As of 6 October, millions of savers aged 50 and over will be able to increase the amount of money they put away into tax-free Individual Savings Accounts (ISAs).

The changes were announced in the chancellors 2009 Budget in July this year.

Before today, the annual ISA allowance for all UK savers was £7,200, of which a maximum of £3,600 could be deposited into a cash ISA. The limit has now risen to £10,200 for many, with up to £5,100 that can be put into a cash ISA and the remaining into an investment ISA, or the full £10,200 into an investment ISA.

All savers aged under 50 must wait until the new tax year – 6 April 2010, before being able to take advantage of the new limits. (more…)

The Bank of England has today announced its base rate will remain at the record low of 0.5% for the sixth month running.

It also reported that it would continue to inject up to £175 billion into the economy as part of its quantitative easing scheme, but this amount will not be extended further.

This follows a number of recent surveys that suggest the UK has begun to emerge from the recession.

But the Bank said the recovery would be “slow and protracted” and that it is likely to be months before the full impact of its policies is seen.

The recent optimism about the future of the UK economy has had a positive affect on the FTSE 100 index, pushing it above 5,000 points for the first time since October last year.

Data published this week has shown that July saw manufacturing output in the UK increase at its fastest rate in 18 months. (more…)

Credit cards are proving an effective way for parents to pay for their kids’ school lunch, it has been suggested.

Parents are increasingly using their credit cards to pay for their children’s school dinners, it has been revealed.

In a number of systems currently being trialled across New South Wales, mums and dads visit an online bank account to order food for their little ones, using their cards to charge their child’s account with credit, the Daily Telegraph reports.

And when it comes to lining up in the school canteen queue, the Aussie credit system means that children do not have to keep physical money on them, something that can reduce the chances of them being targeted by school bullies, as well as losing their cash.

Commenting on the Munch Monitor programme at the Holy Cross Primary School in Sydney, parent Harry Inns claims: “It’s another step towards the cashless society. The idea of not having to put the exact money into brown paper bags works really well.” (more…)

People are being flooded with low card fees, rewards points and other incentives in an effort to take out credit cards, it has been reported.

Australians are increasingly being encouraged to take out credit cards, it has been revealed.

Indeed, a Business Day article points out that marketing activity by banks has risen as of late, with people offered cards which come with an interest free period on purchases, more reward points, increased spending limits, reduced card fees and other incentives.

Christopher Zinn, spokesperson for consumer group Choice, states that recent months have seen a “free-for-all” in the credit card market. (more…)

Finding the right credit card for purchases isn’t difficult but there are several important points to consider.

High interest rates, interest-free periods, special offers and other credit card deals should all be taken into account when trying to find the right credit card for purchases.

These are considered – point by point – below with the aim of familiarising the reader with the basics of credit card comparison. (more…)

The energy regulator has warned that energy bills in the UK could rise by as much as 60% by 2016-17.

However, the Ofgem report pointed out that this would be the spike in prices, with an estimated rise of between 14% and 25% above inflation by 2020.

The report also highlighted that up to £200billion in investments was required to ensure there are sufficient supplies and to meet carbon targets.

The regulator said that power stations nearing the end of their use and volatile gas markets were the key concerns.

The report came from a scheme started by Ofgem earlier this year called Project Discovery, which outlined four possible scenarios for energy use and security for the next 10 to 15 years.

The need for investment came at a time of volatile global energy prices and Britain’s increasing dependence on gas imports.

This exposure meant that supply disruptions across the globe could affect prices. The scenario that could see energy prices rising by 60% was that of a strong resurgence in global economies, as well as missed renewable and carbon targets, with no nuclear facility built by 2020. (more…)