s acceptable to the developer, expect them to come back with a counteroffer,' says Matt from John & Co. 'If you’re way too low the developer will simply decline it.' Another tactic is to agree to their counteroffer on condition that they pay some of your fees, pay the service charge for 12 months or throw in a furniture package, for example.  

7. Don’t change your plans half-way through 

 Be clear from the outset exactly what you want and stick to it. Changing your plans mid-build will result in delays and could cost you the discount you worked hard to haggle for. 

8. Be realistic about a fair price

‘Don’t expect a five-star finish for two-star prices,’ says Emma from The Female Property Expert. Haggling to get a fair price is advisable. 

But be wary of a builder willing to offer a significant discount to win your business. They may have to cut corners to deliver your project, use cheap fittings and take on multiple jobs at the same time which could lead to delays completing your improvement plans. 

9. Bargain over fees, fixtures and fittings 

Not all housebuilders will enter negotiations over the asking price and smaller developers have less wiggle-room when offering a discount because they work on tighter profit margins. But that’s not a reason to give up. 

Ask the developer to pay your legal fees and stamp duty and request free upgrades to the appliances, flooring and lighting that come with the home or even ask for a free parking space. 

A boiling water tap is the ultimate kitchen luxury – instant hot water at your fingertips, perfect for that morning cuppa, quick pasta prep, or anything else that needs a rapid burst of boiling water. But while you’re enjoying the convenience, have you ever wondered how much it costs to run a boiling water tap, so you can know for sure whether or not you'll save money in the long run?

It's not hard to see why the best boiling water taps have caught our attention. not only do they save us space on our worktops, they also save time (there's no waiting around for a kettle to boil) and most importantly energy, as we only ever boil  and use the water we need. It's something we discuss in our feature on hot water taps vs hot water dispensers.

'For those looking to invest, hot taps can provide long term savings as energy costs continue to rise', says Paul Bailey, Leader, Product Management, GROHE UK. 'Hot taps are an energy-efficient, convenient, and safe way to enjoy kettle-hot water on demand.'

So there's a lot to be said for adding one of these appliances to your home, but the question is, how much does it cost to run a boiling water tap? Let's find out...

How much does it cost to run a boiling water tap?

We've asked the experts and done some calculations to find an up-to-date and accurate answer to how much does it cost to run a boiling water tap. If you're unsure where you stand in the boiling water tap vs kettle debate, the figures below might help you decide.

To work out how much does it cost to run a boiling water tap, it's helpful to first look at how much electricity does a boiling water tap use.

Quooker created the original instant boiling water tap, and they have an array of taps that require very little electricity to work ranging from 1,600 watts to 2,200 watts. There may be a slight variation in how much electricity a tap uses depending on the model and brand; for example, a GROHE Red tap uses 0.74 kWh to boil 3 litres of water per day (an approximation of the average UK household's water consumption).

To demonstrate how little a boiling water tap can cost to run we've based it on a 1,600-watt tap with a 3 litre tank, and used the current price per kilowatt hour of electricity set by the energy price cap which, as of January 2025 is 24.86p.

• A 1600-watt boiling water tap would cost 39.8p per continuous hour of use, but to fully refill the 3 litre tank this would only cost around 10p, based on the average refill and reheat time of 15 minutes. Therefore, if you were to use 3 litres of water everyday from your boiling water tap it would cost £36.50 over the year.

Are boiling water taps cheaper to run than kettles?

Boiling water taps use less energy and therefore cost less to run than the best kettles.

So if you were wondering how much does it cost to boil a kettle for a cup of tea, it will be more expensive than using an instant hot water tap. There's potential to save even more pennies using a tap because you can put the water directly into your cup, so there won't be any wasted - which can sometimes happen when filling up the kettle.

FAQs

Is it expensive to have a boiling water tap?

Boiling taps are cheap to run, but it's important to factor in the upfront cost and installation price. In the short-term, it's cheaper to buy a kettle than to purchase and install a boiling water tap, but keep in mind that they will save money on your energy bills in the long run.

'The cost of a Quooker installation is £99 if a tap and tank are purchased together. This should be done by an official Quooker installer', says Stephen. 'There are optional accessories including cold water filters, scale control, power switches that equally distributes energy between appliances, however all of these are not essential and the tap and tank can be purchased without.'

Because of how cheap Quooker taps are to run, the investment would soon pay off. One cup of tea for example costs only a fifth of a pence to make (£0.002) - meaning you could have 6 cups of tea for the same cost of boiling 1 cup of tea from the kettle.

Should I turn off boiling water tap at night?

'For most boiling water and kettle-hot taps, it is unnecessary to switch them off overnight, however it can help to bring down your energy consumption slightly', explains Adam Logan, Training Manager, GROHE UK & LIXIL EMENA.

'The GROHE Red doesn’t need to be switched off overnight, as it is incredibly well insulated and made of Titanium which aids fast reheating and prevents the build up of Limescale. As the GROHE Red doesn’t keep the water at a permanent 99°C, it allows for the temperature to drop to as low as 90°C.'

Turning off your hot water tap at night won't make a huge difference to your energy bills, but it can help lower them slightly. It makes sense to turn off your hot water tap when you're away on holiday, as it won't be being used for a prolonged period. Turning it off at night takes minimal effort and will save a few pounds over the course of the year.

Three-quarters of councils are increasing council tax by 4.99% from April, adding an average of £100 a year to bills. The increase is unwelcome news to many as the cost of living crisis continues to squeeze pockets with inflation hitting a 40-year high of 10.1%.

Research from the County Councils Network has revealed that 84 of 114 councils that published their budget proposal for 2023/24 were going forward with a maximum permitted 4.99% council tax rise. 

This maximum price increase would add on average £100 a year to the bills of those in council tax Band D properties and around £74.50 to those in bands A to C. 

This is an added bill to households which are already struggling with increasing costs.

What is council tax and who pays?

Council tax is a property tax and annual fee you pay to your council for the local services it provides for you as a resident. It is usually paid in ten monthly instalments, followed by two payments where you don’t have to pay anything. The amount you pay depends on your personal circumstances, the valuation band your property is in and how much the council needs to fund its services. Council tax bands range from A, the cheapest, to H, the most expensive, which reflects how much your property was worth in 1991. 

You can find out the council tax band for your property through the GOV website. 

You will usually need to start paying council tax once you turn 18. A standard council tax bill is based on at least two adults living in a home, with both jointly responsible to pay it. 

Some people are disregarded and do not need to pay council tax, such as those under 18. You will get a 50% discount on your council tax bill if everyone in your home is considered as disregarded. 

This is reduced to a 25% discount for those who live on their own, known as the single-person discount. 

You can discover everyone that is entitled to a council tax reduction through the GOV website.  

With inflation the highest for decades, affecting everything from mortgage rates, to the cost of food. Local authorities are fighting to balance their budgets and deal with multimillion funding gaps. Council leaders say they recognise households are struggling but have ‘little choice’ in putting forward the maximum rises to fund local services. 

The increases will hit residents in affected councils in April at the start of the new financial year. The 4.99% increase is comprised of a 2.99% for general council tax and 1.99% for the adult social care precept. 

Which councils are increasing council tax in April?

Out of 152 councils covered by the County Councils Network survey, 114 have published their budget proposals for 2023/24 and all bar one, Central Bedfordshire, will raise their council tax this coming April. The remaining 38 councils have yet to declare their intentions.

30 councils have declared they will increase the tax but will not impose the maximum of nearly 5%, the lowest rise put forward being 2%. However, 84 councils have confirmed they will increase the tax by 4.99%. ITV has published a list of all the councils increasing their council tax. 

Three councils, Croydon, Thurrock and Slough have special permission to increase their council tax above 5% after effectively declaring bankruptcy. Residents in Croydon’s band D will pay an additional £234 a year, taking the total to £2,230. 

Compared to Westminster residents who pay the lowest average council tax bill in England at only £912, an increase of £48. 

Cllr Sam Corcoran, Labour Vice-Chairman of the County Councils Network and Leader of Cheshire East Council, said: ‘We all recognise the cost-of-living crisis is impacting on every household in the country and disproportionally on low incomes, but we have little choice but to propose council tax rises again next year, with many local authorities reluctantly opting for maximum rises.

‘With councils facing multi-million funding deficits next year, the alternative to council tax rises would be drastic cuts to frontline services at a time when people at the sharp end of the cost-of-living crisis need us to be there for them.’

The County Councils Network has said the typical bill for band D residents is higher in rural counties areas at over £2000 a year, rising to £2,149 come April. Making it 20% higher than the average council tax bill faced by London residents which come April will be an average of £1,780. 

This disparity is because county areas have historically received less government funding than London for services, so county councils make up for that shortfall through higher taxation.

Will council tax increase in 2023?  

It does indeed look as though most councils will be increasing their council tax, with many increasing it to the maximum amount. An analysis by County Councils Network found that 114 councils have published their budget proposals for 2023/24 and all but one will increase their council tax. 

Out of those 114 councils, 84 have proposed the maximum permitted rise of 4.99%, with the lowest proposed rise at 2%. Three councils, Croydon, Thurrock and Slough have special permission to increase their council tax by above 4.99%. With Croydon planning to increase tax by a whopping 15%.  

Which council has the highest council tax in the UK? 

The residents living within the council of Rutland are very unfortunate because they have the highest level of council tax for 2022/23 for England, Wales and Scotland at £2,300 per year. This is an eye-watering 17% more than the national average.

At the other end of the scale, the affluent local authority of Westminster has the lowest at £866 per year. When it comes to paying for council tax it can sadly is a bit of a postcode lottery. Which is an even harder pill to swallow with the current cost of living crisis. 

How much money does council tax raise?  

Council tax is comprised of general council tax and adult social care precept. The amount you pay depends on your personal circumstances, the valuation band your property is in and how much the council needs to fund its services. 

The council tax requirement for 2022-23 is £36.3 billion compared to £34.4 billion for 2021/2022 reflecting the high rate of inflation. For 2022-23 it is estimated that council tax will raise £42 billion according to the Office for Budget Responsibility. 

Council tax is the main source of income for councils, with the rest of it coming from business rates and central government grants.

Council tax plays an essential role in funding crucial services such as adult social care, creating extra school places, supporting vulnerable children in care, rubbish collection, police and fire services, environmental health including climate change action and leisure and recreation projects. So despite the steep increases on the way, your council tax is going towards making where you live a nicer place. 

Money-saving expert, Martin Lewis, takes to Instagram to share a tip on ensuring you don't get 'fobbed off' when trying to make a claim for your faulty tech.

We all love getting our hands on new tech, especially when it comes to home appliances. Whether you've bagged the best air fryer or the best vacuum cleaner, the last thing anybody wants is to spend hundreds of pounds just to get a measly couple of months to a year of satisfactory use.

If you're trying to get your tech repaired, sneakily enough, most retailers' warranties only cover a year. However, Martin Lewis shares that warranty becomes 'pretty irrelevant when it comes to the law.'

Martin Lewis faulty tech warranty advice

Martin Lewis took to Instagram to share some important faulty tech warranty advice.

If you’ve bought some tech, it’s gone faulty and you’ve taken it back, do not allow them to fob you off by saying: ‘I’m sorry. It’s out of warranty. We can’t do anything.’

'Let’s be very plain here. Your warranty is a voluntary service agreement that a shop or a manufacturer chooses to give you over a product. But you also have statutory legal rights, and they say goods must follow what I call the SAD FART rules,' Martin Lewis explains. These are your consumer rights.

'In other words, they must be satisfactory as described (that's your SAD), fit for purpose, and last a reasonable length of time. And the last one is crucial – items must last a reasonable length of time, provided that you have behaved as you should with them.'

So now you may be thinking, what is a reasonable length of time? Martin Lewis explains it simply. If you bought a 50p whistle and it broke after six months, that's pretty reasonable. However, if you bought a £1400 phone and it stopped working after 14 months? Arguably, that isn't reasonable.

'Ultimately, only the court decides. But it’s crucial for you to understand: warranty schmarranty,' the money-saving expert warns.

If you've got faulty tech and you don't think it satisfied the 'SAD FART rules', go back to the retailer and demand a partial refund, repair, or replacement.

So if there's some faulty tech you've been meaning to return for a while now but had originally given up due to 'warranty' restrictions, this is your sign to go and exercise your rights as a consumer.

In the words of Martin Lewis, don't be fobbed off. After all, warranty becomes pretty irrelevant when it comes to the law.

Do you often find yourself asking 'why is my water bill so high?' As water bill prices are set to see a record increase from April, many are keen to find ways to cut costs and save money on water bills ahead of the rise.

It's oftentimes that we don't even realise the little things that are unknowingly adding to the number on our water bills – but it's not all doom and gloom, as it's simple to reduce these costs just by making some small changes.

Why is my water bill so high? The 5 most common reasons, explained by experts

We've asked the experts to weigh in and help us identify the 5 most common reasons to help you answer the question, 'Why is my water bill so high?' Here's everything you need to know so you can take steps to help reduce this area of your utility bills.

1. Fix any dripping taps

Polly Shearer, design expert at Tap Warehouse advises that it's 'crucial to fix any dripping taps in your bathroom and kitchen rather than ignoring them, as something as minor as this can make your water bill skyrocket.'

'A trickling tap can waste over 450 litres of water a day, costing you a shocking £300 extra on top of your water bill each year.' Luckily enough, you can fix a dripping tap and fix a leaky showerhead at home yourself by following the right guidance.

2. Check for leaks

Following on from dripping taps, water leaks can also cause your water bill to skyrocket. Julian Hobday at KindWater explains that 'this is because when pipes leak, water is continuously flowing through the system, even when you're not using the appliances.' Therefore, it's important to be clued on how to spot the signs of a leak. 

James Longley, managing director at Utility Bidder advises checking underneath your home appliances like washing machines and dishwashers for any leaks. Water leaks are oftentimes also associated with damp and condensation on walls and ceilings.

Polly Shearer at Tap Warehouse warns that a leaking toilet can waste up to 400 litres a day, which is enough to fill five whole baths. That's a lot of wasted water. 

3. Meter inaccuracies

Around half of UK households have a water meter, which has on average helped those who use one use less water and save money as a result. However, Julian Hobday at KindWater warns that an inaccurate meter reading can lead to a higher water bill.

If you suspect that this could be a reason, Julian advises contacting your water utility company to request an inspection. 'If the meter is inaccurate, damaged, or beyond repair, it will most likely need replacing, which is a service the water company should provide for free.' 

4. Changes at home – new home appliances, hosting guests, etc

We often miss out on this one in our calculations: slight changes in our day-to-day routines. James Longley at Utility Bidder explains that 'new appliances such as washing machines or dishwashers can use more water than your old ones.'

'The average person uses 140 litres of water each day,' but factors such as recently having guests over, or spending more time in your home will inevitably increase your water bill.

5. Hard water

This one is quite a lesser-known reason why your water bill may be so high: the effects of hard water on your water system. 'Hard water contains a high amount of magnesium and calcium which leads to limescale build-up on pipes and appliances, damaging and reducing their efficiency,' explains Julian Hobday at KindWater.

'Decreased hot water efficiency means it will take longer for appliances like showers to provide a decent amount of hot water, driving up bills.' It also takes longer for your soap to lather, making you spend longer in the shower.

An easy way to spot hard water in your water system is the prevalent build-up of limescale. Julian Hobday advises those affected to consider buying a water softener. In turn, 'you could save up to £1100 a year across household bills, washing and cleaning products, and appliance maintenance.'

Of course, above all, it's important to consider and be more mindful of your water usage to ultimately cut costs, but we hope these reasons will help connect the dots to explain a sudden hefty water bill.

As the rising cost of living continues to stretch household budgets, it's no wonder we're looking for ways to boost our incomes to ease the pressure. If you're looking to bring in some extra cash, it's worth considering all the ways to make money from your home. 

This can be incredibly tempting if you are struggling with rising inflation and are worried you might not be able to pay your mortgage.

The key to making money from your home is to hone in on your home’s strengths and advertise them to the widest possible audience. 

Joseph Seager who runs money website thriftychap.com says: 'By focussing on what you already have you can unlock the value and assets of your home. Firstly, you need to consider the huge positives and stand-out qualities of your property.

'Look at the assets that your property has and what is needed in your local area. That way you can access those money-making opportunities that the value of your home has to offer.'

1. Declutter and sell unwanted items

If you're making changes at home, whether you're getting a new sofa, buying a new bed, or upgrading your child's bedroom furniture as they grow, it's an opportunity to make some money. 

If you're planning on getting rid of furniture that is in good condition, try selling it on Gumtree or Facebook Marketplace to make a bit of extra money. Buyers will usually try to haggle to get the best deal, so it's a good idea to have a minimum amount you're willing to accept in mind before you list your items for sale. 

You can also stipulate that items are available for collection only so you don't have to worry about arranging delivery of large bulky items. 

In addition to furniture, you could sell homewares, soft furnishings and clothes to make a bit of extra money (and ease space pressure in your home at the same time).

To maximise how much you can earn, take clear photos in good lighting, show different angles, and write clear and accurate descriptions of what you are trying to sell. 

2. Get a lodger

Let out your spare room to a lodger and pay no tax on rent earned up to £7,500 a year through the government’s Rent a Room Scheme. The allowance applies to rent before expenses are deducted but you can add earnings from cleaning or cooking services you provide. 

You can find lodgers on websites like Open Rent or Spareroom.com or ask friends or neighbours if they know anyone in need of a room to rent. If you take in a lodger you’ll no longer be able to claim the single person’s council tax discount of 25%, unless the lodger is a full-time student. Swot up on your legal responsibilities such as having an annual gas safety inspection and installing smoke alarms.  

3.  Rent out your parking space or driveway

If you live in an area where it’s difficult to find parking, like cities, town centres or near transport links you can earn extra cash by renting out your car parking space or even your driveway.  Similarly if you live near an office block or a short walk from a hospital, you will be much more likely to find people looking for affordable parking so the value of your driveway is much higher as your supply meets the demand. 

Advertise your parking space for one day stays or up to a month on websites such as Just Park, Your Parking Space and Park Let. All sites offer free apps. Some sites offer free listings and then charge commission when you rent out your space. 

On average you can make £1,012 a year, according to Your Parking Space. London leads the table generating owners on average £2,056 a year followed by Edinburgh and Manchester. The website says this simple way of making money is growing in popularity. Last year its registrations climbed by 27% to 108,000. 

4.  Got an electric car? Earn cash from your electric vehicle (EV) charging point 

If your driveway has an EV charging point you can charge more for your parking space. According to Your Parking Space, homeowners who have a charger can make around £85 a month by offering drivers the chance to charge up while they’re parked compared to £73 a month for parking spaces listed without a charger. 

You can make money from just the charger itself, by letting neighbours and locals use your charger for a fee. Apps such as Co Charger and Just Charge connect you with drivers and help you set your tariff to cover electricity costs and make a small profit. 

5.  Make money from your shed or garage 

There are a couple of handy ways you can make money from your shed or garage (or what's in it. You can either rent out your garage or shed as storage space or advertise your tools for hire and make money from kit you don’t use often. 

To rent out your space visit websites such as Stashbee, Storemates and Just Park. Some sites even let you rent out loft and basement space. You could earn between £50 to £150 a month for your garage and from £5 a month for loft space. 

To make money from your tools, try websites Fat Llama or Library of Things if you live in London and Brighton. A google search of ‘tool library near me’ will bring up options local to you. Earnings depend on the item. For example, a wallpaper stripper could generate £16 a week and a sander or drill could earn you £32 a week.  

6.  Sell excess power back to the grid

It might sound implausible in these times of sky-high energy bills but homeowners who’ve invested in solar panels can end up generating more energy than they need. This can then be sold back to the grid.  

Energy expert Martin Evans from sustainability specialist Malthouse Consultancy says: 'The more solar panels you have, the more you power you generate, the more money you can make.' 

Martin has solar panels at home and uses two thirds of the energy he generates and exports the rest back to his energy supplier. His supplier then pays him 5p per kilowatt hour and this figure is expected to rise. 

To do the same, you will need to have solar panels installed (which can be expensive), but you will likely be able to make the money back through significant savings on your bills. Once you have solar panels, you will need a smart meter and  to be on a special tariff with your supplier. The money automatically comes off your energy bill. 

7.  Open your door to holiday makers 

If you don’t want the commitment of a long-term lodger you can let out your home through Airbnb and earn up to £1,000 a week depending on where you live. Popular coastal towns or homes in or near desirable cities will attract the most visitors. 

But if you're thinking of doing this, you need to check with your mortgage lender first. Not all lenders will allow you to do this which means you’d be in breach of your mortgage contract. You should also check in with your home insurance provider to see if you're existing policy is suitable or whether you need any additional cover.

Hosts pay 3% commission to Airbnb per booking. Plan your own holidays around events in your local area that are likely to draw a visiting crowd. That way your home is making you money while you enjoy a break.  

8. Keep an eye out for any grants or benefits you could be eligible for

There are numerous grants for homeowners available that can help you make your home more energy efficient, meaning you can reduce your bills and keep more of the money you earn in your pocket. 

Depending on your circumstances you might also qualify for things like the Cold Weather Payment or Winter Fuel Payment to help you with high energy bills in the winter. 

Similarly, it's also worth checking whether you are eligible for a council tax reduction or making sure you're in the correct council tax band to help reduce your outgoings each month. you could also try changing how you pay council tax, and paying your annual bill over 12 months instead of 10. 

As water bill prices see a record increase from April this year, many households are now more than ever looking for ways to save money on their water bills.

As many have taken on becoming proactive in finding ways to save energy at home, following the cost of living crisis, the same claim can be made for all utilities. From cutting down the time spent in the shower to making home appliance swaps, there are many ways for people to manage their utility bills and cut down on the extra expenses if it can be helped.

Here are 4 expert-led tips to know if you're looking to cut costs and bring those figures down.

How to save money on water bill – 4 top tips

1. Trial a water meter

Greg Marsh, founder of Nous.co advises investigating whether getting a water meter fitted, rather than paying a fixed charge, as it could save you money.

'Your water provider will be able to tell you if you can save money by getting a meter, or alternatively, there are a number of online calculators that will let you check based on your household usage.'

It's important to check for yourself as it's on a case-to-case basis whether you'll be saving more, but often those with water meters tend to spend less as they're more conscious about their usage.

2. Avoid boiling more water than you need

Using the best boiling water tap for your needs could also save you a lot of water in the kitchen as, in this instance, you never boil more water than necessary. Stephen Johnson, managing director at Quooker UK says that 'the tap will only deliver the exact amount of water you're using, whether it's for a large pot to boil pasta for the whole family or for a single cup of tea.'

If you're looking to adopt a similar practice without investing, then measuring out how much water is needed in your mug for tea or coffee before pouring it into the kettle or onto the hob is also a viable solution.

3. Use the eco cycle on your washing machine

Laundry is often one of the biggest culprits for water consumption in your household, so cutting the cost of laundry in turn means cutting down your water usage. This can be achieved by using the eco mode on your washing machine.

'Although eco cycle or programmes vary by each manufacturer, they essentially are a dedicated energy efficient cycle that uses less energy and less water, all while achieving the same washing result as an average daily cycle,' confirms Elliott Gee, laundry product manager at Haier Europe.

4. Shower smarter

Given the cost to run a shower, many are already looking for ways to save. Research has shown that you could save up to £128 on your bills by going for a 4-minute shower instead of a typical 8-10 minutes.

Additionally, investing in a water-saving showerhead like this one from Amazon can also help you save in the long run. Paul Stringer, director at Norton Finance says, 'Water-saving showerheads are widely available for under £10, and switching can save £76.91 per year.'

'Here’s how the numbers work: showers cost £256.36 annually on average for a family of four. By changing your showerhead to a more efficient £8.99 water-saving showerhead, you could use up to 30% less water per shower.'

And of course, even if after these quick fixes you find yourself still unable to manage, get in contact with your supplier or go to watersworthsaving.org to seek advice.

At the end of the day, it's all about every little that can help, as it's these small changes that ultimately make the impact in the end.