Consumers’ finances squeezed further with fuel price hikes

At a time when the Government are taking measures to help people with soaring gas and electricity bills, research from Combined Insurance outlines that Britons are still on the financial edge, struggling to make their pounds stretch further.

The community insurer, which has tracked people’s actual monthly spend on bills and living costs since 2006, disclosed that the cost of living has risen by 26% in the past two years. Over half of Britons have had to deal with an unexpected rise in utility bills in the past three months (53%); price hikes that are placing a further squeeze on families across the UK who are worried about how they will meet their monthly financial commitments.

Previous research from Combined Insurance revealed that more than a quarter of people have no savings to fall back on in case of emergency (26%) leaving few Britons financially prepared for the worst, should it happen to them. In fact, more than a third of Britons (34%) would face financial ruin after just twelve days should they suffer a sudden loss of income.

Nigel Brittle, Director at Combined Insurance commented: “We understand that at a time of economic uncertainty people are worried about making ends meet, however Britons should be wary of cutting back on financial protection that will safeguard their most important assets; their health and their income.

“Although the Government are taking steps to help to those who are suffering the most during the credit crunch not everyone falls under their criteria, which is why now, more than ever, people should be taking every precaution to reinforce their financial safety nets in order to protect themselves should the worst happen”.

For more information, visit combinedinsurance.co.uk