2022 - Personal Finances UK - Manage Your Money Wisely

EPC Guidelines Are Changing – How Can You Fund the Adjustments You Need to Make?

by Aidan Andrews on September 13, 2022

EPC ratings, or Energy Performance Certificates, were first introduced in England and Wales back in August of 2007. This scheme summarises and thereby regulates the energy efficiency of properties and buildings. Using a rating scale from G (meaning inefficient) up to A (very efficient) these regulations not only show the efficiency of a building but also includes tips to improve the rating of your home’s energy.

As costs of living continue to increase, you need to do all you can to improve your home’s efficiency while reducing your expenses. The funds needed to improve efficiency can feel daunting and things are only going to go up as inflation affects every area of our lives. EPC requirements are becoming stricter too, as the issues of climate change influence governing bodies to enforce harsher restrictions that result in modifications to regulations and therefore it’s essential to be able to adapt to changing times.

How Much Could it Cost?

The expense involved in constantly bringing properties up to regulation standards is not a minimal one. An expert from property finance comparison site Propp confirms that expense of improving an EPC rating can be high. In fact, it could be up to an additional 10 per cent of the cost of a new property, so it needs to be something you need to start thinking about and budgeting for as soon as possible. As material costs go up in the current economic climate, these expenses are only going to go up too. If you don’t make the necessary changes, you’ll face considerable restrictions and limited opportunities when it comes to investing in or selling on the property in the future.

What Can You Do to Stay Up to Date?

With the current shortage of building materials and manual labour workers, you’re going to have to put aside quite a pretty penny to afford to keep up the date. The deadlines for EPC improvements are quickly approaching, so now is the time to start making plans. However, when everything is going up in price, how can you afford to make such drastic changes to a property? Fortunately, there are a few helpful suggestions to assist with the financial side of this situation.

Financial Help in a Time of Need

In the Chancellor’s Spring Budget, it was announced that VAT would be removed on energy saving materials. It might not seem a lot, but it will most definitely spur on your determination to make changes for the improvement of efficiency. Just 5 per cent less on items here and there will add up to make a big difference.

There are also funding options available for consumers wanting to improve their EPC rating. As you can imagine however, as deadlines edge ever nearer and costs climb ever higher, it’s worth looking into these options as soon as you can to avoid disappointment.

Furthermore, with the help of specialised property finance comparison sites, you can compare the costs of financing options. If you just need a short-term fund and are hesitant to tie yourself into any long term agreements, you might decide to go for a second charge bridging loan, or a refurbishment bridge. These may work out to be suitable option that will help you cover the immediate costs without a commitment to a lengthy contract.

The Bottom Line

Ultimately, there is no choice but to try and stay relevant and up to date by working to follow regulations and making change to improve efficiency when it comes to property. It may take some time and effort on your part to research the guidelines and what you can do to meet them, but ultimately it will be for your own good. You don’t have to make these changes alone – with a little investigation you can find a reliable financing solution to help you to deal this new and developing challenge.

Finance

Reasons to Consider a Tiny Home

by Aidan Andrews on August 31, 2022

People used to dream of living in a big house, but there has been a shift in this trend, as an increasing number of homeowners now go for tiny home living. It doesn’t show any sign of slowing down, so expect to see the tiny house trend continuously grow in popularity. Whether you are planning to buy a new house or build one, you may want to consider having this type of home. There are various benefits to it, including the following:

It’s customisable

You can easily customise your tiny home to fit your needs and maximise the space. Even if it’s small, you can be creative and smart with the design to have everything you need in your place. Some examples are having a loft bed and foldable tables that you can fold when not in use.

It’s environment-friendly

Since it’s small, there are fewer resources to use in building it than an average full-sized home, which is good for the environment. You also save on your utilities like energy and water bills since you will consume less. Moreover, other tiny homes are equipped with solar panels for a renewable power source. Others are designed to collect rainwater.

It’s more affordable

A full-sized home can be expensive. However, since a tiny house is smaller, it’s cheaper to build or buy. Although it generally costs less, you should still work on your budget to ensure that you don’t exceed what you can afford. A financial adviser can help in planning or managing your finances, not just with your new home, but finances in general. If you reside in Kent, it’s best to consult with a financial adviser Kent specialist instead of finding one in another location. It’s more convenient and quicker to reach a specialist within your area.

It’s easy to move

You can also go for a tiny mobile home, especially if you love travelling. Hitch it in the trailer and conveniently move from one location to another. You don’t have to experience the hassle of packing your things when moving as you can take everything with you in one go.

It’s easy to maintain

Since it’s small, it’s easier to maintain. The upkeep is quicker as you can check all parts conveniently and take care of the needed repairs immediately. Even if there are things to fix, they may not cost you that much. Furthermore, cleaning the house is also faster because of the size. Keeping it clutter-free is simple as long as you put things back in their places after every use. It saves time, so you can do other important things, as well as spend time resting and relaxing.

It helps you spend less

The limited space you have lets you focus on the essentials. It prevents you from hoarding or buying unnecessary things as you can’t store them in the house. Thus, you can save money as it motivates you to spend less.

Big is not always the best option; a tiny house can be an excellent choice, as long as it meets your needs and works with your lifestyle.

Accountant

Boost Your Small Business by Hiring an Accountant

by Aidan Andrews on June 10, 2022

Small businesses need all the help they can get if they want to succeed. Fortunately, several services can help a small company. They can ensure that you have the expertise you need even without hiring a full employee. One of the essential experts you should hire is someone to help with your accounting. Several accountants in Central London can ensure that your books are always correct. However, many business owners hesitate to hire professional accountants. They should, and here are some reasons why.

It eliminates a lot of errors

One of the biggest problems small businesses face when handling their accounts is the various errors that can sneak in. If you are doing your accounting, you might not know what you should be keeping track of. For example, you might not be aware of all the intricacies of UK tax law. The result is that you might miss a deduction or two that needs to go to the government. A single mistake can cause problems for your business when the tax agency finds it. Accurate accountants also ensure that you have the correct information about your cash flow. It will allow you to make better decisions about your business.

Reduce your workload

Another bonus to hiring a professional accountant is that it reduces your workload. As a small business owner, you likely do the most critical work in the office. Keeping the books becomes your default responsibility. However, you likely also have a lot of other work to do. If you pass on the accounting job to someone else, you can be sure that someone is working on it. No need to rearrange your schedule anymore to fit another job. It will also allow you to focus on what is essential for your business,

Help with planning

The key to a successful business is planning. You can prepare for future purchases and payments with the right strategies. For example, many accountants would recommend setting aside money every month to pay your taxes at the end of the fiscal year. It ensures that you won’t end up having to scramble for cash when the tax season arrives. In addition, you can use this planning help for other expenses in your business. As long as you make the right plans, potential expansions and costs will not burden you.

Have the answers at your fingertips

When you run a business, there will be times you need some solid business advice. Professional accountants will have a lot of experience working with various companies. This knowledge can be valuable for new business owners who need some help. In addition, your accountant can give you answers on how other businesses handle multiple situations and can even suggest what the company can invest in.

A good accountant can be worth the fees they charge. The reasons above should explain why it is advantageous for your business to hire one. Start looking for an accountant or accounting firm that has a solid reputation so that you can trust them with your bookkeeping.

Image: https://unsplash.com/photos/5fNmWej4tAA

Investment

All you need to know about the British stock exchange

by Aidan Andrews on January 3, 2022

The U.K’s capital is a global hub for finance and a centre for fintech, or financial technology. It means there are many investment opportunities in the U.K., including the London Stock Exchange (LSE). The LSE is one of the oldest stock exchanges globally and has been operating since 1801! In this article, we will discuss what you need to know about buying shares on the LSE, from choosing a broker to the rules of trading.

A significant advantage of using brokers who operate on an online platform such as XTB is that they often have reduced fees compared to other brokers, so it’s essential to consider your fee structure before opening a trading account with an investment firm and starting your stocks trading journey.

When you’re ready to start buying shares on the LSE, there are a few things you need to know.

Market order/limit order

The first is that there are two ways to trade: a market order or a limit order. With a market order, you buy or sell at the best available price when your order is placed. On the other hand, a limit order allows you to specify the maximum price you are willing to pay or sell for, and your order will only be executed if the stock hits that price.

Spread

Another thing to be aware of is the ‘spread’. It’s simply the difference between the buying and selling prices of a stock, and it’s how brokers make their money. The wider the spread, the more likely you will be charged a brokerage fee. However, brokers which offer low-cost trading may have spread as low as 1p per share, so this should always be factored in before choosing a broker.

Buying strategies

Furthermore, there are several buying strategies to consider when making your purchase. The first is ‘market timing’. This strategy uses simple buy and sells rules, which can be subjective or objective. For example, a market timer might choose to buy shares if they’re available at a price lower than their target price. Another method is called ‘scaling’, where investors gradually increase their position over time.

Place an order

After you’ve decided which stock to invest in and opened an account with an LSE approved broker, it’s time to place your order.

When you’re ready to buy your first stock, there are a few things you need to consider:

The number of shares and the price you want to pay. You can use those parameters to make several orders, such as market orders or limit orders. A market order is an instruction from investors to buy or sell a security at current market prices, which means they’ll be executed immediately and completed instead of limited orders.

With a limit order, you can specify the price you wish to trade at, and if that value is met, you will go through with the transaction – but if it isn’t completed, then no sale will take place. The other strategy for placing trades is known as ‘stop-loss orders. A stop-loss order is an instruction to your broker to execute a transaction on any security you specify if it falls below (or above) a specific price. It helps traders minimise their losses if a stock rapidly declines in value.

As well as placing market and limit orders, there are several conditional trades available on the LSE. The first is called a One Cancels Other (OCO) order, which allows investors to place two different simultaneous transactions with the knowledge that only one will be executed. If one order does not run before another, it will be automatically cancelled.

Stop loss order

Another strategy for beginners is the well-known Stop Loss Order, where you instruct your broker to sell the stock if it reaches a specific price. It’s used to minimise potential losses, but investors using this strategy should be aware that if the stock doesn’t hit the Stop Loss Price, their order will never be executed.