Kamis, 03 Mei 2012

Consumers fear worst for finances as double-dip recession hits

Consumers fear worst for finances as double-dip recession hits

By Joanna Robinson

PUBLISHED: 12:11 EST, 3 May 2012 | UPDATED: 12:19 EST, 3 May 2012


As the UK has plunged back into recession many Britons fear the worst for their finances, a new survey has found. 

More than a third of people are more concerned about their financial situation as a result of the double-dip, according to the study by MoneySupermarket.

A further 14 per cent said the news of the recession will make them cut back on non-essential spending and almost a fifth say they will now look for ways to make their money go further.

Stressed woman pouring over bills

Financial fears: more money worries for consumers as double-dip hits

Fears over the double-dip recession are likely to provide a further drag on already weak consumer confidence and spending.

An insight into why people have been cutting back comes from separate research conducted earlier this year by the online comparison website, which highlighted Britons' biggest financial fears for 2012, with the primary concern for most being the rising cost of utilities.

After a winter of rising fuel bills, consumers faced an increase in water prices in April, and stand to see prices rise further after the possibility of another increase was announced to fund the cost of installing water meters into thousands of homes to prevent future droughts.

Consumers are ten times more worried about the cost of their utility bills than they are about meeting their monthly mortgage repayments, according to the research.

Cutting the cost of energy bills is possible though, and switching energy supplier can see consumers who have never done so saving as much as £300, according to energy comparison site EnergyHelpline.

The double-dip explained

 A recession is defined as two consecutive quarters of economic decline.

A double-dip is a second recession before a full recovery from the initial slump.

Even worries about paying off debts slipped below concerns about the cost of living, with rising food and petrol prices causing more concerns among consumers than worries over being made redundant and trying to find a new job.

An increase in the cost of living combined with a lack of pay increases - the surprise rise in inflation in March showed price rises not easing as forecast - has squeezed household incomes even further.

Kevin Mountford, of Moneysupermarket said; “The nation will no doubt be looking for ways to make every penny count and now is the time for households to use the opportunity to review all their finances and find ways to boost their income."

Not being able to save money and the falling value of savings also ranked in the top ten of consumer’s financial fears.

This is Money has highlighted saving accounts which match and in some cases beat the rate of inflation here, giving consumers the ability to stop their savings losing real value against inflation.

Top financial fears for 2012

1. Rising cost of utility bills
2. Rising cost of food
3. Rising cost of petrol
4. Losing my job
5. Not being able to save money
6. Falling value of savings/investments
7. Cost of major household repairs     
8. Not being able to pay off debts
9. Rising transport costs
10. Not getting a pay rise or bonus
11. Not being able to meet mortgage or rent repayments


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This country will never recover as long as they keep taxing an over taxed, unemployed, benefit ridden population. They keep biting at the hand that feeds them, and soon there will be nothing left to take. The banks and government could bring this country out of recession tomorrow if they wanted too, but there all in it together, greedy, pompous criminals all of them

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The Double-dip Recession are the words used by rich people who have never been in the 1st Recession. Which has Not ended yet will Not because our Mickey Mouse government giving all the Billions of Tax-pays £s to the EU for the Collapsing euro. Also to keep the Germans happy.

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