Energy price rises, the increase to National Insurance and high inflation are creating huge challenges for many households.
According to GoodMove, 83% of British households have reported their cost of living has increased compared to last month.
Whether you are saving for a home, preparing to remortgage or simply finding the mortgage repayments difficult in these testing financial times – implementing methods to cut your spending will no doubt be top of your priority list at the moment.
As such, GoodMove has put together some tips to help you reduce your bills and enable you to save a bit more of your cash.
Nima Ghasri, director at GoodMove said: “We all know how quickly household bills can add up, and with costs increasing, it can be difficult for Brits to get a hand on their finances.
“Luckily, there are multiple ways in which you can reduce your household bills but it’s all about knowing where to start so we decided to pull together some of our top tips in the hopes of helping you save some cash.”
Not only will these ideas help you to reduce the day-to-day spend but these tips will also help you get your finances in good shape for a mortgage or remortgage.
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Become more energy efficient
An easy way to save on your energy bills is to remember to always switch off appliances at the plug and use energy saving lightbulbs. Turning all your electrical appliances off rather than leaving them on standby can save you around £35 a year.
When washing your clothes, do so at a lower setting as this reduces the temperature, which in turn reduces your energy consumption.
We’d also recommend reducing the number of washing machine cycles you do, so always wait until you have a full load before switching on your machine.
Don’t tumble dry as much either – hang your washing outside or on a clothes horse inside to cut down those costs.
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Making savings on your broadband
While having fast wi-fi is massively important to many of us (especially with more of us working from home than ever before) there are ways you can try to save some cash. Do you really need the deluxe broadband package, or the fastest speed intended for a family of five? If not, reduce your package.
Haggling with your supplier is another way you can try to reduce costs; as the saying goes, if you don’t ask, you won’t get. Make sure to stand your ground and try to negotiate a lower price or some other incentive.
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Cut the cost of your water bill
If you’re happy with your fixed tariff, feel free to stick with that method. However, if you’re on a budget there are a few super easy ways you can reduce your water consumption.
Basic steps you can take include spending less time in the shower, turning off the taps when shaving and brushing your teeth, and limiting how often you flush the toilet.
Other ways include only using the washing machine when fully loaded and opting to fill the dishwasher, rather than washing up at the sink, and if you don’t have a dishwasher, use a washing up bowl.
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Reduce your supermarket spend
Food and drink account for a large amount of a family’s household bills, so being able to cut the costs here can make a real difference.
Try to get a weekly meal plan sorted to avoid unnecessary trips to the supermarket as well as spreading ingredients over numerous meals and preparing portions in bulk which also helps to reduce waste.
If you work away from home, try and take in your lunch too to stop buying meal deals when you’re at work!
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What other bills can you slash?
There are other bills to consider as well, and other ways to help reduce household costs. For example, if you’re on low income you may be eligible to receive Universal Credit, Jobseekers Allowance, Pension Credit, or Income Support payments.
Are you, or a member of your household, a student? Or do you, or another member of your household, suffer from a physical or mental disability. Moreover, if you’re the only adult within your household this entitles you to a 25% council tax discount.
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A few other ways to save
Compare suppliers
Probably one of the most well-known ways to reduce your household bills is by using a price comparison site. By doing so, you might discover that it’s cheaper to switch providers or if you find an equivalent product cheaper elsewhere you can always call your current provider to request a price match.
Pay on time
It may seem obvious but paying your household bills on time is crucial, particularly if you use a credit card as this may also affect your credit score. You might find it helpful to establish direct debit plans as this means you no longer have to worry about sending over the money yourself. Try make it so your monthly bills line up with payday too.
Assign budgets
A good way of keeping on top of your bills is to assign budgets – so allocate yourself a set amount of money each month to spend on food, bills, rent/mortgages, social expenses and unexpected expenses. This will help you feel organised with your money and keep on top of what you’re spending month to month.
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