In the midst of yesterday resignation speech by Tony Blair, the Bank of England announced a quarter point rise in interest rates, which now stand at 5.5% - the highest level for 6 years. There is also a consensus of opinion that rates will be rising yet further in the months ahead.
While the Working Tax Credit system was a great idea in principle, in practice it has become the biggest “White Elephant†since the Millennium Dome. Having cost the tax payer £500 million in write-offs so far, it has been reported that there is a further £1.5 billion which has been earmarked as “not recoverableâ€, taking the total write offs to £2 billion!
The number of people who are in major financial trouble has risen substantial over the last few years, with a record 30,000 declaring themselves insolvent in the first quarter of 2007 alone. When you bear in mind that there were just 13,000 cases in the last quarter of 2004, you can begin to see how the rate has picked up. While there are signs that the rate may be “flattening out†the situation will surely get worse before it gets better.
What Next?
While your later years are supposed to be the best of your life, a time to relax, a time to enjoy your hobbies, many are suffering from debt worries - with more than ever actually expecting to go “insolventâ€. How can this happen?
While a generation ago the situation was much different, with lower taxes, energy costs a fraction of today’s and a better standard of living for the older generation, the situation has changed dramatically over the last 20 years. While the political parties fight over the younger vote and the working vote, it seems that the older generation of society have been forgotten.
Solicitor Tom Brennan has accused NatWest of injustice, abuse of power and unlawful conduct over the amount of overdraft fees charged by the banking giant. While Mr Brennan has actually made it to court this time (after various delaying tactics by NatwWest) and been allowed to detail his claims, the court case has yet again been adjourned until a later date.
In a move which has angered many consumers and caused widespread
disbelief, HSBC have announced plans to create the country’s first walk in branch for “wealthly†customers.
The move is being piloted in the upwardly mobile area of Canford Cliffs,
near Poole in Dorset which boasts some of the most expensive properties in the UK. What is the basis of this new service?
