Cash advice

Research shows that the average UK family forks out a whopping £821.25 on Christmas†, with the vast majority of expenditure going on gifts, food, drink and travel. So it’s hardly surprising that many of us look at the festive season with a sense of dread

1 ELECTRIFY YOUR SAVINGS If you’ve stuck with the same energy and gas provider after your original tariff expired, you’ll have been switched to a standard variable tariff – costing you serious money. According to energy regulator Ofgem, 60 per cent of us are languishing on these tariffs. Switching is easy and you’ll save £300 on average. Visit Energy Helpline (energyhelpline.com/fri/) to compare costs. Saving: £300

2 CONNECT TO BETTER VALUE Sticking with the same broadband and home phone provider can be expensive. In fact, uSwitch found examples where bills have risen by 400 per cent when a contract was rolled over! Figures from comparison company Simplify Digital show that the average customer can save £322 a year by switching. It’s worth asking whether you need a landline, as there are some great broadband-only deals available. Saving: £322

3 BOOST YOUR BANK ACCOUNT It’s a one-off, but it takes no time at all to do. With seven-day switching you can swap your current account in a flash, and plenty of banks will pay you a cash bonus. TSB is currently offering £130 through moneysavingexpert.com if you apply by 4 December. HSBC offers a whopping £200 (if you stay for a year, otherwise you get £150), but you’ll have to meet the minimum pay-in of £1,750. First Direct is offering £125 for new joiners, too. Just make sure that you check their overdraft rates, interest rates and perks before you switch. Saving: £130

4 RING THE CHANGES If you’re due a mobile phone upgrade, taking the first offer you get from your provider could cost you. Look online for the model you want, and check what minutes and data you can get. Then speak to the cancellations department at your current network, as they may offer you a better deal. O2 knocked £47 of the cost of my handset compared to if I’d bought it outright, and reduced my monthly payments by £12.19. Over two years, that saved me £360! Wait till you’re out of contract, though. Saving: £360

5 MOTOR TOWARDS A GREAT DEAL Many of us renew our insurance policies year in, year out – but it only takes a few minutes to check a comparison site for a better deal. Data from GoCompare.com suggests the cost of letting your car insurance roll over is £266. Check your excess and that your cover is sufficient for your needs before you decide on a deal. Saving: £266