Martin Lewis Money Show – live: Fixed savings accounts offering highest rate since 2009
Consumer champion returns with hour-long live special on ITV
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Savings rates are at their highest since 2009, with fixed-rate accounts now offering interest as high as 4.85 per cent, the MoneySavingExpert founder has said in a special live episode of the Martin Lewis Money Show.
Consumer champion Martin Lewis touched upon ISAs, savings rates and investment fees in the latest installment of the series on Tuesday night.
He and co-host Angelica Bell have been taking questions from concerned audience members this month on ITV in a series of hour-long live specials aimed at helping people weather the cost of living crisis.
The series first aired in 2012 – during the government’s austerity drive – in half-hour installments, and since 2016 has broadcast a series of longer live specials to help viewers with the likes of Brexit and the coronavirus pandemic.
The latest series comes as households across the UK struggle to contend with soaring energy bills, rising food costs and higher interest rates, as new prime minister Rishi Sunak warns of “difficult choices” ahead as he seeks to fill the vast gap torn in nation’s finances.
And that’s it from the Martin Lewis Money Show tonight, thanks for following along here.
Viewers in England told how to pick up free pack of beer
Martin Lewis has advised viewers in England that they can pick up a free four-pack of Heineken Silver beer at Tesco using a new voucher.
NHS workers advised to get Blue Light discount cards
Those who work in the NHS have been advised to pick up a £5 Blue Light card, which claims to offer more than 15,000 high street and online discounts at large retailers and local businesses, including restaurants, for health workers and other emergency service workers.
Viewers urged to check if they are eligible for tax-free childcare
Martin Lewis urges viewers to check whether they are eligible for tax-free childcare.
Those with children aged three to four are usually due 15-30 hours free a week, applied to 30 to 40 weeks of the year, Mr Lewis says.
If you are eligible for tax-free childcare, you must be working 16 hours or more per week, earning a minimum of the national living wage. You put in 80p and the government puts in 20p up to a maximum of £2,000 per year, he says.
Viewers ask what constitutes a sensible investment fee
Asked what a sensible investment fee would be, chartered financial planner Sarah Lord says that the fees vary significantly.
Consumers should be aware that they do pay higher fees in the first year due to the cost of setting up those investments, she adds.
If you’re investing in active fund management, fees could be up to 1.5 per cent per annum, Ms Lord says.
If you are considering investing your lifetime savings, seek out an independent financial adviser, says Martin Lewis.
Look at a longer timeframe if considering stocks and shares ISA, financial planner says
Chartered financial planner Sarah Lord says that if you are looking to invest in a stocks and shares ISA, you should look at a five-year or longer time-frame.
The best part is you don’t pay any tax on your income from the shares, and capital gains tax is applied when you sell your investment if you make a gain.
People should “drip-feed” their investments given the current instability of the markets, Ms Lord says.
Martin Lewis asks whether people should ‘use or lose’ their cash ISAs
Martin Lewis is talking about the Personal Savings Allowance.
He says far more people now will be paying tax on savings in their ISAs.
He asks whether people should “use or lose” their cash ISAs, in which you can put up to £20,000 per year tax-free.
If you’ve not got a tax ISA but you pay tax on some of your savings, he suggests you should open an ISA an put your taxable savings in.
Viewers asked to vote in poll on premium bonds scenario
The MoneySavingExpert founder is asking people with Twitter to take part in a poll in which he asks viewer’s opinions on the best way forward in a scenario in which two young siblings are gifted premium bonds by their grandmother.
“Against the odds one wins £50,000. Should the parents ask the winning child to give 1/2 to their sibling or leave it as winner takes all?” he asks.
People urged to use government’s Help to Save scheme
Martin Lewis urges people who are eligible to take advantage of the government’s Help to Save scheme, savings accounts which allow certain people entitled to working tax credit or receiving universal credit to get a bonus of 50p for every £1 they save over 4 years.
Top fixed saving rates now 4.85%
The top fixed rate interest savings accounts are now 4.85 per cent – the highest since 2009, Martin Lewis says.
These are guaranteed rates, however you are unable to access the cash.
For those considering changing banks, he says to wait a week and see what happens to fix rates. However, Mr Lewis urges those who have not changed bank in years to do it now.
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