The Bank of England (BoE) has cut its headline base rate from 4.5% to 4.25%.

The Monetary Policy Committee (MPC) voted five to four in favour of a 0.25% rate cut.

Two members voted to hold the bank rate at its current level, while the final two opted for a bigger 0.5% cut in the base rate. 

The MPC underlined what it sees as significant economy issues ahead for the UK economy as the reason for its cut.

However, in its latest forecast it sees inflation rising to 3.7% by the end of this year. Despite this the MPC has pressed on with cuts as it sees the increase in price rises as a temporary phenomenon. 

Dean Butler, managing director for retail direct at Standard Life, part of Phoenix Group, comments: “This is the second significant move by the MPC in 2025 and maybe not the last following lower than expected March inflation and sluggish economic growth. 

“Uncertainties remain around any inflationary impact of April’s employer National Insurance increase, market uncertainty following the US tariffs and wider geopolitical issues however some forecasters predict a series of rate cuts in the year ahead.”

How it affects households

The BoE base rate underpins the cost of debt in the economy and the rewards that savers get for stowing their cash.

Butler adds: “For borrowers, particularly those on variable rate mortgages or approaching the end of a fixed term, today’s rate cut will come as welcome news. Lower interest rates mean reduced monthly repayments, easing financial pressure for many households. 

“However, with ongoing cost of living challenges still front of mind for many, particularly in the context of April’s bill rises, any savings will likely go towards covering immediate expenses rather than discretionary spending. Those with unsecured borrowing like credit card balances may also benefit, though lenders often pass on cuts more slowly in these areas.”

Mortgage rates take some of their cues from the base rate, but it is not necessarily a clear-cut relationship. Much of the market is already priced in ahead of base rate moves thanks to swap rate market and how lenders plan their business. 

“For savers, however, there’s a more complex picture,” Butler continues. “Cash savers may find returns begin to erode in real terms, particularly if inflation remains above the Bank’s 2% target. 

While it’s important to maintain a level of accessible, cash-based savings for emergencies, those with longer-term goals might consider investing to help make their money work harder.”

LISTEN: Mouthy Money podcast on why the Bank is cutting its base rate

Unclear outlook

The Bank’s rate cut comes against a backdrop of rising economic and geopolitical uncertainty. This is thanks chiefly to US President Donald Trump’s ‘tariff war’ and the consequent chaos this caused in investment markets.

However, the UK Government is today due to announce a free trade deal with the US -the world’s largest economy. In recent days it already published details of a deal with India, the world’s fourth largest economy. 

Susannah Streeter, head of money and markets at investment platform Hargreaves Lansdown explains: “Given that the UK economy is decelerating into a dark tunnel of uncertainty, it comes as little surprise that policymakers have opted for an interest rate cut. Decision makers round the table want to avoid [economic] activity grinding to a complete halt. 

“By cutting borrowing costs, they’re hoping to relieve pressure on businesses, stimulate demand in the economy and shine a light towards a recovery. Inflation may still be above target, but deflationary forces are at work, which could have worrisome consequences for growth and are likely to act as a dampener on price rises.”

This explains the BoE’s more aggressive approach, although it has stood back from slashing the rate by a higher amount for now.

Streeter continues: “A recession rather than stubborn inflation is the ogre to avoid right now. The niggling worry of high pay demands looks set to be fading into the background given that hirings have been scaled back by many firms. There is also the chance that an influx of cheaper Chinese-made goods could infiltrate the retail scene and land in virtual baskets. 

“Cut price giants Shein and Temu have increased ad spending in the UK and other parts of Europe, as the US looks like a much more hostile environment. With worries about inflation evaporating and fears about growth rising, it looks like this rate cut could be followed by at least two – and potentially three – more this year.”

Image courtesy of the Bank of England

The post Bank of England cuts the base rate appeared first on Mouthy Money.

The Mouthy Money Podcast launched in 2023 to bring a deeper, thoughtful look at the world of personal finance, money, business and a range of other topics.

Since launch, host Edmund Greaves has looked at wide-ranging topics from running a small business to climbing Kilimanjaro; Why private equity is ruining vets to 200% inflation in Argentina; How bitcoin could solve inflation to why financial education matters.

No financial topic is too big or too small for the Mouthy Money podcast.

You can subscribe to the podcast on Spotify, Apple Podcasts or Youtube.

See below for a full list of past and recent episodes.

Would you like to be involved in the podcast? Have you got an interesting money story to tell? Get in touch at editors@mouthymoney.co.uk

Is it time to get health insurance?

The UK depends on the NHS for its healthcare. But is an alternative rising? Hosts Edmund Greaves and Chris Tuite speak with Dr Katie Tryon, chief commercial officer at health insurance firm Vitality about the ins and outs of health insurance as an alternative to the NHS for healthcare needs and the potential financial costs and benefits of a policy.

Available on Spotify, Apple Podcast and YouTube

What does a comfortable retirement really cost?

Host Edmund Greaves and guest Chris Tuite are joined by Cali Sullivan from the Pensions and Lifetime Savings Association (PLSA) for a conversation about retirement living standards. They chat about the PLSA’s latest updates to the minimum, moderate, and comfortable retirement benchmarks and what these really mean for your future. They explores how housing, lifestyle, and personal circumstances can drastically shift retirement planning needs, and why a one-size-fits-all approach doesn’t cut it anymore.

Available on Spotify, Apple Podcast and YouTube

The most common pensions questions answered

Host Edmund Greaves chats with pensions and tax expert Clare Moffat from Royal London to tackle some of the most commonly asked pension questions. From tax relief and contributions to transfers, tax-free cash, retirement income and the state pension system – Claire stresses why getting to grips with your pension and financial planning is key to enjoying a comfortable retirement.

Available on Spotify, Apple Podcast and YouTube

Trapped by inflation? The return of financial repression

 In this episode, hosts Edmund Greaves and Chris Tuite explain the concept of financial repression, a policy that affects savers by forcing them to earn returns below inflation. They explore newly-announced government reforms aimed at creating pension mega funds, illustrate the historical context of financial repression and examine its impact on retirees and savers.

Available on Spotify, Apple Podcast and YouTube

Higher learning, higher earning?

Is a postgraduate degree still worth it? Hosts Edmund Greaves and Chris Tuite discuss the real value of higher education with Rishi Zaveri, co-founder of Lendwise. They unpack the pros and cons of pursuing further education, the financial hurdles students often face, and how Lendwise is changing the game through peer-to-peer education loans. From the power of alumni networks to the role of qualifications in career growth, this episode explores how education – and how we fund it – is evolving.

Available on Spotify, Apple Podcast and YouTube

Could the Bank of England slash the base rate?

The Bank of England is set to cut its base rate, but how low could it go? Edmund Greaves and Chris Tuite look at why rates are coming down, how it could affect personal finances, the economy and the Government’s budget. They also look at the  reasons why it could be good for homeowners and bad for savers.

Available on Spotify, Apple Podcast and YouTube

How to not run out of money in retirement

Edmund Greaves and Chris Tuite are joined by Kevin Hollister, founder of Guiide, for a chat about the realities of retirement planning.

They explore why planning for the future is more important than ever, especially as younger generations face rising housing costs and uncertain financial projections.

Kevin shares how Guiide’s retirement income planning tool is helping individuals take control of their financial futures, from understanding income in retirement needs to navigating the role of home equity in retirement planning.

Available on Spotify, Apple Podcast and YouTube

Saving the Lifetime ISA

Is the Lifetime ISA in trouble? Brian Byrnes, head of personal finance at Moneybox, explains the two big problems the LISA faces, but why we might be hopeful of some reform come Autumn Budget 2025…

The context: the Parliamentary Treasury Select Committee is meeting again today to discuss the future of the Lifetime ISA or ‘LISA’ to decide what to do with the savings product.

Ahead of that we were very pleased to have Brian on to talk to host Edmund Greaves about the LISA.

Brian himself spoke to the committee in February about the case for the LISA. Moneybox, as the UK’s biggest LISA provider is understandably keen to see the product develop and succeed.

Check out the full podcast to get the inside track on the LISA from Brian and Edmund, its benefits and drawbacks – and what might happen in its future.

Available on YouTube, Spotify and Apple Podcasts

Money Remixed

Host Edmund Greaves speaks with authors Mark Wilkinson and Paul Grant about their book Money Remixed. They explore the mindset behind wealth, breaking down societal stigmas, and the link between health and financial success. Sharing personal stories, they highlight the power of discipline and self-awareness, and call for a new, empowering narrative around money.

Available on YouTube, Spotify, Apple podcasts

How modern couples manage their finances 

Join hosts Edmund Greaves and Chris Tuite as they sit down with Charlie Richardson, co-founder and CEO of Lumio, for a discussion on the challenges of managing money in modern relationships. From the evolution of joint accounts to balancing financial independence with shared goals, they unpack the complexities of couples’ finances.

Available on YouTube, Spotify, Apple podcasts

Spring Statement, Stealth Brit ISAs and good news for parents

Edmund Greaves and Chris Tuite unpack the events of Rachel Reeves’s Spring Statement – looking at the troubling economic headwinds, why the Government Budget is so tight and the stealth return of the Brit ISA. Plus, some good news to be had for parents who don’t like doing self assessment tax returns.

Available on Spotify, Apple Podcast and Youtube.

You don’t need to save for a 100 year life

Savers are encouraged by the finance industry to plan for a ‘100 year life’ – but is this just a way for them to charge more fees for longer? Join hosts Edmund Greaves and Chris Tuite as they chat with financial adviser and podcaster Dan Haylett, debunking myths about living a ‘100-year life’ and explore why aligning money with personal values is so important.

Available on Spotify, Apple Podcast and YouTube.

Spring Statement, ISAs and pensions

Edmund Greaves and Chris Tuite, joined by guest Craig Rickman, unpack the upcoming budget and what it means for your wallet. From potential changes to the cash ISA allowance to the impact of welfare cuts on state pensions, they break it all down. Plus, they explore why personal pensions matter more than ever and highlight the need for simpler, more accessible financial products.

Available on Spotify, Apple Podcast and YouTube.

Mouthy Money’s new focus – it’s time to get angry about our money

Join Edmund Greaves and Chris Tuite as they lay out Mouthy Money’s new approach to talking about money. From building wealth to protecting it and enjoying it – Mouthy Money is now dedicated to lifting the lid on why the system works against you and how you can flip it to your advantage to make your money go further – now and into the future

Available on Spotify, Apple Podcast and YouTube.

The Bargain Hunter

Host Edmund Greaves and Chris Tuite welcome financial journalist Kara Gammell to discuss her new book, The Bargain Hunter, exploring the savvy money-saving strategies and the psychology of spending. Kara shares quirky, practical tips to help listeners take control of their finances, proving that small savings add up to big wins. From smart shopping hacks to the surprising benefits of frozen foods, the conversation explores mindful budgeting, reducing waste, and making incremental changes for long-term financial success. They also highlight the importance of pensions and financial security.

Available on Spotify, Apple Podcast and YouTube.

The future of Cash ISAs, inflation and smart investing

In this episode, with speculation around the future of the Cash ISA increasing Chris Tuite sits down with Chris Rudden, Head of Investment Advisory at MoneyFarm, to break down the current ISA landscape. They explore why they are so popular, the hidden risks of inflation, and how government policies shape our savings and investments. Are cash ISAs really the best bet to build wealth, or is there a smarter way to grow your money?

Available on Spotify, Apple Podcast and YouTube.

Are first time buyers back? 

Edmund Greaves and Chris Tuite sit down with Stuart Cheetham, CEO of MPowered, to break down the prospects for first-time buyers as the mortgage market enters an important period. They discuss the recent shifts in stamp duty, the impact of interest rates, and the outlook for first-time buyers. The trio also explores the role of mortgage stress tests and how MPowered is re-imagining the mortgage process to make it more efficient. With insights on the role of brokers and predictions for the future of the market, this episode offers key takeaways for anyone navigating the changing mortgage landscape.

Available on Spotify, Apple Podcast and YouTube.

Is the party over for AI stocks?

Edmund Greaves and Chris Tuite consider the rise of DeepSeek, the AI technology challenging stock prices of US tech giants such as Nvidia and OpenAI, and what it means for global investment markets.

They also break down UK Chancellor Rachel Reeves’s economic growth plans and the challenges facing the Labour Government — from infrastructure investment to bank branch closures—and the balance needed to make the economy grow.

Available on Spotify, Apple Podcast and YouTube

What now for mortgages?

Edmund Greaves and Chris Tuite are joined by Jeni Browne to discuss the year ahead and the unpredictable rates impacting capital markets. They share personal remortgaging experiences and practical advice for borrowers, including tips on two-year and five-year fixed rates and insights into the future of interest rates.

This podcast is for information purposes only and should not be construed as advice. If in doubt, speak to an authorised advice professional.

Available on Spotify, Apple Podcast and YouTube

Why Gen Z and Millennials are turning to social media when making money decisions

Edmund Greaves and Chris Tuite unpack the findings of MRM’s ⁠Young Money Report 2025⁠, shedding light on how 18 to 30-year-olds are navigating their financial futures. They discuss the surprising optimism among young people, the growing influence of social media on money decisions, and the risks posed by scams. Insights from the report highlight a clear call for financial institutions to better engage with this audience. From the rise of financial influencers to the critical need for better education, they explore what’s shaping the new generation’s approach to money and why it matters for the future of finance.

Young Money Report

Available on Spotify, Apple Podcast and YouTube

Divorce Day: the financial implications of ending a marriage

Edmund Greaves and Chris Tuite tackle the tough realities of divorce with Atomos’s Helen Howcroft, breaking down the emotional and financial hurdles that come with ending a marriage. From the significance of ‘Divorce Day’ to busting myths about financial entitlements, they uncover what really happens behind the scenes. Helen shares her professional experiences on navigating the key stages of divorce, managing the emotional rollercoaster, and why expert support is essential.

Available on Spotify, Apple Podcast and YouTube

Why are we losing confidence in our pensions

Edmund Greaves and Chris Tuite tackle the challenges of retirement planning with Andrew Tully from Nucleus. They discuss starting early, the power of compounding, and bridging the pension advice gap. Insights from Nucleus’s confidence index highlight rising public concerns about retirement savings. Plus they talk about the role of financial influencers, skepticism about state pensions, and the need for better education and stable policies to rebuild trust.

Available on Spotify, Apple Podcast and YouTube.

Should millennials be panicked about pensions?

How worried are you about your pension? Edmund Greaves and Chris Tuite explore the tricky world of retirement saving with guest Paul Budgen, co-founder of My Time Pension.

They chat about why pensions can feel so stressful and confusing, and how understanding them doesn’t have to be as scary as it seems. From figuring out what those pension projections really mean to breaking down charges and why they matter, the team covers all the key stuff.

They also talk about how to spread your investments around (because no one likes all their eggs in one basket!) and share tips on navigating tax perks and retirement planning without getting lost in the jargon. Investing and managing your own pension carries risks. If in doubt, seek financial advice.

Available on Spotify, Apple Podcast and YouTube.

How to give your kids the gift of financial freedom this Christmas

Hosts Edmund Greaves and Chris Tuite get into the holiday spirit with guest Cem Eyi, co-founder of The Beanstalk App, an app helping UK families save for their kids’ futures.

They unwrap the magic of children’s savings, from the legacy of the Child Trust Fund to the power of Junior ISAs, while also spilling the beans on holiday spending habits across the UK.

But it’s not all mince pies and mistletoe—they dig into sustainable gifting ideas to help Brits cut down on waste and give gifts with real meaning.

Available on Spotify, Apple Podcast and YouTube.

Generation X has a pension problem

Host Edmund Greaves chats with Mike Ambery, Retirement Savings Director at Standard Life, about the challenges Generation X faces with pensions and retirement savings. Drawing on findings from Standard Life’s latest report, they discuss the pensions savings gap, the role of state pensions and property, and share practical tips to help Gen X boost their retirement prospects.

Available on Spotify, Apple Podcast and YouTube

What if you won the lottery?

Hosts Edmund Greaves and Chris Tuite venture into the glittering world of lottery wins, celebrating the 30th anniversary of the National Lottery. With the help of financial expert Duncan Horner from Amber River Premier, they tackle the dreams and dilemmas that come with sudden, life-changing wealth. From the emotional whirlwind winners experience to the practical steps needed to turn millions into generational security. The trio unpacks the highs of newfound riches and the potential pitfalls, revealing just how important financial planning, budgeting, and education are to keeping that dream alive

Available on Spotify, Apple Podcast and YouTube.

Afin Bank launch and will Bitcoin go to the moon?

Edmund Greaves and Chris Tuite chat about the launch of Afin Bank, a challenger bank designed to support the African diaspora in the UK. Alan Davison, Afin Bank’s Chief Commercial Officer, joins the podcast to explain the bank’s mission to help underserved communities, particularly in getting access to mortgages and other financial services. They explore the unique challenges African immigrants face in the UK, like residency requirements and tricky credit scoring, and how Afin Bank plans to make lending more accessible. They also touch on the bigger picture of challenger banks and the rise of digital currencies like Bitcoin, reflecting on how fast the financial world is changing.

Available on Spotify, Apple Podcast and YouTube.

US Election results, markets and Bitcoin

This week hosts Edmund Greaves and Chris Tuite tackle the financial whirlwind stirred up by Donald Trump’s victory. Is it a golden opportunity for investors, or a recipe for runaway inflation? With insights from Saxo Bank’s Althea Spinozzi, they break down what it could mean for your wallet—from the Bank of England’s next moves to the impact on global markets. They also discuss whether Bitcoin and gold might be your best friends in these turbulent times, or just fool’s gold.

Available on Spotify, Apple Podcast and YouTube.

Mouthy Money 2024 LIVE Part Two: Hot Takes

Budget 20204 Hot Takes: Edmund Greaves and Chris Tuite, are joined by Victor Sacks, owner and IFA at VS Associates and Marlene Outrim, Managing Director and Certified Financial Planner at Uniq Family Wealth immediately after Chancellor Rachel Reeves finished her first Budget to give their live hot takes on what it means for our finances.

Available on Spotify, Apple Podcast and YouTube.

Photo credits: Flickr

Mouthy Money 2024 LIVE Part One: Budget Bingo

Mouthy money editor Edmund Greaves is joined live by Chris Tuite, Head of consumer finance at communications consultancy MRM, to comment along and play Budget Bingo while Chancellor Rachel Reeves delivers her first Budget to Parliament.

Available on Spotify, Apple Podcast and YouTube.

Budget, media speculation and pensions

 This week, Edmund Greaves and Chris team up to tackle some of the hottest topics in personal finance. They chat about the upcoming budget, break down how the media shapes our views, and discuss the tricky decisions the government has to make. The duo also takes a close look at state pension reforms, inheritance tax simplification, and share personal finance tips to keep you ahead. Chris opens up about his own experience with workplace pensions and the challenge of picking the right investment options.

Available on Spotify, Apple Podcast and YouTube

Photo credits:  HM Treasury Flickr 

Tax rumours, scammers and Amazon Prime Day

This week, host Edmund Greaves is joined by colleague Francesca Giacomin to dive into the biggest money stories of the week. From Rachel Reeves’s retreat from a controversial pension tax raids to new rules aimed at protecting you from sneaky text and email scammers, Ed and Francesca share their personal stories dealing with scammers and why these changes could make a big difference for consumers. And don’t miss their chat about Amazon Prime Day, where Ed reveals a clever trick to ensure you’re not overspending online.

Available on Spotify, Apple Podcast and Youtube

Pension pitfalls, tipping truths and bills breakthroughs

The luxury cruise liner Odyssey remains anchored off Northern Ireland after months of delays, turning a planned three-year adventure for pensioners into a maritime soap opera. In this week’s podcast, Edmund Greaves and Chris Tuite discuss whether it’s a smart investment or if the passengers’ retirement savings are just drifting away. They also tackle the controversial subject of tipping—are Brits really stingy abroad? Plus, Ed shares how switching energy providers helped cut his bills and offers tips to save you money.

Available on Spotify , Apple Podcast and Youtube

Two new Government policies NOT in the Budget that could affect your finances

Edmund Greaves welcomes back co-host Chris Tuite from paternity leave to look at two the big Government reforms being forgotten as attention focuses on the upcoming Budget. While everyone’s talking about taxes, Edmund and Chris focus on coming renters’ and workers’ rights reforms. Plus, Chris and Ed debate Junior ISAs or pensions for your kids?

Available on Spotify, Apple Podcast and YouTube

Starlink fixed my broadband blues

Edmund Greaves chats with Debbie Greenfield about how Starlink, Elon Musk’s satellite internet, transformed her slow, frustrating Wi-Fi into a fast, reliable connection. Debbie shares her experience and how it turned things around for her life and work.

Available on Spotify, Apple Podcast and YouTube

Childcare juggling, winter fuel allowance and mortgage market joy

Edmund Greaves catches up with Paul Thomas, MRM’s head of news and content, as the two new dads dive into the costs of childcare. They swap stories about the challenges of navigating this ever-growing expense and even compare how things stack up between Wales and England.

Plus they tackle the impact of cuts to the winter fuel allowance on pensioners and discuss the news of a £460 increase in the state pension under the triple lock. Finally, they hit Paul’s home turf: the world of mortgages and the current state of the property market.

Available on Spotify, Apple Podcast and YouTube.

Could mutuals be the future of good money?

Mutuals have been around for more than 100 years. Could the unusual structure of such companies be a potential future solution to better financial companies? Edmund Greaves is joined by Stephen McGee, chief executive of Scottish Friendly, to find out more about mutuals and their place in finance in 2024.

Available on Spotify, Apple Podcast and YouTube.

Oasis reunion tickets, winning the lottery and childcare chaos

Chris regales Ed with tales of seeing Oasis at their peak, and how much a ticket will cost for the reunion, and whether this and a Labour Government means Cool Britannia is back.

Plus both consider what they’d do with a £100 million lottery win and appeal for a financial advisor to help them make the most of their (currently) fictional cash, while Ed opines the complexity of getting government help with childcare and an important revelation from Pregnant then Screwed on free childcare hours.

Available on Spotify, Apple Podcast and YouTube.

Photo by Yvette de Wit on Unsplash

How to manage vulnerability and money

Vulnerability is a major issue in financial services. So how can vulnerable people, and the firms that have to help them, get better organised for the issue? Edmund Greaves is joined by Helen Lord, chief executive of the Vulnerability Registration Service to discuss her work and experiences dealing with vulnerability and finance.

Available on Spotify, Apple Podcast and YouTube.

Markets mayhem and expensive hobbies

Chris and Ed look at what’s been happening in markets, and if it matters to normal people. Plus, they both admit to their expensive hobbies, and complain about the railways.

Available on Spotify, Apple Podcast and Youtube.

Loud budgeting, cash stuffing and a big rate decision

Ed and Chris talk big social media money trends including loud budgeting, cash stuffing and doom spending.

The guys also look at this week’s big money story, the interest rate decision from the Bank of England. Both give their potential predictions on what could happen.

Available on: Spotify, Apple Podcast, YouTube

Financial jargon’s worst offenders and how to fix the broken language around retirement

For a special in-studio edition of the Mouthy Money podcast, host Edmund Greaves is joined by James Daley, founder of ratings and consumer group Fairer Finance, and Robert Vaudry, chief customer and investment officer at Wealthtime, to take a deep dive into the world of financial jargon, retirement language and regulatory change coming for financial firms who don’t explain their products in simpler terms.

Available on: Spotify, Apple Podcast, YouTube

Nationwide or Reddit? Where we get our financial information

There’s a problem in the way in which we get our financial information. From Nationwide savings emails to money forums on Reddit – Chris and Ed look at how we obtain financial information, how blurred the rules are, and why the regulator gets it wrong so often.

Available on: Spotify, Apple Podcast, YouTube

One ISA to rule them all

Ed and Chris invite AJ Bell’s Tom Selby on to the pod to talk about potential end to the Brit ISA and the investment platform’s ‘One ISA’ proposal it has submitted to the new Labour Government.

Available on Spotify, Apple Podcast and YouTube.

How do you solve the housing affordability puzzle?

Host Edmund Greaves is joined by Polly Gilbert, co-founder of digital mortgage broker Tembo, to discuss what’s happening in the mortgage market, how to solve the housing affordability puzzle, and why the Lifetime ISA is a good thing.

Available on Spotify, Apple Podcast and YouTube

Labour in charge, prime minister investment scores and bank rates

Chris and Ed look at what happens now Labour is in charge, the prime ministers with the best (and worst) investment returns, and what happens next in the mortgage market.

Available on Spotify, Apple Podcast and YouTube

Photo credits: HM treasury

Where do mortgage rates go from here? Part one of the mortgage takeover special

What is happening in the mortgage market? Where do rates go now the Bank of England is looking to cut its base rate?

Host Edmund Greaves is joined by mortgage expert Roger Morris and John Davison from Perenna to talk about what happens next in the mortgage market, and whether we’ll ever get low rates again.

Listen on Spotify or Apple Podcasts or watch on Youtube

Council tax, land value tax and what Labour does on 5 July

Council tax is the most broken of all the taxes. Ed and Chris dig into why, while Ed waxes lyrical about his favourite solution. Then the guys look at what they think Labour will do come the first day in Government.

Available on Spotify, Apple Podcast and YouTube.

Savers vs spenders, investing gamification and the mortgage takeover

Ed and Chris get to grips with saving vs spending (the Stoics vs the Epicureans of the 21st Century), why the financial regulator is looking at investing gamification and Mouthy Money’s upcoming mortgage takeover.

Available on Spotify, Apple Podcast and YouTube.

What can the Brits learn from Australians about money?

Everyone talks about the Australian pensions system and how much the UK can learn from how much better it is. But what else can we learn from the Aussies about money?

Hope Coumbe, editor of Professional Adviser, catches up with host Edmund Greaves to talk about her experiences as an Australian living in the UK and what the Brits might be able to learn about money from the other side of the world.

Available on Spotify, Apple Podcast and Youtube.

Interest rates, Brit ISAs and beating bill hikes

Mouthy Money editor Edmund Greaves catches up with MRM’s Chris Tuite on weekly money news and personal financial stories including:

Why interest rates are a big deal this week, why the Brit ISA sucks, a tax story that caught our eye, and Ed’s battle of the bills.

Available on Spotify, Apple Podcast and Youtube.

Diary of an SME owner: it’s all just luck

Mouthy Money diary of an SME owner columnist Michael Taggart catches up with host Edmund Greaves on how his business, MDTea, is getting on. With economic clouds growing, Michael talks about what he feels offered by political parties at the General Election, and why so much of success in business and personal finances comes down to luck. 

Available on Spotify, Apple Podcast and YouTube.

Financial repression, perverse tax outcomes and paying for childcare

Mouthy Money bonus episode two: Ed lectures Chris on ‘financial repression’ – the little-known tool that the next Government might use to fix the economy, while Chris bemoans bad taxes and Ed recounts his trouble finding childcare for his son.

The Mouthy Money bonus podcast is cohosted by Edmund Greaves, editor of Mouthy Money and Chris Tuite, head of consumer finance at MRM.

Available on Spotify and Apple Podcast

BONUS: F OFF funds, pension quad locks and ignoring your investments

In the first edition of a new weekly bonus show on the Mouthy Money podcast channel, host Edmund Greaves is joined by Chris Tuite, head of consumer finance at MRM to discuss the week’s most important money news, and what’s going on in their personal financial lives.

This week, Chris and Ed discuss General Election announcements, rainy day funds and not looking at your investments.

Available on Spotify and Apple Podcast.

Tracking down your lost pensions

Have you lost a pension? You might not be the only one. Host Edmund Greaves speaks to head of pensions at Penny, David Henderson, as they discuss a Penny customer who found no less than 11 lost pensions with the app.

Available on Spotify and Apple Podcast.

Figuring out your financial goals

Host Edmund Greaves catches up with friend of the channel Myron Jobson. This week Myron & Ed are diving into how to figure out your financial goals. Both reveal some of their past and future goals, and Myron has a handy little guide to how to set your own.

Available on Spotify and Apple Podcast

Why can’t I hold bitcoin in an ISA?

This week we’re joined by Tom Bailey, head of research at Han ETF. Tom speaks to host Edmund Greaves about the world of ETFs, including gold and other asset classes, now available to investors through the investment vehicle.

He also digs into why normal investors in the UK can’t hold bitcoin ETFs thanks to intransigence from the UK’s financial regulator.

Listen on Spotify and Apple Podcast.

Being chased for energy bill debts by Michael Jackson

This week’s guest is university lecturer and author Dennis Duncan, who recounts a personal story to host Edmund Greaves about how he was hounded for thousands of unpaid energy bills he didn’t owe after his energy provider went bust, and how he beat the debt collectors who were chasing him.

But strangest of all in the tale, is how the debt collectors signed off their threatening letters with a signature that looked suspiciously like that of late pop star Michael Jackson. Dennis explains what happened and how he beat the debt collectors at their own game.

Listen on Spotify and Apple Podcast

Could financial education solve the pensions crisis?

Could financial education solve the pensions crisis? This is the extraordinary possibility which Sarah Marks, chief executive of financial education charity RedSTART suggests this week when she caught up with host Edmund Greaves. Sarah shares the latest findings from RedSTART’s multi-year education study as well as some surprising insights into why we’re in such a collective fix with our retirement savings.

Listen on Spotify and Apple Podcast

Mouthy Money book competitions

Join host Edmund Greaves and Francesca Giacomin for a quick catch-up on recent news and what’s coming up at Mouthy Money. We even let slip the title of our next book giveaway and the name of an exciting upcoming podcast guest! Tune in to catch all the details!

Listen on Spotify and Apple Podcast.

How rich is rich?

Our concept of wealth is a constantly moving barrier. As we earn and save more, the idea that we might now be ‘rich’ seems difficult to comprehend. But how much would really be the level at which money makes us rich?

Join host Edmund Greaves as he’s joined by MRM’s head of consumer finance Chris Tuite, who details the findings of the Money Matters Index report – and puts an exact number on exactly how much money makes us rich, according to us.

Listen on Spotify and Apple Podcast.

Robinhood and the tumultuous retail investing boom

The meme stock boom of the pandemic might be over, but are small-time investors is still thriving? The arrival of US-bases Robinhood in the UK is a timely reminder of just how many options there are for Brits looking to invest their savings.

But with so many options are these firms stable enough to survive, let alone thrive, in tumultuous investment markets?

Mouthy Money podcast host Edmund Greaves is joined by chief executive of Fundscape, Bella Caridade-Ferreira and Chris Tuite, head of consumer finance at MRM, to unpick the investment platform market and why we’re nowhere near a potential saturation point.

Listen on Spotify and Apple Podcast.

Where do interest rates go now?

Remortgagers are facing a big question now that rates look set to start falling as inflation eases. In the latest edition of the Mouthy Money podcast, contributing editor Paul Thomas chats to Perry Graves, mortgage broker at Tembo Money to find out what people should do.

Listen on Spotify and Apple Podcast.

Myron & Ed – Spring Budget 2024 and end of the tax year

Host Edmund Greaves and ii financial expert Myron Jobson are back to dissect Jeremy Hunt’s Spring Budget 2024, highlighting the key announcements and what they mean for our finances. Plus, Myron explains last-minute tax year considerations, including capital gains tax changes and more.

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The true cost of climbing Kilimanjaro

Mouthy Money podcast host Edmund Greaves recounts his recent experience climbing Kilimanjaro for charity, following on from his article about the costs involved with planning a trek up Africa’s highest mountain.

From vaccines to M-Pesa, acclimatising to the gear for summiting – there’s a multitude of money aspects to think of before you climb.

Joined by Argentine-American bitcoin educator and friend of the podcast Trevor Schrock.

Listen on Spotify or Apple Podcast

Review: The Everything Token by Steve Kaczynski and Scott Duke Kominers

Crypto and non-fungible tokens (NFTs) have been on a wild ride in the past few years.

Edmund Greaves and Francesca Giacomin review a new book, ‘The Everything Token’ by Steve Kaczynski and Scott Duke Kominers which delves into the world of NFT technology. Mouthy Money is giving away one of three copies, find out more how to win one by listening in.

Listen on Spotify or Apple Podcast

Cash is dying. Should we save it?

Cash is dying out as a form of payment. But is it worth saving? Host Edmund Greaves talks to Martin Quinn from the Payment Choice Alliance on why cash matters, and why it might be making a comeback as a payment option.

Listen on Spotify or Apple Podcast

Look at the state of the mortgage market

Are you remortgaging this year? The home loan market is a minefield at the moment. Host Edmund Greaves catches up with colleague and mortgage aficionado Paul Thomas on how we got to the current situation and what anyone who is looking to remortgage should consider right now.

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Myron & Ed: Budget preview – the tax measures to watch out for

In this month’s Myron & Ed team up, the guys preview the upcoming Budget in March, including what they THINK will be in the Budget, what they WANT and the controversial tax Ed would like to see in his wildest dreams…

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Beware the cowboy will writers

You’ve heard of cowboy builders, but did you know cowboy will writers were a thing? Join host Edmund Greaves as he uncovers the scourge of dodgy will writing with Sarah Manuel of professional body STEP, to find out how a bad will could cost you thousands.

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Six key trends in finance

Could AI solve the advice gap? This is one of six key trends highlighted by fintech entrepreneur Anthony Morrow, who joins host Edmund Greaves to discuss major changes coming for financial services and consumers this year.

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Could bitcoin solve the world’s inflation problems?

With rampant inflation, should we consider a return to the gold standard? Or is the future of money shaped by innovative financial technologies like bitcoin? Host Edmund Greaves digs into how bitcoin works with bitcoin educator Trevor Schrock, and whether it could change how the world’s financial system works.

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Myron & Ed: Mortgage rates, the cost of Kilimanjaro and New Year’s resolutions

In episode two of Myron & Ed’s monthly money podcast Edmund Greaves, editor of Mouthy Money, and Myron Jobson, personal finance expert at interactive investor dig what’s happening to mortgage rates, the real cost of climbing Kilimanjaro, and important New Year’s financial resolutions.

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Is Blue Monday real?

Is Blue Monday a real thing, or just a concoction to encourage people to buy holidays? Edmund Greaves chats to MRM’s Chris Tuite to look at ‘Blue Monday’s’ origins and questionable motives – but ponders whether it might actually be worthwhile despite the PR spin.

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How Argentina lives with 200% inflation

Mouthy Money editor Edmund Greaves is joined by Argentine-American bitcoin educator Trevor Schrock to get to grips with what living with 200%+ inflation is like in Argentina, and whether bitcoin could one day be the solution to the problem.

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Why financial education matters – part two

Join Edmund Greaves for a thought-provoking discussion with Sarah Marks, CEO of RedSTART Educate in the second part of our series on why financial education matters.

In this episode, Ed and Sarah delve into the landscape of financial education, examining the importance of providing individuals with essential financial literacy skills.

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Ed and Myron: our financial lives and the Autumn Statement 2023

We’re very excited this week to launch a brand new collaboration on the Mouthy Money podcast. Editor Edmund Greaves and interactive investor personal finance expert Myron Jobson have teamed up to create a brand new series of longer-form podcasts on the Mouthy Money podcast channel.

In the first edition, Myron and Ed dig into their own backgrounds to consider some of the things that have shaped their money lives, including hardworking mums, becoming dads and the lessons they’ve learned from their own mistakes and experiences with money.

They also round up some of the big news from November’s Autumn Statement and how this could affect your money in 2024. Stay tuned and subscribe to our podcast channels to hear more from them in the coming months!

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Why financial education matters – part one

Editor Edmund Greaves chats with financial journalist and children’s book author Sonia Rach to explore the importance of starting early with kids, who learn financial habits as early as age seven.

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The Young Money report

Welcome to Episode 10 of the Mini Money Podcast! Join our host, editor Edmund Greaves, alongside our guest, Chris Tuite, MRM Director and Head of Consumer Finance.

In this episode, we explore the recently released ‘The Young Money Report,’ an MRM report in collaboration with Mouthy Money.

Gain valuable insights as Ed and Chris discuss key findings and explore how industry experts reacted to the findings.

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Diary of an SME owner

Episode 9 of Mini Money Podcast, featuring the small business owner and Mouthy Money columnist Michael Taggart.

We dive into Michael’s personal finance background and his journey to running his own small business MDTea.

Plus we find out what he’d do if he won the lottery, and what he’d do as Chancellor for the day.

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The problem with vets

‘The Problem with Vets’ delves into the soaring expenses of veterinary care.

Join us as we dissect the CMA’s investigation and unravel the complex connection between pet owners, private equity, and your furry friend’s well-being.

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Emergency funds

Francesca and Edmund tackle the essentials of personal finance amid some unexpected background drilling noise.

It’s not your typical podcast interference; we’re just “drilling down” on the money matters!

They’ll guide you through building an emergency fund, spill the beans on surprising inflation trends, and share the top Money Blogs of the Week from Mouthy Money.

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Financial goals

Join Francesca and Ed in the latest episode of the Mini Money Podcast for an engaging discussion: Francesca and Ed define the financial term of the week, “portfolio,” and delve into its significance in personal finance.

Ed answers essential questions about financial goal setting, risk assessment, tax considerations, asset allocation, and the role of financial advisors in portfolio management. Discover two thought-provoking blogs from Mouthy Money: “How to make money from retail deal arbitrage” by Nick Daws and “Project Mbappe: what are the true costs of making your child a sport star?” by Barnaby Sargent Megicks.

Stay updated with the latest financial news highlights courtesy of Ed. Don’t miss out on this informative episode! Tune in to gain valuable insights into managing your finances effectively. Remember to like, subscribe, and hit the notification bell to stay updated with the Mini Money Podcast.

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Rising interest rates

Join Francesca, your host, and our Mouthy Money Editor, Edmund Greaves, as they dive into the fascinating world of finance and money management.

In this episode, we start with our “Word of the Week,” where we demystify the term “interest rates.” Ed shares his insights and answers some burning questions, including how interest rates vary among UK savings accounts.

Get ready for some valuable tips on leveraging rising interest rates for your investments and understanding the impact of inflation on your savings and investments.

But that’s not all! We also discuss the latest Mouthy Money blog articles, including an exciting opportunity to get your will written for free in October. Trust us; you won’t want to miss this important financial advice.

And in our “Must Know Money News” segment, Ed delves into the hot topic of Inheritance tax abolition, asking whether it will truly save the richest £1 million. As always, Ed provides his expert insights to help you navigate the complex world of finance. Be sure to check out the full articles on the Mouthy Money website for even more in-depth information.

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The Money Mole

Welcome to another exciting episode of the Mini Money Podcast!

Join your host, Francesca, and Mouthy Money Editor Ed Greaves as they dive into the world of personal finance and introduce the enigmatic Money Mole!

In this lively episode, they kick things off with the Word of the Week: “liability.” Ever wondered how personal liabilities impact your financial journey? They’ve got the answers!

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Pension Awareness Week

In this episode, we celebrate Pension Awareness Week by delving into the world of pensions with our financial expert, Ed, and host Francesca.

Discover the ins and outs of pensions, types of pension plans, government’s role, and much more. Ed answers key questions, offering valuable insights and tips for better financial planning.

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Intro to Mini Money

Welcome to the Mini Money Podcast, your weekly financial knowledge boost! Are you tired of feeling lost in the financial jargon jungle?

Look no further! Join us every week as we dive into the world of money and make it simple for you. In each episode, we’ll take a deep dive into a different financial word or concept, breaking it down into plain and understandable terms that anyone can grasp.

Whether you’re a seasoned investor or just starting on your financial journey, we’ve got you covered. But that’s not all!

We’ll also keep you in the loop with the latest financial blogs of the week, offering insights and tips to help you make informed decisions about your money.

Plus, we’ll bring you up-to-date with any other relevant financial news that you need to know. Stay informed, stay empowered, and stay financially savvy with the Mini Money Podcast. Subscribe now, and let’s make finance easy and fun together!

Listen on Spotify or Apple Podcast

The post The Mouthy Money Podcast appeared first on Mouthy Money.

Couples finances are a minefield. From who buys the loo roll, to the best approach to saving for a deposit – it’s pretty easy to come to some spectacular disagreements over money.

Early in my relationship with my now wife Ellyn, I became aware that one of the biggest issues was going to be the discrepancy between what her and I earn.

It’s not a massive gap, but (hopefully she won’t mind me saying) I do earn more than she does. A lot of this has to do with the fact that she’s a woefully underpaid nurse – but that is a story for another day.

If I look back to when our finances began to mesh together as a couple, it was almost certainly when we moved in together.

From that moment, we have saved for holidays together, bought cars, bought a house, got married, got a dog and now have a son. These are all big financial commitments or outlays.

So when our finances merged, my solution to that was to do my favourite thing – make a spreadsheet.

Big enough nerd about money that I am, I created a spreadsheet with a specific algorithm. Here’s how it works.

The spreadsheet is based on the 50/20/30 budgeting method (50% of income goes on fixed costs, 20% on debt or savings and 30% on discretionary spending).

The first step is to input our individual earnings. The algorithm totals this up to a combined figure. It then calculates what each percentage of this overall income our individual earnings represent.

Currently, of our total earnings, I earn 64% and she earns 36% of the total. So what does this mean? Once calculated, it takes into account our fixed costs and apportions how much we each pay towards this, based on our relative earnings.

In other words, I’m on the hook for 64% of the bills and she pays 36%.

Beyond that, individual subscriptions that we don’t share are portioned out, as are debt costs like credit cards etc. We don’t share credit card spending so we’re individually on the hook for what we owe.

Once this is all calculated, we are both roughly left with the same discretionary spending money each month.

It works well because neither of us is left feeling like we’ve been treated unfairly. If we were to split everything 50/50 Ellyn would be in dire financial straits constantly and it simply wouldn’t be fair.

More from Edmund Greaves

Modern couples

This is what struck me in this week’s Mouthy Money podcast – and my co-host Chris Tuite highlighted to me – our finances are, well, redistributive. One might say…socialist! Not something I’m know for, truth be told.

We were having this discussion with Charlie Richardson, one of the co-founders of a money app for couples called Lumio. Do check out the episode.

What I was struck by was two things:

1. Most people are not as fanatical about budgeting as me. Charlie did point this out, and I won’t disagree

2. These kinds of big financial questions for couples tend only to really take effect when big life events such as moving in together or getting married happen.

This is what makes Lumio’s idea compelling – it caters to couples at all stages of their relationships (ok, probably not with the nice person you’ve been on two Tinder dates with, but you get the idea).

Money is capable of derailing even the most budding of romances. How do you manage saving for that first holiday together? What if you want to move in, but you’re worried about how the bills will be split?

These are significant issues, which often we’re not equipped to deal with – especially when you’re in your 20s and you’re probably battling to manage money even just as a single person. Adding in a second just makes it all the more complicated.

So the good news is there’s now an app for that! I’m not being paid to say this, but Lumio seems like it might actually be a decent idea.

If you do happen to try it, let us know – we’d love to hear your experiences. The email to contact us is editors@mouthymoney.co.uk. Good luck out there!

Photo credits: Pexels

The post When it comes to couples finances, I’m a socialist at heart appeared first on Mouthy Money.

This was not a full Budget. Chancellor Rachel Reeves reiterated her commitment to one major fiscal event annually, but it included significant policy shifts affecting public finances, welfare, and defence. 

Rachel Reeves has ruled out tax rises for now, but a number of tweaks and buried items in the Government’s documents suggest more could be on the horizon.

Below is a detailed breakdown of the key points and their implications for UK households and taxpayers.

Rachel Reeves downbeat economy

The Office for Budget Responsibility (OBR) revised its 2025 GDP growth forecast from 2% to 1%, citing global trade tensions, including new 25% US tariffs on cars and parts, and a slower domestic recovery. 

Inflation is projected at 2.8% in 2025, with the Bank of England maintaining interest rates at 4.5%. Longer-term forecasts show slight improvement, with growth rising to 1.9% in 2026 and averaging 1.7-1.8% through 2029. 

The OBR estimates real household disposable income could increase by £500 annually by 2029-30, compared to the previous government’s final Budget, assuming tax thresholds are adjusted.

Public sector net borrowing is expected to fall from £112 billion in 2025-26 to £58 billion by 2029-30, reflecting tighter fiscal control. 

However, the OBR notes this trajectory leaves limited room for economic shocks, with debt peaking at 96.8% of GDP in 2027-28 before declining slightly.

Fiscal discipline 

Rachel Reeves adhered to her fiscal rules: balancing day-to-day spending with revenue and managing debt levels. 

Without adjustments, the budget would have faced a £4.1 billion deficit by 2027-28. Instead, measures secure a £6 billion surplus in 2027-28, rising to £9.9 billion by 2029-30. 

This ‘headroom’ is narrow, with the OBR warning it could vanish if growth falters further or external pressures mount.

Welfare cuts

Welfare spending faced significant reductions. From April 2026, new claimants of health-related Universal Credit will receive £50 weekly instead of £97, with payments frozen until 2030. Under-22s will be ineligible for this element. 

Existing claimants retain £97 weekly until 2030, though a severe conditions top-up is planned. 

The standard Universal Credit allowance will rise from £92 to £106 weekly by 2029-30, a £14 increase over five years. These changes are projected to reduce welfare spending by £3.2 billion annually by 2029-30. 

Analysis suggests three million households could lose £1,720 yearly on average, pushing 250,000 people, including 50,000 children, into relative poverty. 

Reeves allocated £1 billion for employment support, aiming to offset cuts by boosting workforce participation.

Rachel Reeves leaves taxes unchanged, for now

No new tax rises were announced, aligning with Reeves’ pledge to avoid mid-year hikes. 

However, measures from the Autumn Budget persist: employer National Insurance rises from 13.8% to 15% in April 2025, and personal tax thresholds remain frozen until 2028-29. 

This fiscal drag will increase the tax burden, with revenue projected at 37.7% of GDP by 2029-30, a post-war high. 

Late payment penalties for self-assessment tax will double to 10% from April 2026, raising an estimated £200 million annually.

In the follow up documents from the Government on the Spring Statement, the Government confirmed it was making rules around late filing of self assessment tax returns harsher, with bigger penalties for late filing.

It also announced that parents who face paying the High Income Child Benefit Charge will no longer have to file a self assessment but instead will be able to use a digital service that repays their child benefit through PAYE. 

Finally, the Government announced it is looking at reforms to the ISA allowance and whether it can be better used to promote private investors and UK growth.

Ask our experts your money questions

Household impact

For households, the Spring Statement offers little immediate relief. Mortgage holders face sustained pressure with interest rates at 4.5% and renters see no respite from rising costs as welfare support tightens. 

The £500 projected rise in disposable income by 2029-30 hinges on future growth and tax adjustments, offering a distant prospect rather than immediate help. 

Low-income families, particularly those on benefits, will feel the welfare cuts most acutely, with the Resolution Foundation estimating a 2% drop in real income for the poorest fifth of households by 2027.

The 2025 Spring Statement prioritises fiscal stability over bold intervention, trimming welfare and boosting defence while holding the tax line. 

For UK households, it’s a lean outlook. Slower growth, tighter benefits and no quick fixes. 

Reeves is betting on long-term discipline paying off, but with global risks looming, the margin for error is slim.

Photo courtesy of HM Treasury Flickr

The post Spring Statement 2025: Rachel Reeves’s key announcements appeared first on Mouthy Money.

Can you feel it? That is the sensation of the world slipping through your fingers.

The Great Financial Crisis, the housing crisis, Brexit, Covid, the cost-of-living crisis, the energy crisis. Any I forgot? It feels as if no matter what we do, we are all just keeping our heads above water.

If, like me, you came of age in the fire and brimstone of the Great Financial Crisis you might well wonder, has everything afterwards been just a total con?

You might have been a student during the turbulent Covid years, now condemned to massive student debt thinking, thinking where exactly did that get me?

Or you could be a parent who gets valuable child benefits while simultaneously being taxed to high heaven, thinking, can’t I just keep more of my own money? 

Maybe you’re the child of a baby boomer, watching them sitting on their pile of cash and home like Smaug and his gold, taking cruises and buying Range Rovers with your ‘inheritance’. 

Perhaps you feel you’ve worked hard to get to where you are today, but you’re crushed by the anxiety of what to do with it now you’ve got it. Least of all you want the Government pinching half of it for its mad pet projects.

And what about a 20-30-something who wants a family, but is locked out of the housing market by decades of bad policy from every political persuasion, vested interest and NIMBY psychopaths of your worst nightmares?

We all have a bone to pick with the system.

Dead-end job prospects. Stagnant pay. £15 olive oil. The Government taking half your money to pay people a ‘state’ ‘pension’ from a fictional ‘fund’ based on lies, damned lies and statistics. Fiddling while Rome burns.

The list of things that have arrived in the 21^st century to truly Screw…Us…Over…is growing by the day. 

We here at Mouthy Money are no longer going to take these affronts lying down anymore.

I’m not gonna leave you alone. I want you to get MAD! I don’t want you to protest. I don’t want you to riot – I don’t want you to write to your congressman, because I wouldn’t know what to tell you to write.

I don’t know what to do about the depression and the inflation and the Russians and the crime in the street. All I know is that first you’ve got to get mad. (shouting) You’ve got to say: ‘I’m a human being, god-dammit! My life has value!’ – Peter Finch in Network (1976).

So, from today, we’re tightening our focus. For those who want to build financial independence, we’re here to help you get rich, or die trying.*

And for those who have already built it, we’re here to help you decide how to protect well-earned wealth and spend it (and not be scared of ashamed of doing so either).

Why we’ve ended up here

Mouthy Money has been around since 2016, focused on telling people’s personal financial stories. We launched a podcast in October 2023, which has gone from strength to strength in the past year.

Increasingly though, and as Chris Tuite joined me as co-host, it has become clear that what really matters to us, and our audience, is that no one is looking out for our long-term financial health. 

Sure, financial firms do what they can. But Government institutions pay lip service, give and take small-time benefits, allowances or bonuses. Tax this, give that. It’s not enough.

The truth is no matter what your situation, there are tools there to help you get wealthier. To live the life you actually want to lead.

The system as it exists is not designed to screw you. What screws you is all the vested interests that come for their slice along the way. It’s time to stop those interests from winning.

From a high street bank that gives you a measly interest rate, to the insurer that hikes your premium without fail every year, or the private equity enterprise behind the vet that bills you for every penny any time your dog has a sniffle – we’ve had enough.

Mouthy Money is not here to break the system open. But we are now here to show you how to win against it and how to work with the companies that actually want to help you. And we might even try to change it for the better while we’re at it. 

Mouthy Money’s new manifesto

Mouthy Money is a money blog dedicated to speaking up about the importance of long-term wealth – how to build it; how to protect it; how to enjoy it.

We want to focus on real money issues and tackle the stigma around the importance of wealth and how people can achieve it responsibly and sustainably, by using the system as it exists to their benefit and promoting change from within.

Our mission is to provide essential information to readers: to help better inform and offer them the power to choose the right path for their own wealth growth, preservation and enjoyment.

We are a team of financial journalists with a deep pool of expertise and experience, from investing to pensions, mortgages, budgeting and more.

We’re very excited for this new chapter in our journey. Get in touch at editors@mouthymoney.co.uk if you’d like to be a part of it.

*When we say make you rich, we mean responsibly over time using legal methods. Don’t go getting any ideas!

The post We want to make you rich, but first you’ve got to get angry appeared first on Mouthy Money.

As energy prices continue to rise, many of us are exploring ways to cut costs while staying comfortable. 

One increasingly popular solution is the smart thermostat. But what exactly is a smart thermostat and can it really save you money? In this article I’ll try to answer these questions and discuss my own experiences with one.

What is a smart thermostat?

A smart thermostat is an internet-connected device that allows you to control your home’s heating (and sometimes cooling) remotely via a smartphone app, tablet or computer. 

They may use advanced technology such as machine learning, motion sensors and geolocation to optimize your heating schedule, based on your habits and preferences.

Unlike traditional thermostats, which require manual adjustment or rely on fixed schedules, smart thermostats can automatically learn your routines and adjust your heating to ensure comfort and energy efficiency.

Smart thermostats work with most boilers – including gas, heating oil and electric boilers – but not all. As long as your system can be controlled by a standard thermostat or programmer, however, you should be fine.

Benefits of a smart thermostat

Energy savings – Smart thermostats can significantly reduce energy wastage by heating your home only when needed. For example, they can lower the temperature when you’re out and preheat the house before you return. 

Remote control – Forgot to turn off the heating before leaving the house? No problem. With a smart thermostat, you can adjust settings from anywhere using your smartphone.

Insights and reports – Most smart thermostats provide detailed energy usage reports, helping you understand your consumption patterns and identify opportunities to save money.

Smart integrations – Most models integrate with voice assistants like Amazon Alexa, Google Assistant, or Apple HomeKit, allowing for hands-free adjustments.

More from Nick Daws

Top smart thermostat brands

Here are the three most popular smart thermostat brands available in the UK, along with their pros and cons.

1. Nest Thermostat (Google)

Pros

• sleek design and intuitive interface
• learns your habits and automatically creates a heating schedule
• works seamlessly with Google Home and integrates with other smart devices
• energy-saving features like ‘Eco Mode’ when you’re away

Cons

• higher up-front cost compared to some competitors
• limited compatibility with certain heating systems

2. Hive Active Heating (British Gas)

Pros

• easy to use and install
• works with a wide range of heating systems
• excellent app interface with multiple scheduling options
• offers add-ons like smart radiator valves and light bulbs for a complete smart home experience

Cons

• lacks advanced learning features compared to Nest
• some additional features require a monthly subscription

3. Tado Smart Thermostat

Pros

• strong focus on energy efficiency with geofencing and open-window detection
• offers granular control with smart radiator valves
• provides detailed energy-saving reports
• compatible with almost all UK heating systems

Cons

• subscription required for premium features like geofencing
• simpler design might not appeal to those looking for a high-tech aesthetic

My experience

I got a Hive smart thermostat for my gas central heating in October 2024. I chose this based on the advice of my regular heating engineer, Dave. He has a Hive himself and recommended it for its simplicity and ease of operation. 

I paid Dave to supply and fit the device, for which he charged around £300. If you’re a keen DIY’er it’s perfectly possible to install a smart thermostat yourself, maybe with the aid of an online guide and/or YouTube video. Personally I was happy to leave the manual parts of the job to Dave, though I assisted with the electronic and online aspects.

With a Hive (and I assume other smart thermostats) you basically get three components. There is a hub you have to connect to your router using a cable; the thermostat itself, which I have on the wall of my living room (though you can detach it and move it from room to room if you like); and the main control unit, which is where my old controller used to be in the kitchen. You’ll also want to download the relevant app, so you can control the heating using your phone.

Set up was pretty straightforward. The only delay was when connecting the app. For some reason this took a few tries (Dave told me this was common in his experience), but we got there eventually.

I set up a weekly schedule for my heating and hot water, and after that basically let the thermostat do its thing. I’ve found the insights page on the app really helpful for seeing temperature changes in the house throughout the day and when the heating has cut in and out. This works far more efficiently than my old manual thermostat ever did, and is undoubtedly saving me money by only heating the house to the temperature I require. 

One small issue I experienced was that initially I kept getting a message on the app that the internet connection was weak. After a bit of research I discovered this was being caused by the fact I’d left the Hive hub too close to my router. Once I moved it a couple of feet to the window sill, the problem vanished and never returned.

Hints and tips for making the most of your smart thermostat

Here are some tips on maximizing the energy-saving potential of your smart thermostat.

1. Let it learn your routine

If your smart thermostat has a learning feature (like the Nest), give it a week or two to adapt to your schedule. Avoid making constant manual adjustments, as this can interfere with its ability to learn.

2. Use geofencing features

Many smart thermostats, such as Tado, use geofencing to adjust the heating when no-one is home. Ensure this feature is activated and that your phone’s location services are enabled for the app.

3. Set realistic temperatures

Aim for a comfortable yet energy-efficient temperature, typically around 18-21°C. Lower the temperature slightly at night or when you’re away to save more.

4. Take advantage of zones

If your system supports zoning (e.g. Hive with smart radiator valves), heat only the rooms you use regularly. For instance, keep bedrooms cooler during the day and focus heat in living areas.

5. Schedule around your lifestyle

Use scheduling tools to preheat your home only when necessary. For example, program the heating to turn on 30 minutes before you wake up or arrive home.

6. Use insights to adjust habits

Review the energy usage reports provided by your thermostat’s app to identify patterns of wastage. Adjust your settings accordingly to reduce unnecessary heating.

7. Integrate with smart home devices

Pair your thermostat with voice assistants like Alexa or Google Assistant for convenient control. You can also integrate it with other smart home devices, such as lights or sensors, for automated routines.

8. Utilise holiday modes

Going away? Use the vacation or holiday mode to keep your home at a low but frost-protecting temperature while minimizing energy use.

9. Check compatibility with your boiler

Ensure your boiler and heating system are compatible with your chosen thermostat. This will avoid efficiency issues and ensure full functionality. Personally I have a traditional heating system with a separate hot water tank, but others will have a more modern combi boiler. It’s essential to purchase the right smart thermostat for your system (Hive have two different versions for traditional and combi systems, for example).

10. Stay updated

Keep your thermostat’s firmware up to date. Manufacturers often release updates to improve efficiency, fix bugs or add new features.

Bonus tip: combine with other energy-saving measures

Combine your smart thermostat with energy-efficient practices, such as proper insulation, draught-proofing and using energy-saving curtains, for even greater savings. 

In addition, try turning down your thermostat by one degree. According to the Energy Saving Trust, this can save you up to £145 annually on your heating bills. 

Closing thoughts

So can a smart thermostat save you money? My short answer is yes – though how much will depend on your usage habits and the size of your household. 

By reducing energy wastage, offering precise temperature control, and providing actionable insights, it is estimated that a smart thermostat can lower your energy bills by 10-20% annually. This can translate to savings of £100-£200 a year.

While the initial investment for a smart thermostat may seem steep (ranging from £100 to £300, plus installation), for most people the long-term savings should outweigh this. Additionally, some energy providers offer discounts or schemes to help with purchase.

A smart thermostat isn’t just about saving money, though. It’s also about convenience, comfort and doing your bit for the environment by reducing your energy consumption. 

Whether you opt for Nest, Hive or Tado, investing in a smart thermostat should set you on the path to a more energy-efficient and comfortable home.

As always, if you have any comments or questions about this article, please do leave them below. 

Nick Daws writes for Pounds and Sense, a UK personal finance blog aimed especially (though not exclusively) at over-fifties.

Photo credits: Pexels

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Our homes are usually our biggest expense, with many struggling to pay eye-watering mortgages or rental costs. Why not mitigate those bills by looking at ways to make extra income from your home?

Before you proceed with any of these ideas, check your tenancy agreement or your mortgage terms and conditions to ensure you aren’t breaking any rules. You may need permission from your landlord or mortgage lender.

Here are some ideas to help you make extra income from your home and boost your bank balance.

Take in a lodger

If you have a spare room that sits empty much of the time, taking in a lodger can be a big boost to your finances.

In the UK, the Government’s Rent a Room Scheme allows you to earn up to £7,500 tax-free by renting out a furnished room.

If having someone else in your space makes you feel awkward, you can set boundaries that make you feel comfortable. For example, as a single female living with my teenage daughter, when I rented my spare room I always chose female lodgers.  I also specified that I didn’t allow overnight guests without prior permission. 

We did have a young woman who was keen to rent our single room but wanted to put a double bed in there so that her boyfriend could stay every weekend (we said no).

My point is that you make your own rules (within the law), but make sure they are very clear to prospective tenants.

By the way, I did get reported to Spare Room for expressing that I preferred a female, but they upheld my right to do that as long as I explained that we preferred a woman because it was a female-only house.

When you are renting a room in your own home you can say in your advertisement ‘Female preferred’ or ‘Male preferred’, but you cannot say ‘No men’ or ‘No women’. Live-out landlords are not allowed to do this as it would be discriminatory. You can find full guidance here.

Host language students

An interesting way to make extra income from your home is to host a language student. This can be useful if your room is not always available, for example, if you have family members away at university.

There are numerous organisations and language schools looking for host families. We hosted for a college locally and had students aged between 16 and 28, most staying a week or two. However, one young woman from Africa was with us for six months.

You are usually expected to provide a private room and all meals, including a packed lunch. Your guests will expect to eat dinner with you so that they can chat and improve their English. 

It is a fun way to earn some extra money. I wrote an in-depth article on hosting language students here.

Rent your parking spot

Another good way to make extra income from your home is to rent out a space on your driveway or in your garage. This will often be a Monday-to-Friday arrangement for commuters.

In fact, an ex-colleague of mine let her town centre driveway out between 8.30 and 6 whilst she was at work and said she felt it made her house look occupied and therefore more secure.

If you live near a town or city centre, hospital, industrial area or station your parking space will be easy to rent out. A quick internet search will show several organisations who will coordinate the arrangement on your behalf.

Get your home on TV

TV and film production companies are always on the lookout for suitable filming locations, including family homes. If your property is a bit unusual, lavish or quirky, it is more likely to be selected. However, ordinary family homes are also used in TV dramas.

Start by registering with an agency such as Locations Direct, which will assess your property for suitability and advertise it to potential clients.

Airbnb

If you live in a tourist area or city, then Air BNB is a good way to make use of your spare space. 

If you want repeat business you will need to keep high standards of decor, cleanliness and attentiveness. However, you don’t have to offer a cooked breakfast if that doesn’t suit your lifestyle. You should have access to tea and coffee-making facilities, however.

Tax and insurance

Whichever way you choose to make extra income from your home, remember you will have tax obligations and will need to keep records and submit a tax return. You will also need to have suitable home insurance, as most home policies won’t cover business use.

Thoroughly research the pros and cons of each option to make sure you are comfortable. Ultimately, you need to feel the extra money you earn is worth the time and effort you put in.

Photo credits: Pexels

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There is a wealth of money-saving resources online for you to tap into.

With experts warning that prices could increase by as much as 20% this year, it’s easy to feel overwhelmed and anxious about your finances.

However, the best way to feel in control is to start making positive changes to how you earn, spend and save.

If you are looking for some financial education and frugal inspiration, here is a collection of money-saving resources to help you get rid of debt, stop wasting money and build wealth for the future.

There are many money-saving resources, and I am aware these choices are subjective. However, these are the podcasters, YouTubers, bloggers and writers that I have found inspiring, and I hope you will too.

Podcasts

Mouthy Money Podcast 

Mouthy Money editor Edmund Greaves is joined by personal finance experts to discuss topics such as pensions, mortgages, investments and current events affecting your money.

The podcast asks questions such as what happens to your money when you divorce, are people losing confidence in pensions and what if you won the lottery.

Cash Chats Personal Finance Podcast 

Hosted by award-winning broadcaster Andy Webb and deputy editor Amelia Murray, this podcast aims to help you save, make and manage your money. Recent episodes include the best banks and savings accounts for 2025, along with Andy’s top money habits to make you better with your cash.

Secrets to Saving Money 

With his Secrets to Saving Money podcast, Jordon Cox, aka ‘The Coupon Kid’, shows you how to cut back on spending, find the best deals, and track down amazing discount codes and freebies.

YouTubers

Shoestring Jane

I’m going to be cheeky and mention my channel, Shoestring Jane, where I show you all the frugal tricks I use day-to-day and how I live well on a small income. Topics include frugal food, buying secondhand, shoestring DIY, holidays on a budget and more.

Frugal Queen in France

Jane, aka Frugal Queen in France, and her husband Mike had to change their money mindsets to pay off thousands of pounds worth of debt, before relocating to Brittany in France where they continue to live debt-free on a pension. Jane does loads of cooking on a budget and is great at giving frugal pep talks when you need a kick to save money.

Raising Wildflowers

Katie from Raising Wildflowers is an American mum who paid off her Florida home when she was single and living on a minimum wage, before moving to a country smallholding to live in an RUV on a tiny budget with her new husband and baby. She does loads of videos on managing your money whilst living intentionally and is about to embark on some international travel with hardly any cash.

Ali Lives Well On Less

Retired Scottish ex-teacher Ali lives on a small pension of around £9,000 a year without debt or deprivation. She is fantastic at sourcing foodie bargains and shows how she batch cooks and preserves her finds to keep her grocery bill super low.

More from Shoestring Jane

Books

The Complete Tightwad Gazette: Promoting Thrift as a Viable Alternative Lifestyle

This classic book by Amy Dacyczyn is quite old now(1998), but the frugal message is still strong and relevant today. It was based on her regular paper newsletter, sent to her thousands of penny-pinching subscribers throughout the 1990s. When I discovered it in the early 2000s, it completely changed my mindset and was instrumental in my journey to becoming debt-free. Amy shows you how to save money in pretty much every area of your life. 

This book is witty, nicely illustrated (Amy was a trained graphic designer) and jam-packed with money-saving tips.

Your Money or Your Life: 9 Steps to Transforming Your Relationship with Money and Achieving Financial Independence

This is another classic of the late ’90s that was updated in 2018 to make it relevant for today’s readers. Written by Vicki Robbins and the late Joe Dominguez, this book was and continues to be hugely influential.

It is a nine-point programme to help you recognise how much money is enough, free you from the idea that buying stuff will make you happy and value your time – ie the hours you need to work to buy something.

The Moneyless Man: A Year of Freeconomic Living

Mark Boyle’s first book, the Moneyless Man shows how little we need to be healthy and happy, the damage that our relentless consumption is doing to our planet and offers an alternative to the narrative we are constantly given that the pursuit of money is everything.

Boyle found ways to live completely free of money, initially for a year, then for a further two years, by bartering, harnessing the power of friendship and community and honing his skills of self-reliance and creativity. 

I would struggle to live as he did, but I found the lessons he learned relevant to anyone wanting a more frugal lifestyle.

Blogs

Mr Money Mustache

Mr Money Mustache is a legend of the US FIRE community (Financial Independence Retire Early), with good reason. He inspires his readers to achieve what might seem impossible to most people.

He retired aged 30, by avoiding debt, living on 25% of his take-home pay, investing the rest, and being super frugal. He presents this lifestyle as liberation rather than deprivation. To get an idea of the flavour of his blog, take a look at the post A Millionaire is Made Ten Bucks at a Time.

Debt Camel

If you are struggling with debt, Sara at Debt Camel is full of sensible and achievable advice to help you out of the mire. She was a debt advisor for CAB for ten years and understands how frightening debt can feel.

Debt Camel aims to talk about the issues around debt, credit ratings, etc, discuss debt and money decisions in a straightforward and accessible way and signpost readers towards good information, debt advice and practical help.

There are many great money-saving resources to help you get organised with your finances. If you are struggling with money, or just want to make better decisions, I hope these suggestions will help.

Photo credits: Pexels

The post Where to find the best money-saving resources in 2025 appeared first on Mouthy Money.

Today I’m featuring a tax-saving opportunity that may potentially be of interest to many Mouthy Money readers.

The tax-free trading allowance is a benefit for UK residents looking to earn extra income from trading or side hustles without worrying about declaring that income to the taxman (initially at least). 

This allowance – sometimes referred to as the trading income allowance – provides a threshold below which individuals can earn a certain amount from trading activities without needing to report it to HMRC or pay tax on it. 

Let’s explore what the allowance is, how it works and how to maximize its benefits.

What is the tax-free trading allowance?

The tax-free trading allowance, introduced in 2017, allows individuals to earn up to £1,000 per tax year from trading activities before paying income tax on it or declaring it. 

This allowance is available to any UK resident engaged in casual trading or so-called side hustles. It can be claimed by hobbyists, self-employed individuals, and even those in formal employment.

Who can use the allowance?

The trading allowance is available to:

Self-employed traders: Those earning casual income from selling products or services. That might include small-scale eBay sellers, people running craft stalls, those hiring out power tools or other items, or anyone else offering goods and/or services for profit.

Casual workers: People who supplement their income providing services such as gardening, lawn-mowing, DIY and repairs, dog walking, babysitting, and so on.

Gig economy workers: This would include driving for ride-sharing companies and delivery services, market research, mystery shopping, and other types of gig work.

Hobby traders: People who trade primarily as a hobby (e.g. sellers of handmade crafts or collectibles) without it being their primary income source. Freelance writers and photographers who occasionally sell work would also fall into this category.

This allowance is not limited by age or employment status, so it’s open to anyone over 18 in the UK who meets the criteria.

How does the tax-free trading allowance work?

The allowance allows individuals to earn £1,000 in trading income without the need to declare it to HMRC. Here’s a quick breakdown of how it operates.

Income below £1,000: If you earn less than £1,000 from your trading activities, you don’t need to report this income to HMRC, nor do you have to pay any tax on it. For those with low-income side businesses, this is especially useful as it minimizes the burden of income tax and cuts the need for form-filling and bureaucracy.

Income above £1,000: If your trading income exceeds £1,000, you have two options:

• Deduct allowable business expenses from your trading income and pay tax (if due) on your net income.
• Use the £1,000 trading allowance as a flat deduction from your gross income and pay tax on the remainder.

It’s important to note that you cannot claim both the £1,000 allowance and business expenses. You must choose one or the other.

How to claim the tax-free trading allowance

If your total trading income is under £1,000, no action is required. You do not need to register as self-employed or complete a self-assessment tax return. If you already do this, you don’t need to record this income on the form.

However, if you earn over £1,000 and wish to claim the allowance, you will need to:

Register for self assessment: Register with HMRC as self-employed if you haven’t already. You can do this online, and it’s essential to complete this step if you’re earning above £1,000 a year from trading activities.

File your tax return: Report your income through a self-assessment tax return and select the trading allowance instead of claiming business expenses. An accountant will advise you about this if required.

Choose the better option: Decide between claiming the allowance and deducting expenses. If your expenses are relatively high, it may be more tax-efficient to deduct them from your gross income rather than the trading allowance.

Maximizing the benefits of the trading allowance

Here are some tips on how you can make the most of the tax-free trading allowance:

Test a new business idea: The allowance is ideal for experimenting with a new business idea or side gig, as it gives you a hassle-free buffer period while you test profitability. If it doesn’t work out, nobody need ever know.

Keep accurate records: Ensure you keep records of your income, even if below £1,000, to provide clarity if questioned by HMRC. Record your expenses as well, in case you end up earning more than expected and need to register as self-employed.

Deduct the allowance if beneficial: Calculate if it’s more advantageous to deduct business expenses or use the £1,000 allowance. Some people find that opting for the allowance saves them more in tax, while for others deducting expenses from their gross income works out more tax-efficient. Be aware that you cannot use the tax-free trading allowance to create a taxable loss to offset against other income sources.

What about property businesses?

If you also (or alternatively) make money from a property-related business, the good news is that alongside the tax-free trading allowance, the government also provides a separate £1,000 tax-free property allowance. 

This allowance applies specifically to people earning a small income from property-related activities. That includes such things as renting out a room, letting out your driveway or garage, or short-term letting via platforms like Airbnb.

This allowance operates similarly to the trading allowance, allowing individuals to earn up to £1,000 per year of property-related income without needing to declare it or pay tax on it. 

It’s possible for an individual to benefit from both allowances. For instance, if you earn £1,000 from a small sideline business and £1,000 renting out a spare room or parking space, you can use both allowances and keep up to £2,000 tax-free.

Common questions 

1. Can I claim the trading allowance (or property allowance) on top of my personal allowance?

Yes, the trading allowance is separate from your personal income tax allowance (for most people this is £12,570 as of the 2024/25 tax year), meaning you can still earn other types of income tax-free up to this threshold.

2. Can I claim the allowance if I’m employed full-time?

Absolutely. The trading allowance is available to everyone regardless of employment status. It’s a way to encourage side businesses and casual trading.

3. What if I have multiple income streams?

The allowance can cover different income streams, but each individual can only claim one £1,000 trading allowance and one £1,000 property allowance per year. 

So if you make £500 a year mowing lawns and £400 a year from online surveys, you can claim the total £900 tax-free under the trading allowance. But if you make over £1,000 in total that wouldn’t be the case and you would have to declare this as self-employed income.

4. What records do I need to keep?

While there are no strict rules about record-keeping, it’s important to track your earnings carefully to ensure you remain under the £1,000 threshold and accurately report any income over it. 

Even if you don’t exceed the £1,000 allowance, maintaining records of your income and business expenses is good practice and will make life much easier if your sideline business turns out to be more profitable than expected.

5. Where can I find more information?

If you’re unclear about any aspect of the tax-free trading or property allowances, the official government website should be your first port of call. If you’re still uncertain, I strongly recommend speaking to a qualified accountant. Tax can be complicated and everyone’s circumstances are different. A good accountant will be familiar with the rules and (just as important) how they are typically applied by HMRC.

Closing thoughts

The trading allowance is a flexible, tax-free cushion that can help you profit from casual trading or side gigs without added tax burdens. 

Whether you’re selling a few items online, earning from a hobby, or doing a few odd jobs for profit, it can help you keep more of what you earn and keep admin to a minimum. It can also be a great way to test out sideline money-making ideas, as regularly discussed in Mouthy Money.

By understanding how it applies to your activities, you can make the most of this valuable allowance and hopefully turn your side ventures into profitable additions to your income.

As always, if you have any comments or questions about this article, please do leave them below. But please note that I am not a qualified financial adviser and cannot answer specific queries about your personal tax circumstances.

Nick Daws writes for Pounds and Sense, a UK personal finance blog aimed especially (though not exclusively) at over-fifties.

Photo credits: Pexels

The post What is the trading allowance and how can you profit from it? appeared first on Mouthy Money.

Debt can be a heavy burden, not just on your finances but on your mental and emotional well-being as well.

It’s easy to get trapped in negative self-talk and feel like your financial situation defines who you are. If you’ve ever been in debt, you may have noticed how it starts to chip away at your confidence, self-worth, and overall view of yourself.

It’s important to recognise how debt affects your self-esteem, but equally crucial to remember that your value isn’t tied to your bank balance or your financial mistakes.

Let’s break down the impact debt can have on your self-esteem and, more importantly, how you can rebuild it. 

1. Loss of confidence in your abilities 

One of the first ways debt can hurt your self-esteem is by diminishing your confidence in your abilities. When you’re struggling with debt, it’s easy to feel like you’re failing in an area of your life.

Financial difficulties can make you doubt your competence and question whether you’re capable of managing other aspects of your life. These thoughts can quickly spiral into a belief that you’re just not good enough, creating a barrier to success in both personal and professional areas. 

2. Lack of trust in yourself 

Debt can lead to feelings of regret and self-blame, especially if the debt is the result of poor financial decisions. This lack of trust in yourself can erode your sense of self-worth.

When you look back on past decisions, you may be hard on yourself for mistakes like overspending, poor budgeting, or taking on more debt than you could handle. This constant self-criticism only deepens the belief that you can’t be trusted to make good choices, perpetuating a negative cycle of self-doubt. 

3. Constantly beating yourself up for past mistakes 

When you’re in debt, it’s common to focus on the mistakes you’ve made that led to the situation. Whether it’s high-interest credit cards, loans that were taken on without thinking about the long-term impact, or overspending on non-essential items, these past financial missteps can haunt you.

The guilt and shame can cause you to obsess over your mistakes, making it even harder to move forward. But it’s crucial to recognise that these past decisions don’t define you. Mistakes are a part of life, and they offer opportunities to learn and grow. 

4. Anxiety about how to repay the debt 

One of the biggest emotional tolls debt can take is anxiety. The worry about how to pay off your debt and the consequences of not repaying it can keep you up at night. You might worry about things like late fees, missed payments, or what will happen if you can’t pay your debt off in time.

This anxiety can become overwhelming, especially if you’re juggling multiple debts at once. It’s easy to get trapped in a cycle of stress, but it’s important to understand that worrying about the future doesn’t help the present. 

5. Seeing yourself as less than others 

Debt can also make you feel inferior to others. You might feel like you’re the only one making financial mistakes, and as a result, you start comparing yourself to others who seem to have their finances in order.

This can lead to feelings of isolation, as though you’re alone in your struggles, and cause you to undervalue yourself. But remember, everyone has their own financial journey, and many people have made mistakes and faced setbacks along the way. Debt doesn’t make you less than anyone else. 

6. Withdrawing from loved ones 

As debt takes a toll on your mental health, you might find yourself withdrawing from friends and family. You may fear being judged or perceived as “broke,” which can be embarrassing or shameful.

You might worry that people will view you negatively or think less of you. However, keeping your struggles to yourself only isolates you further and makes it harder to seek support. Opening up to someone you trust can be incredibly freeing and can help you feel less alone in your journey. 

You are not your debt 

It’s important to remember that you are not defined by your debt. Debt is a temporary financial challenge, not an irreversible part of your identity. You made some financial mistakes, but that doesn’t mean you are a mistake.

Every setback is an opportunity for growth. While it might feel overwhelming right now, this situation is temporary and does not define your future. 

Your wealth does not equate to your value, and neither does your debt. You are enough as you are, with or without money. You are worthy of respect, love, and success, no matter where you stand financially. 

Photo credits: Pexels

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