Business and Finance
Hit new heights in 2014 with a money makeover: Your complete guide to coping with the big changes heading your way
A boost to tax-free savings, ‘simpler’ fuel tariffs and new current accounts from challenger banks are all in the pipeline for next year. That’s after 12 months of falling mortgage – and savings – rates, rising energy bills and the sell-off of Royal Mail.
For anyone starting afresh with their finances, LAURA SHANNON gives the rundown on what to expect in 2014.
Rules overseeing the banking industry have been rewritten this year to ensure taxpayers don’t foot the bill for any future failures.
High street banks will be split from their investment counterparts by the Banking Reform Bill, passed less than a fortnight ago. But further changes will come in 2014. This follows a smarter and faster method for customers to change banks – known as the Current Account Switch Service.
A new range of current accounts is awaited from Tesco Bank, seen as the first mass market challenger to the ‘big five’ banks on the high street. ‘No doubt loyalty will play a big part of the offer, probably linked to its own Clubcard scheme,’ says Kevin Mountford, of comparison website MoneySupermarket.
Meanwhile, TSB will float on the stock market, severing all ties with Lloyds Bank. It will then be in a better position to shake up the current account range it still shares with its former parent bank.