Christmas is a time for giving

Our experienced IFA’s at Enable in Bishop’s Stortford and Saffron Walden know that many or our clients can be very generous towards charities, particularly at Christmas. It is also important to remember that when you do make a donation to a charity, or voluntary organisation that is registered with HMRC, that the said charity is able to claim back the tax that you have paid on the donation if you give them the right information increasing the giving. This mechanism is called Gift Aid and amounts to an extra 25p for every £1 that you give. If you give £10 to a charity and you are a basic rate taxpayer (20%), you will have paid £2.50 in tax on the gross donation (to take home £10, you will have earned £12.50 before tax). Charities are able to reclaim this £2.50 back from HMRC.

Giving a Charity Christmas present is also a good way of solving the what to buy for someone question while at the same time giving to a good cause. It is easy to give a gift to charity in someone else’s name and the options do not have to be massive but can have a huge feel good factor. £13 vaccinates 100 kids in the developing world against polio or £10 buys Christmas dinner for a homeless young person. £20 provides an hour of cancer care. £28 a drought survival kit, £40 to restore someone’s sight.

Many charities sell customisable e-card or gift cards that’ll tell the recipient what you've paid for on their behalf. Alternatively, you can just make a regular donation and if you do give direct to a charity on somebody else's behalf, make sure to use Gift Aid.



Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

http://www.institute-of-fundraising.org.uk/guidance/frequently-asked-fundraising-questions/tax-effective-giving/

Drawing on your pension?

Enable’s IFA’s in Bishops Stortford are often in conversation with clients about how far their savings will stretch once they stop working. Followed swiftly by the question of how much they will need to limit their withdrawals to make sure their pension pot lasts?

These questions have taken on a great deal more importance since April 2015, when new rules came into force allowing people to cash in on their pension pots once they are over the age of 55.
One new study looks to shows how a typical “balanced” investment portfolio split between British shares and bonds would have fared over a theoretical retirement lasting up to 45 years. The study looked at hypothetical savers who retired in each year since 1900. The idea was to see how long a £100,000 pot would last, taking into account the pattern of historical returns, charges and the impact of regular withdrawals.

The recent changes in pensions have focused minds on so-called “sequencing risk”: the damage that can be wrought by taking too much income when portfolio values are low. They looked across the decades to try and assess the chances of running out of money in 20, 25, 30 years and so on drawing down £3000 in inflation linked-payments. There was a slim chance of running out of money within 20 years. But given that pension cash is now accessible from the age of 55, this only takes you up to 75, leaving a likely funding gap of 15‑20 years, given current life expectancy. Enable’s IFA’s can help you look at your savings for your retirement.



Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

http://www.telegraph.co.uk/pensions-retirement/financial-planning/definitive-historic-analysis-long-will-100k-invest-last-draw/

Overpaying your mortgage

Enables’s IFA’s in Bishop’s Stotford and Saffron Walden know that the first few months in a new house can sometimes be a bit of a financial struggle as you add to the costs of moving, the new mortgage repayments and household bills. But once you’ve settled into your new home and factored in your new outgoings, you may find that you have a bit more disposable cash than you thought you would have.

It might be very tempting to book a holiday, treat yourself to a new car, or spend in some other way but perhaps it really would be better to save or invest that money for the future. One fairly straight forward way to save is to overpay your mortgage, if you can. If you overpay your mortgage you will be paying less interest overall and gaining more capital. By paying as little as £100 extra a month, you could significantly reduce the term of your mortgage. For example, if you have a £100,000 mortgage over 25 years with an interest rate of 4%, and you pay off an extra £100 a month, you could reduce your mortgage term by 6 years and save £15,534 on interest.

It is important to be aware that not all mortgages are the same, some may charge an early repayment fee, so it’s worth sitting down before you take out a mortgage or when you are reviewing your mortgage to talk through whether an overpayment charge would outweigh the other benefits.  It is also worth finding out if you can build in some flexible overpayments before you take out a mortgage so you can overpay when you can afford to and not when you can’t.

https://www.mortgageadvicebureau.com/news/TheInsandOutsofOverpayments/1241

Your home could be at risk if you do not keep up the mortgage repayments


Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

REPUBLICAN PARTY AND TRUMP TRIUMPH IN USA ELECTION

“It is time for us to come together as one united people . . . it’s time!”

With these words, Donald John Trump, the 70 year-old New York-born multi-millionaire property developer and political novice, accepted his victory over ex First Lady and Secretary of State, Hillary Clinton, in the election race to become the 45th President of the United States, arguably the world’s greatest economic power.

In probably the most vitriolic and divisive presidential election campaign ever seen, culminating in the November 8th vote, the Republican candidate Trump triumphed over his Democratic foe, as the American people cocked a snook at the established political order in the ’Land of the free’.
Financial markets globally followed events minute by minute (in US East Coast time), with large falls across the board, followed later by strong recovery after more careful analysis of events (see ‘Markets’) and their likely outcomes.

In her message of congratulations to the President elect, Theresa May highlighted the “special relationship” between the two countries. She said that she hoped that Mr Trump’s win would mean a continuation of shared values, including “freedom, democracy and enterprise.”

She continued: ”We are, and will remain, strong and close partners on trade, security and defence.
“I look forward to working with President-elect Donald Trump, building on these ties to ensure the security and prosperity of our nations in the years ahead.”

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

PAY GROWTH PROSPECTS SUBDUED

The Institute for Fiscal Studies (IFS) have warned that the outlook for wage growth and the squeeze on pay is likely to last for over a decade.

 Their analysis of the Autumn Statement, based on figures supplied by the OBR, indicates that workers would earn less in real wages in 2021 than they did in 2008. Over the next four years, lower income families will be the biggest losers, with the poorest third likely to experience a fall in income.

Paul Johnson, director of the IFS, commented: ”We have seen no increase in average incomes so far and it does not look like we are going to get much of an increase over the next four or five years either.”

The “outlook for living standards and for the public finances has deteriorated pretty sharply over the last nine months.”

Real average earnings are forecast to rise under 5% over the next five years, 3.7% lower than the figure projected in March.

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE 

MARKETS: (DATA COMPILED BY THE OUTSOURCED MARKETING DEPARTMENT)

Given the unexpected victory of Donald Trump in the USA Presidential election, on November 8th, the global equity markets reacted surprisingly serenely.

After an initial knee-jerk reaction south, most indices recovered well. Here in the UK, the FTSE100 had risen to 6,911 at one stage only to drop off 2.45% at the close of the month finishing at 6,783.8. The wider FTSE250 trod water, ending at 17,545.75, up a marginal 0.01%, whilst the junior AIM market slipped 0.39% to finish at 819.00.

More importantly, the American markets reacted well to Trump’s triumph with observers and investors anticipating a bullish increase in infrastructure investment. The Dow Jones gained 5.41% to 19,123.58 and the technology based Nasdaq adding 2.59% to end at 5,323.68.

Mainland Europe saw the Eurostoxx50 drift off 0.12% to 3,051.61, whilst the Japanese Nikkei225 saw a robust increase of 5.07%, closing November out at 18,308.48.

On the foreign exchanges, Sterling recovered some of the ground lost in October, rising against the greenback to $1.25 for a 2.46% monthly lift and to €1.18 against the Euro to show a 6.3% gain. The US Dollar also strengthened against the Euro to $1.06, a 3.6% rise.

Oil, as measured by the Brent Crude benchmark, had another volatile month, falling as low as $44.43 a barrel early in the month, but rebounding strongly on the last day of November to $50.47, as both OPEC and non-OPEC producers, such as Russia, finally agreed a cut in production of 1.2 million barrels per day (bpd) from OPEC and 600,000 bpd from non-OPEC producers. The Black gold now stands 35.38% higher than at the close of last year.

Gold remained unloved, given the volatility of other markets. The precious metal lost 8.13% in the month, closing out November at $1,172.89 at troy ounce.

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

GDP GROWTH AND BUSINESS INVESTMENT HOLD UP WELL

Research from the ONS shows that business investment following the Brexit vote was up 0.9% on the figure for the second quarter. Although this is positive news, the ONS pointed out that many of these investment decisions could have been taken before polling day. Business investment figures have held up well.

Gross Domestic Product (GDP) for the third quarter grew by 0.5%, helped by export growth and stronger consumer spending. Taken with the encouraging data on investment, these figures show the economy expanding broadly in line with its historic average.

Analysis of the data underlines the importance of the huge services sector that underpins the UK’s continued economic growth. Services increased by 0.8% in the third quarter, fuelled by the continued strength in performance of the British high street. By contrast, the manufacturing, agriculture and construction sectors are all contracting.

The Office for Budget Responsibility (OBR) has forecast that the economy will grow by 1.4% in 2017, down from the 2.2% it predicted in March. Some think it likely that the strength of the economy will diminish as inflation rises, wages stagnate and the path to Brexit becomes clearer.

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

RETAIL SALES SOAR AS WEATHER TURNS COLDER

Retail sales soared in October as the weather turned more wintry, according to the Office for National Statistics (ONS). Retail sales volumes increased 7.4% from the previous year, the figures represented the highest growth rate seen since 2002, beating Reuters forecasts of 5.3%.

 The more inclement weather favoured warmer clothing sales and the end of the month saw buoyant Halloween trade, which further boosted supermarket sales of the desired regalia. The largest contribution to growth came from non-store retail offerings, including mail order, market stalls and, crucially, internet-only retailers including Amazon.

In October, average weekly spending online was £1bn, a massive increase of 26.8% on October 2015. According to Kate Davies, Senior Statistician at the ONS, October saw: “...the strongest growth in internet sales seen in five years.”

In its monthly sales snapshot, figures from online retail body IMRG indicated that home goods also performed well last month. With spending up 24% year on year, the report highlighted: “This could have been spurred by a deteriorating pound, with people more focused on domestic home improvements rather than spending on holidays abroad – which have become a lot more expensive since the Brexit vote.”

Commenting on the strength in online sales, Managing Director at IMRG, Justin Opie, commented: “...a 5-year high for basket values and the likelihood of increased site traffic as people start researching in advance of Black Friday seems to have offset any negative impact. In recent years Black Friday has become an incredibly important period for determining a retailer’s success at the peak time of year, so retailers will hope that higher basket values can be sustained over the coming few weeks.”

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

Business mortgages

Enable’s experienced IFA’s in Bishops Stortford help many individuals with their personal financial planning and many clients also manage small or medium sized businesses that sometimes form part of the plan. It is interesting to note that recently business mortgage enquiries for SMEs more than doubled on the same period from last year, according to data form the National Association of Commercial Finance Brokers (NACFB).

This increase in commercial mortgage enquiries follows the NACFB’s annual results which revealed that £5.2 billion of commercial mortgage business was written in the year ending 30th June 2016, up by more than half (55 per cent) on the previous year. Many of the applicants they say came from a range of businesses such as restaurants, bars and other consumer-facing enterprises, that could be seen as a renewed vote of confidence for the high street, inevitably London powered the growth with nearly two thirds of enquiries (64 per cent) coming from the capital.

Paul Goodman, chairman of the NACFB says that appetite for commercial mortgage finance is a good indicator of small business confidence as it shows firms are confident enough to commit to the long term. ‘Last month we saw a huge uplift in enquiries from a variety of businesses – ranging from publicans and smaller retailers to hairdressers and restaurants – so it’s starting to feel like the SME community has got over any Brexit-related nerves,’ he adds. ‘While some of those businesses will also be looking to avoid steep commercial rents, especially in the capital, the confidence to take out a commercial mortgage bodes well for the future.’

Your home may be repossessed if you do not keep up repayments on your mortgage.

http://smallbusiness.co.uk/smes-unprepared-brexit-turbulence-2535512/

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

When can you draw your pension?

Making sure you have your pension in place is all part of the financial planning Enable’s IFA’s in Bishop’s Stortford like to offer.  Despite the recent confirmation of the triple lock on state pensions the government might still be preparing to increase the official state pension age to 70 for millions of people currently in their 20s. Documents produced by the Department for Work and Pensions (DWP)  indicating a “more aggressive” timetable on state pension age (SPA) increases than previously planned are being compiled according to  Steve Webb.

The current official SPA for people in their 20s is 68, though under the existing schedule it could be expected to rise to 69. The SPA is the youngest age someone can start receiving their state pension, and is due to rise to 66 between 2018 and 2020, to 67 between 2026 and 2028, and then to 68 between 2044 and 2046. Webb, a former pension’s minister who is now director of policy at mutual insurer Royal London, said: “The previous policy strikes a fair balance between expecting people to work longer and allowing people to enjoy a decent retirement.” “If the government is planning to force tens of millions of people to work to 68, 69 or even 70, then it should be transparent about its plans. This would be a huge shift and should be properly debated, not buried in a technical document seen only by specialists,” said Webb.

A DWP spokesperson said: “This work forms part of our research ahead of the first state pension age review. It’s important we have a clear understanding of how the current system is working for pensioners before we undertake the review.” If you want to make sure your pension is in place or encourage your children to put a pension in place Enable’s IFAs can help you look at the options.

https://www.theguardian.com/money/2016/nov/28/pension-age-may-be-about-to-rise-again-says-former-minister

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

Unheard of mortgage deals

Enable’s IFA’s in Bishop’s Stortford have helped many arrange their mortgages and until recently a 1.5% mortgage deal was virtually unheard of. But currently there are already two-year fixed deal at less than 1.5 per cent out there and some mortgage experts think there may be room for even lower rates. Ray Boulger of the independent mortgage consultant John Charcol believes that “falling gilt yields could result in a drop in fixed-rate mortgage pricing.”

Gilt yields represent the rate of interest paid on government bonds. Their rates in turn affect so-called swap rates, the cost of getting fixed-term funding on the money markets for lenders. Lenders are then using that fixed-term funding to be able to offer fixed-rate mortgages to consumers. So if gilt yields fall, swap rates will fall, meaning it will be cheaper for lenders to get funding, which should, in theory, lead to cheaper loans for us all.

Recently the UK 10-year benchmark gilt yield fell to an all-time low of 1.3 per cent and the five-year gilt yield fell to 0.67 per cent and the two-year to 0.3 per cent. Essentially the yield on both five- and 10-year gilts has fallen by nearly 40 basis points in the past month. “Yields have fallen so fast that mortgage lenders are now well behind the curve with their fixed-rate pricing, leaving scope for some significant rate cuts on fixed rates,” said Boulger, however, “Although this is good news in the short term for anyone wanting a new mortgage, the rapidly increasing global problems remain a major concern and could lead to lenders reassessing their appetite to lend in the medium term,” he warned. Enable’s IFAs can help you find the right mortgage at the right rates for you.

Your home may be repossessed if you do not keep up repayments on your mortgage.

http://www.independent.co.uk/money/how-low-can-they-go-home-loans-edge-towards-1-a6877621.html

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

Living together longer?

Despite the Chancellors Autumn statement saying £7.2bn will support the construction of new homes, including spending by housing associations, and a new £2.3bn Housing Infrastructure Fund established for infrastructure for up to 100,000 new homes in high-demand areas, Britain's broken housing market is still likely to see household sizes grow.  Currently in the UK more people are living under one roof than at any time in the past 17 years. More adult children live with their parents and house shares, both rented and bought, are growing. Young people are marrying later and more likely to be single and the number of under-65s who live alone has fallen by 244,000 since 2012, according to Government data.

The average property is now worth six times the average salary, according to Nationwide. This makes it out of reach to most single buyers. With house prices rising much faster than salaries unsurprisingly, young people are joining forces with parents, partners or friends to be able to reach the required level. Sharing a rent or a mortgage clearly makes it more affordable but if living with the children is not for you more parents and grandparents are finding the way to help is by handing over cash to use for deposits, or by joining a child on the title of a property so their income can be taken into account for affordability. Some parents and grandparents are even releasing money from their own homes in order to be able to help.

As with most large scale financial transactions there are tax and legal issues that need to be considered. Parents might find they incur an extra three percentage points of stamp duty if they help a child buy because of the surcharge introduced in April this year. Enables IFAs in Bishops Stortford can help you with the detailed financial planning required.

http://www.telegraph.co.uk/personal-banking/mortgages/first-steps-on-the-property-ladder-find-a-partner-or-a-parent/


Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

Autumn statement - What changes for Taxpayers?

Keeping up to date with the current taxation system is vital to wealth management and Enable’s IFAs in Bishops Stortford like to make sure they say abreast of any change and work with client and their accountants to get things right.  In this year’s Autumn statement it is clear that those who use tax avoidance schemes will be challenged. The Chancellor said that, to tackle tax avoidance, the Government would "strengthen sanctions and deterrents" and will take further action on disguised remuneration tax avoidance schemes.

It is good to see the continued commitment to raising the tax-free personal allowance as it moves to £12,500 adding £1500 onto the tax-free amount we can earn in a year.  He also reconfirmed that the threshold for higher-rate tax would move to £50,000. After 2020 it seems these thresholds will rise in line with the consumer prices index. Continuing what was announced in the Budget, Class 2 National Insurance contributions will be abolished in April 2018, which will simplify National Insurance for the self-employed. And the National Insurance threshold for employees and employers will be aligned at £157 a week at no cost to workers.

There had been fears that those who are made redundant would have to pay tax on termination payments but the first £30,000 of termination payments will remain tax-free. But as announced in the last Budget, from April 2018 termination payments over £30,000, which are already subject to income tax, will also be subject to employers' National Insurance contributions. Subtle changes can have an impact on your financial planning so Enables IFAs are here to talk them through.

http://www.telegraph.co.uk/tax/news/autumn-statement-2016-will-better-worse/

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

Anything for savers in the Autumn Statement?

Enables’ experienced IFA’s in Bishop’s Stortford know that savers have been having a tough time and things do not look as if they are going to change radically but The new Chancellor of the Exchequer, Philip Hammond, in his first Autumn statement seemed to be acknowledging this.

For savers the Autumn Statement confirmed, as had already been announced, that the annual Isa allowance will rise to £20,000 in April next year. In addition a new savings bond launched by the Government will allow anyone over the age of 16 will be able to deposit between £100 and £3,000 in it. The bond will be open for a year and savers are expected to receive interest of 2.2pc on up to £3,000. The "Investment Guaranteed Growth Bond", launched through National Savings & Investments, will offer a "market-leading" rate, said the Chancellor. Details will be announced when the bond is launched in the spring, but the Government expects it to offer that interest rate for a term of three years.

For savers using 'drawdown' pensions however there is some less welcome news, the annual allowance for saving into a pension for those who have started to "draw down" their pension savings will be cut to £4,000 from £10,000.  The official documents said: "The Government does not consider that earners aged 55 and over should be able to enjoy double pension tax relief, such as relief on recycled pension savings, but does wish to offer scope for those who have needed to access their savings to subsequently rebuild them. The Government will consult on the detail."

http://www.telegraph.co.uk/tax/news/autumn-statement-2016-will-better-worse/

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

Historical events and the markets

Enable’s IFA’s in Bishop’s Stortford know keeping up with the markets is a challenge but with some recent British company results some are considering it a good time to consider raising UK equities allocations in some portfolios.  A key factor of which such an argument is built on is the lower level the pound has settled at globally.  This automatically makes all sales made overseas by British companies more valuable when converted into home currency. The other side of the coin, in terms of the benefits a lower pound can bring is making UK goods and services more competitively priced relative to rival offerings from other countries, which helps lift market share.

According to the November FTSE 350 ‘Profit Watch’ report from The Share Centre, the pound is trading at a 185 year low on a trade-weighted basis. Most forecasts have sterling staying lower than its pre-referendum level for a considerable time, and therefore overseas earnings are likely to make a bigger impact on company profits for some time to come. The  effect of this on company revenues has barely begun to hit home in results statements says the report due to the considerable time lag between making sales and company reporting. The Share Centre’s analysts say it will take a year or more to see the full effect.

In addition domestic economic indicators have remained relatively robust since the EU referendum, so even domestic facing companies which do not benefit from the weaker pound could deliver good numbers next few years. One good recent example comes from housebuilder Taylor Wimpey which saw its shares jump over 3% as it reported a healthy order book and upgraded profit forecasts. 

Enable’s IFA’s are always happy to talk through your investment strategies.

http://www.portfolio-adviser.com/news/1032602/pa-analysis-topping-uk-equities


Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

Mortgage rates at record low

Britain's second-biggest mutual lender, Yorkshire Building Society, has recently revealed a mortgage at 0.98pc. It is the lowest rate ever offered and the deal is the cheapest nationally-available rate to anyone re-mortgaging.  The way it works is that it offers a "discounted rate" which tracks the lender's standard variable rate, currently 4.74pc, at a 3.76pc discount when  the lender's standard variable rate falls or rises, the rate will also move down or up in line. As with other low rate mortgage’s these arrangements often come with large fees,  £1,495 for the Yorkshire Building Society and early repayment during the discounted period incurs a 1pc charge.

During this year mortgage rates have been falling rapidly with the Bank Rate cut in August continuing to fuel this pattern. The Yorkshire building society is one of several lenders which have dropped their rates for high-value borrowing recently it’s available for borrowing of up to £5m.

Barclays also recently reduced its rate for mortgages between £1m and £3m from 1.85pc to 1.49pc, fixed for two years. Santander cut its five-year fixed rate to 2.09pc from 2.59pc in September for those borrowing between £250,000 and £3m.  According to comparison site Moneyfacts, the average two-year fixed mortgage rate is now at 2.34pc, down from 2.67pc this time last year.

David Hollingworth, of London and Country, said that this option would be more attractive to those borrowing a larger amount. But he added. "You've got to be careful not to be purely drawn to the fee, and you also have to keep in mind that this is linked to standard variable rate.” Enables IFAs in Bishops Stortford can help you find the right mortgage to suite your needs.

Your home may be repossessed if you do not keep up repayments on your mortgage.

http://www.telegraph.co.uk/personal-banking/mortgages/lowest-ever-mortgage-rate-of-098pc/

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE 

Planning to pass on your wealth

Enable’s experienced IFA’s in Bishop’s Stortford regularly discuss how to pass wealth on to the next generation with their clients. A major new study from leading economic think-thank the Centre for Economic and Business Research (Cebr) and wealth manager Brewin Dolphin has found that “adults under 44-years-old are failing to save for the short or long term.” Meanwhile, pensioners’ incomes are rising faster than the typical income for the working population due to generous final-salary pensions and the small matter of property ownership worth £1.3 trillion.

Many of the older generation hope to be able to pass on some wealth and almost 80 per cent of over-55s who plan to support their families financially expect to simply leave all or part of their assets through their will. However willing the older generations maybe to pass on their wealth, they're simply not interested in doing it right now.

The push for a redistribution of wealth has been raised before, including controversial proposals to encourage older homeowners to downsize. But this latest study suggests, that gifting and investing one "silver pound" today could end up being worth three times as much to grandchildren as inheriting a one off lump sum later thanks to the effects of compound interest and investment returns.  “The harsh reality this country faces is that the outgoing Baby Boomer generation will be the last to enjoy a comfortable retirement unless urgent action is taken now,” says Liz Alley, divisional director of financial planning at Brewin Dolphin. “We are calling for older people to fundamentally rethink how and when they pass on their wealth to younger relatives. The solutions we are proposing today are based on earlier and regular gifting as part of a strategic financial plan, rather than focusing on a one-off inheritance. This could help set grandchildren up for life as well as reduce inheritance tax.” If you want to look at how you plan to pass on your wealth Enable’s IFA’s can help.

http://www.independent.co.uk/money/could-baby-boomers-be-the-answer-to-the-nations-savings-woes-a7393281.html


Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

MARKETS: (DATA COMPILED BY THE OUTSOURCED MARKETING DEPARTMENT)

October reflected contrary investor sentiment in global equities with the UK’s FTSE100 gaining just short of 1% (0.8%), ending October at 6,954.22, whilst mid-month falling just 6.48 points short of its all-time high. The wider FTSE250 managed to slip by 1.83% to 17,544.2 and the junior AIM market seeing just a small lift of 0.38% to 822.2.

Possibly reflecting the uncertainty surrounding the forthcoming Presidential elections, the American markets turned negative with the Dow Jones finishing October at 18,142.42, down 0.91% and the technology based Nasdaq losing 2.31% to close at 5,189.13.

Over in Japan, the Nikkei225 staged a recovery from its recent downward trend, gaining an impressive 5.93% to close out the month at 17,425.02, whilst in Europe the Eurostoxx50 also fared well, finishing at 3,055.25, for a lift of 1.77%.

Once again, Sterling was unloved on the foreign exchanges losing a further 5.43% in the month against the US Dollar to $1.22 and 3.48% against the Euro at €1.11. Against the greenback, the world’s most widely held reserve currency, Sterling has fallen now by 17.01% since the turn of the year, primarily as a result of the ‘Brexit’ economic uncertainty. Meanwhile, the US Dollar improved 1.79% against the Euro to $1.10.

Oil, as measured by the Brent Crude benchmark, had another volatile month, touching $52.67 at one point in October, on hopes of an OPEC production ceiling, but the price fell away at the close of the month to finish at $48.30. Gold investors stayed away in October with the precious metal slipping to $1,276.71 a troy ounce to record a loss of 2.98%, although it is still up 19.06% since the turn of the year.

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

UK INFLATION RISES TO 1%

The UK’s Consumer Prices Index (CPI) rose by 1% in the year to September, significantly higher than the 0.6% rise recorded in the year to August, according to the latest figures released by the ONS. The CPI last reached 1% in November 2014.

The main factors for this increase were a rise in the price of clothing, hotel accommodation, motor fuel and gas prices, which were unchanged following their fall last year. Partially countering these increases were a fall in air fares and food prices, as supermarket price wars persist.

The impact of Sterling’s depreciation will continue to affect our domestic inflation as the cost of imports will rise accordingly. The world’s worst performing currency of 2016, Sterling is now worth 20% less against the US dollar than it was prior to 23 June. Not only affecting the price of fuel and finished goods such as imported fashion items and food and drink but all the raw materials used to produce anything from motor cars to fridges are also adversely affected.

The majority of economic analysts, both domestic and international, believe that inflation is therefore on a rising trend that will soon eclipse the Bank of England’s target level of 2%, some anticipate a CPI level of around 3% by the end of 2017.

One group of the population that is somewhat sheltered from this prospect is pensioners. They are reassured by the current triple-lock mechanism introduced by the Government that guarantees their state pension will rise each year by whichever measure of the inflation rate, average earnings or 2.5% is greater.

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

UK ECONOMY EXPANDS 0.5% IN Q3

Recent data from the Office for National Statistics (ONS) estimates that the UK economy expanded by 0.5% in Q3 2016. Although slower than the 0.7% growth rate experienced in the second quarter, this was stronger growth than many analysts estimated, reducing expectations of an interest rate cut at the Bank of England’s next Monetary Policy Committee meeting on 3 November.

The ONS commented: “The pattern of growth continues to be broadly unaffected following the EU referendum. There is little evidence of a pronounced effect in the immediate aftermath of the vote.”

Philip Hammond, the Chancellor of the Exchequer, was reported to comment that the GDP figures demonstrated the resilience of the UK economy, adding: “We are moving into a period of negotiations with the EU and we are determined to get the very best deals for households and businesses.

“The economy will need to adjust to a new relationship with the EU, but we are well-placed to deal with the challenges and take advantage of the opportunities ahead.”

The economy was supported by a robust performance from the services sector, which grew by 0.8% between July and September. The strongest part of the service sector was transport, storage and communication, growing 2.2% in the period; the fastest rate for seven years.

Service sector growth was offset by the steepest fall in construction since Q3 2012, with the industry dropping 1.4% between July and September following a sharp slowdown in new housebuilding. Manufacturing output contracted by 1%, while production and agriculture declined by 0.4% and 0.7% respectively.

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

Inheritance skipping a generation

Recently the housing minister Gavin Barwell has been urging grandparents to disinherit their children in favour of their grandchildren in an attempt to try to rebalance the distribution of wealth in favour of younger people. Enable’s IFAs in Bishops Stortford can see that many families are already doing this to some extent, a generations plan how best to help younger generations.

In many cases it is also about passing money down well before death. As with all gifts of any size, provided the giver survives seven years, there is no inheritance tax to pay.

The simplest way to help grandchildren is often to help them buy a house by giving them the money for the deposit the property is then  in the grandchild’s name, and the mortgage is their responsibility. But despite the benefits of this some 'Pensioners don't trust their children or grandchildren' says Angela Murfitt. “There’s a view among the older generation that it’s a very generous thing to give grandchildren £200 a year, regardless of the fact that there is £1 million sitting in the bank,” said Murfitt, a financial planner with clients are in their seventies and almost all likely to face an inheritance-tax bill. “It can make perfect sense to give money away,” she said. “But it’s a moot point when it comes to writing the cheque. People don’t want to lose control over their own assets.

If the straightforward handing over of cash is not for you there are plenty of other solutions which help bridge the inter-generational wealth gap and Enables IFAs in Bishops Stortford are happy to talk you through your options for helping the next generation.

Source: http://www.telegraph.co.uk/personal-banking/mortgages/the-new-bank-of-mum-and-dad-we-live-in-dads-buy-to-let/

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

Firework insurance - is your home insured?

Bonfire Night this year falls on a Saturday and many of us will be planning a fireworks party but Enables experienced IFAs in Bishops Stortford recommend checking your home insurance policy carefully if you are a home fireworks display enthusiast.  It is always sensible to make sure any accidents at a bonfire party don’t happen but you wouldn’t want them burning a hole in your pocket as well.

According to insurer esure, about 2.8 million people a year plan to hold a bonfire party at home but research from Churchill Home Insurance reveals almost two million British homes have been damaged as a result of a firework, with each incident costing an average of £307 to put right. An Allianz representative said: "Most household buildings and contents policies will provide cover if your property or possessions are damaged by a bonfire or a stray firework. However, people with a non-standard property, such as a home with a thatched roof, may have additional restrictions on their policies and policyholders should check with their insurance company."

It will also be in the small print of most household policies there will be a ''duty of care'' clause, essentially it would mean that you would have to prove you took proper precautions when lighting a fire or setting off fireworks. Claims would be affected, for example, if you used petrol to light your fire, or set off fireworks too close to your property.

It is also wise to have some idea of what the cover limits are on your policy. Any damage to a neighbour's property would be initially covered by the neighbour's insurance, but if the neighbour could show that you had been negligent in causing the damage, then would your policy cover it? Enables IFAs can help you make sure you have the right cover for you.

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

Passing on your pension

Making sure we have a pension in place for our later years is key to many financial plans and Enable’s IFA’s in Bishops Stortford like to help make sure you have a pension in place to meet your needs. Some of us are also concerned to be able to pass on a pension particularly to a partner but most pensions can actually be inherited by anyone when you die - and pensions can still be tax efficient where an inheritance liability is likely to apply to the owner's estate.

The way you take your pension however will affect how it can be used by your beneficiaries. If you have already purchased an annuity with your pension money typically meaning that you receive an income for life the death benefits will depend on the type of annuity you selected. If you choose a guaranteed period of payment, the annuity will continue to be paid for the agreed term even if you die before that. If you bought a "joint life" annuity, your spouse will continue to receive the payments at the chosen level until they die.

If you select a "capital protected annuity" or "value protected" annuity, your beneficiary will inherit a lump sum, your pot minus any annuity payments you took before you died. Pension cash which has not yet been spent on an annuity will remain outside of your estate for inheritance tax purposes.

As part of you financial planning you need to complete a nomination form with the pension company to specify who you would like to receive the benefits on your death and what proportion. Enable’s IFAs are happy to help with any pension planning.

Source: http://www.telegraph.co.uk/money/special-reports/how-can-i-ensure-my-family-gets-my-pension-when-i-die/

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

Dad’s Army comes to Bishops Stortford

Enables IFA’s like nearly every other person of a certain generation know all about the hit BBC comedy series 'Dad's Army' which ran for nine years from 1968 until 1977, then ran, and ran, and ran on TV repeats. The much loved show spawned a full length feature film, a radio series and a musical stage show and now Bishops Stortford’s very own Water Lane Theatre Group production.  At auditions recently they said on Twitter @WaterLaneTG  - Big turnout for our #DadsArmy audition - watch out for this one - it's not what you're going to be expecting!!!!

Enable has agreed to sponsor this delightful local production of Dad’s Army and Mike Cooke from Enable will even be appearing in the theatre show himself. When asked Mike said “ Enable are delighted to be sponsoring a Bishops Stortford production of Dads Army by Water Lane Theatre Company and it looks like I have landed myself a part!! (Stupid boy!!)”

Water Lane Theatre Company is the only amateur Theatre Group in Bishop’s Stortford and they have been performing plays for over 60 years. Every year they put on at least 2 main shows at various locations in and around the town.  If treading the boards is not your thing you can still get involved as an audience, they always have a lot going on whether it's a night of one-act plays, a theatre trip, comedy and variety nights, an improvisation evening or their really popular annual quiz evening. To find out more you can check their website for details.
http://waterlanetheatrecompany.co.uk/

Photo Sources: https://en.wikipedia.org/wiki/Dad%27s_Army#/media/File:Dad%27s_Army.jpg
Mike (middle) starring in Pompeii 2015 courtesy of the Water Lane Theatre company. 

Are the young just bad at saving?

Enable’s IFA’s in Bishops Stortford where interest to see recently that “All age groups, including younger people, are saving more than they used to,” according to a comparison of 2004 and 2010 figures by the Grattan Institute.

There tends to be a lot of criticism of Generation Y for spending on luxury items, be it avocado on toast for breakfast, lattes, iPhones or another festival or weekend city breaks. The logic would seem simple, spend less on luxuries and save more of you hard earned cash. But the figures actually suggest millennials are saving more than they used to and are simply faced with increasingly difficult-to-afford house deposits.

As an indicator of housing affordability, the house price-to-income ratio, and the “deposit gap”, both remain much higher than they have been for the past few decades. The study also shows that younger people are now spending a greater proportion of their income on housing rather than other household expenditure categories, such as food, alcohol, or recreation. Interestingly, the same survey of spending habits found that younger people (defined as younger than 35) saved more per week than older people, even when comparing families with children. This may however be due to younger people living at home for longer but it still indicates Millennials have no issues with saving money.

You are never too young or too old to start saving and Enable’s IFAs in Bishops Stortford can help you make a plan for investing your hard earned savings.

Source: https://www.theguardian.com/news/datablog/2016/oct/18/are-millennials-actually-bad-at-saving-or-are-houses-just-unaffordable


Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

Financial planning for your business

Personal financial planning is key to success but Business owners need specialist advice too and Enable’s IFAs in Bishop’s Stortford are happy to work in unison with business owners accountants and legal team to ensure all the professional advisers you have working for you.  Making sure all the thinking is joined up and working towards the best outcome for you and your business saves time and money.

Going through the process of constructing and regularly reviewing a financial plan is a valuable exercise for any business owner as it helps inform the day-to-day decision making of the business. Even for a one-person company it makes sense to have some kind of financial plan in place. It is also important to remember that your business needs to work to your personal financial benefit; after all, it is often you are the one taking the risks and working all the hours.

Joined up thinking is particularly important as legislation changes so rapidly these days and making sure your IFAs, Accountant and lawyer are in contact can help make sure you stay up to date with any of your employer obligations. You may need to consider changes in partnership or shareholder agreements and insurances, Key Person cover, pensions and other employee benefits.

At the end of the day it can also be useful to make sure you are able to separate your business life from your personal life from a financial perspective. Who knows one day you may want to sell or pass on your business and a clear financial plan is more likely to help you achieve this.

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

Are you Mortgage Ready?

Despite the current UK housing crisis there may come a time when a mortgage is in your sights. If that is something you are focused on Enables IFA’s in Bishops Stortford can only encourage you to be as mortgage ready as possible so when the time finally comes, you will be in a much stronger position and your mortgage will hopefully be processed much more quickly.

One of the key things your mortgage lender will do when you apply for a mortgage is an affordability test.  They are looking to see if your finances are in order and ultimately decide if you are trustworthy enough to lend money to. A real part of the test is looking at your income verses your expenditure, so it is important that you not only keep your finances in order but are also able to show that you are capable of keeping your finances in order.

So things like paying your bills on time as well as making sure any bills you have are all registered to your current address, so everything is easy to trace will help prove you are reliable and financially independent. Continuous employment is important ideally for at least six months. This will give evidence that you have a regular, stable income coming in every month, and there is less chance of your employment being terminated.  If regular savings can be traced on your bank statements, this can be good to show where the money for your deposit has come from, but it can also prove to your lender that if you are able to save say £500 a month, for instance, then this is money could go towards paying off any mortgage you have. Enable’s IFAs in Bishops Stortford can try and help you find the right mortgage at the right time.

Your home could be at risk if you do not keep up your mortgage repayments

Source: https://www.mortgageadvicebureau.com/news/HowtoGetMortgageReady/1212

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

Have you considered critical illness cover?

It is something that you always assume will happen to someone else but sadly Enable’s IFAs in Bishop’s Stortford know it can happen to anyone. Some recent research form the Mortgage Advice Bureau, revealed that over 50% of homeowners aged 18 to 40 do not currently have critical illness cover (CIC).

Critical illness cover is a form of insurance which pays out a tax-free lump sum in the event that you are diagnosed with a specified illness or medical condition during the term of the policy. Critical illness cover, also known as critical illness insurance, is a long-term insurance policy to cover specific serious illnesses listed within a policy. Should the worst happen, it gives a tax-free ‘lump sum’ – a one-off payment, to help pay for your mortgage or rent, debts, or pay for alterations to your home such as wheelchair access should you need it, but it’s your choice how you spend it.

Every year 1m workers in the UK unexpectedly find themselves unable to work because of injury or illness, the kinds of critical illnesses that might be covered by CIC are things like a heart attack, a stroke, certain types and stages of cancer and debilitating conditions such as multiple sclerosis or muscular dystrophy.  The majority of CIC policies also cover permanent disabilities as a result of injury or illness. Some policies offer monthly payments others pay out once and then the policy ends. Some policies will make a smaller payment for less severe conditions. This type of insurance does not pay out if you die. Enables IFA’s in Bishops Stortford want to make sure you have the insurance covers you need understanding the policy details so make sure you’re fully aware of them and that they cover your need.

Source: https://www.moneyadviceservice.org.uk/en/articles/critical-illness-insurance-do-you-need-it

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

Running out of pension funds

Enable’s experienced IFA’s in Bishops Stortford have supported many clients to set up pensions and have also helped to manage many pension finances. Recently, the apparently good news from The Office for National Statistics (ONS) is that there are over half a million people aged 90 or over, and more than 14,500 are 100 or more. The figures amount to a 65% increase in a decade, with the number of elderly men beginning to gain ground on the number of elderly women.  The problem is how to fund this ever increasing lifespan either as the state or as individuals. We already have more over 60s in our society than children.

Research from Aviva has found that men in Britain estimate they will live for around 15 years after they stop working (at around 65) when they’ll probably live another 19 years and women think they’ll survive another 19 years when they are actually likely to be around for another 21 years. Just three or four extra years of retirement requires around £35,000 in additional pensions savings to be able to fund that time.  Gareth Shaw, head of consumer affairs at Saga Investment Services recently said already “today’s retirees routinely underestimate how much they need to have a decent income in retirement. [Our research] found over 50s need double the amount they think to generate the kind of income that will leave them comfortably off in their later years.”

If you have worries about how you are going to fund your retirement Enable’s IFAs in Bishops Stortford can talk you through your options.

Source: http://www.independent.co.uk/money/growing-old-disgracefully-why-longer-life-is-ruining-your-wealth-a7345941.html

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
 It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.

NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

MARKETS: (DATA COMPILED BY THE OUTSOURCED MARKETING DEPARTMENT)

September brought a renewal of investor confidence in global equity markets, as most of the major UK indices covered here saw gains. Whilst gaining 1.74% over the month, the FTSE100 did, however, see some volatility, dipping to an intra-month low of 6,665.6, before recovering to end at 6,899.3 up 117.8 points. The wider FTSE250 fared less well adding 0.78% or 138.6 points,to close at 17,871.4, whilst the junior AIM market surpassed that, rising just over 27 points to 819.1 for an improvement of 3.51%.

The American markets remained becalmed, as the Dow Jones slipped by 0.5%, to end the month at 18,308.15 with the technology-based Nasdaq improving to 5,312.0 for a 1.89% rise.
The continuing political machinations in Europe saw the Eurostoxx50 lose a marginal 0.69% to record a closing level of 3,002.24 and over in Japan, still suffering from continued deflation and economic stagnation, the Nikkei225 reversed August improvements to lose 2.59% to end September at 16,449.84.

The foreign exchange markets saw Sterling continue to drift lower against the US Dollar to $1.29 a 2.27% decline over the month and to €1.15 against the Euro, again a fall of 2.54%. Meanwhile, the US Dollar slipped by just under 1% against the Euro, finishing September at $1.12.
In the energy markets Oil, as measured by the Brent Crude benchmark, also had a volatile month, but did see the price improve a little to $49.06 a barrel, for a gain of 4.29%. It is now showing a 31.6% rise in price since the turn of the year.

Gold, often regarded as a safe-haven investment, clawed back some of its August losses to end September at $1,315.93 a troy ounce to record a 0.54% increase in value.

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE 

UK EMPLOYMENT AT RECORD HIGH

The most recently released UK labour market figures, based on the May to July 2016 period, show the UK’s unemployment rate remains at 4.9%, down from the 5.5% recorded a year earlier. With 1.63 million people out of work, a fall of 39,000 from the Feb-April quarter and 190,000 less than the same period last year; its lowest level seen since the March- May 2008 quarter.

There were in fact 559,000 more people in employment in the May- July 2016 quarter, compared with the same period a year earlier. At 74.5% there are more people in work now than since comparable records began in 1971. Of these people, 23.5 million were in full-time employment and 8.51 million in part-time employment.

Those aged from 16 to 64 years and deemed economically inactive (those not working and not seeking or available to work) fell by 195,000 from the previous year to 8.83 million.
The number of people claiming unemployment benefits was recorded at 771,000 for August, made up of 557,900 claiming the Jobseeker’s Allowance and 213,100 people claiming Universal Credit.

At the same time, the Office for National Statistics (ONS) released data showing that average weekly earnings for employees increased by 2.3% including bonuses and by 2.1% excluding bonuses compared with the same period last year.

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE 

UK RISES TO SEVENTH PLACE IN GLOBAL ECONOMIC COMPETITIVENESS

In a rebut to the Brexit doom-mongers, the World Economic Forum (WEF) has announced, in their ‘Global Competitive Report 2016-2017’, that the United Kingdom has risen to seventh place in the league of the world’s most competitive economies, leapfrogging Hong Kong, Japan, and Finland. The WEF is a respected think-tank that holds a major conference each year in Davos, Switzerland, which is attended by the world’s leading Heads of State, politicians, entrepreneurs, media titans and billionaires. This is a very positive reversal of its decline to tenth place recorded last year.

In the WEF’s database of 114 criteria, which include factors such as healthcare availability, employment systems and the macro-economic environment, the UK’s strong digital landscape, world-leading institutions, strong connections to the international economy and business-friendly regulatory system, were cited as some of the main factors in this year’s elevation in their global ranking.

Of other European economies in the report, the Netherlands, Germany and Sweden ranked above the UK. In the top spot was Switzerland, followed by Singapore and the United States of America.
As a caveat to this good news, the WEF did state that the UK’s wide exposure to the global economy, its high reliance on imported goods and its economic indebtedness, with both a current and budget deficit, adversely affected the overall score. The WEF went on to say: “Although the process and the conditions of Brexit are still unknown, it is likely to have a negative impact on the UK’s competitiveness.”

Meanwhile though, the new Chancellor of the Exchequer, Philip Hammond, stated that these results: “demonstrate our ability to sharpen our edge and improve our competitiveness.”
He went on to add: “This government will build on that progress, as we demonstrate to the world that Britain continues to be highly competitive and open for business.”

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE 

First time buyer gap

Enable’s IFA’s in Bishops Stortford and Saffron Walden have seen the average age of a first time buyer in the UK go up and down but according to research from lender the Halifax the average age is now 30. This makes the average age of a first time buyer one year older than a decade ago and two years older than in 1983 when Halifax records began. The average age in London has risen by three years since 1983 from 29 to 32 and by four years in the South East from 28 to 32. In addition some new research reveals a seven year age gap between the youngest and oldest across the country.

The youngest first time buyers in southern England are in the East of England Waveney in Suffolk and Broadland in Norfolk with an average age of 28 in both areas. The analysis reveals a strong relationship between areas with relatively low average house prices with the youngest first time buyers. The research pointed out that the latest Halifax Generation Rent report found that non-home owners aged 20 to 45 would be prepared to save for around five and a half years for a deposit, while the average deposit paid by first time buyers increased by 13% in 2015 to £32,927. ‘With the youngest average first time buyer age dropping to 27 in some areas, this is a stark reminder of how early aspiring home owners should start thinking about what they will need to get onto the property ladder and what options they should consider in order to take their first step.’

If you are saving for your first property Enable’s IFAs can help you look at your options.

Your home could be at risk if you do not keep up your mortgage repayments


Source: http://www.propertywire.com/news/europe/seven-year-age-gap-revealed-youngest-oldest-first-time-uk-buyers/

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE  

What are you pension pot fees?

Enable’s IFA's are always transparent about any fees that are charged for pensions they set up for clients. There has been much talk of excessive fees charged on pensions and millions of workers could have to delay the age when they retire by several years because they are paying steep fees on their pension fund, new research suggests. Cutting back fees by just 1.5 percentage points can mean the difference between being able to retire at 63 or 80, according to the new data.

A 55-year old worker has an average pension pot of £42,621 and is paying an average fee of 1.85 per cent, according to customer data analysed by advice firm Profile Financial. Many however do not realise they are paying high charges.  Profile Financials’ analysis of fees paid by its customers found those in new-style pension funds were paying 0.34 per cent, while 35-year-old and 45-year-old savers were paying 1.47 per cent on average and 55-year-olds were paying 1.85 per cent on average. Older workers tend to pay higher pension fees than younger staff, because the Government put a 0.75% cap on default fund charges under its auto-enrolment initiative.

Those who already have low fees will not be able to make great saving, and others may feel funds with higher fees still offer good value.  But the figures highlight how big an impact fees have on your pension pot over the years, and why it is crucial to find out what you are paying as well as their investment performance.

Source: http://www.thisismoney.co.uk/money/pensions/article-3802276/Rip-pension-charges-slogging-work-longer.html

Issued by: Enable Independent Financial Life Planners • 
25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE