Money latest: Drivers warned 'psychological shock' coming from petrol prices (2024)

The 10 cheapest European summer holidays have been revealed, with some "surprising" destinations making the list.

Which? compiled the list after analysing more than 4,500 package holidays.

The consumer group found the least expensive were often in locations that people "assume come with a higher price tag", such as Italy's Amalfi Coast or Greek islands.

Interestingly, traditionally low-cost destinations such as Bulgaria and Turkey failed to make the top 10.

Which? said this was partly because of the type of packages available, with the Amalfi Coast having a wide choice of accommodation on either a self-catering or bed and breakfast basis, which is usually cheaper than full board packages.

These are the 10 cheapest package holidays for seven nights during the first week of August:

Petrol prices could go well above 150p a litre, the RAC has warned, as data shows it has already risen by nearly 8p this year.

The price at the pump has hit a five-month high of 148.5p, according to government figures.

It was 140.8p at the start of the year.

During this week alone, the cost has gone up by 1.6p - there has not been a sharper weekly rise since August 2023.

Average pump prices for diesel have also increased to 157.5p, the highest since November 2023.

"This year is proving to be another tough one for drivers," RAC fuel price spokesperson Simon Williams said.

"Both petrol and diesel are now the most expensive they've been since November last year, which is bad for households, businesses and the economy, especially as we know there is a close link between fuel prices and inflation.

"With increased tensions in the Middle East, the cost of oil is only likely to go up, which could push petrol well above 150p a litre."

This was echoed by AA fuel price spokesman Luke Bosdet, who said pump prices were climbing towards the point "drivers fear".

"It is a psychological shock that shouts out from the price boards each time motorists drive past," he said.

"The early part of the summer could be a tough time for UK motorists."

Mr Williams also explained that while diesel is edging towards 160p, that is due to retailers taking much bigger margins.

"There's only been a few pence between the wholesale prices of both fuels since mid-March," he added.

"We find it hard to believe that a margin of 13p a litre on diesel - compared to the long-term average of 8p - is fair.

"This surely won't go unnoticed by the Competition and Markets Authority, which only two weeks ago expressed its concern about higher retailer margins."

Virgin Media has topped the rankings of the most complained-about broadband, landline and pay-TV providers, Ofcom figures show.

The regulator said Virgin Media received the most complaints between October and December last year.

The company received 20 complaints per 100,000 broadband customers in the three-month period.

But this was an improvement on the 32 per 100,000 in the previous quarter.

Complaints handling was the cause of 43% of customer complaints, compared with an industry average of 32%.

Some 22% of its complaints were about faults, service and provisioning, well below the industry average of 37%.

It was slightly ahead of Now Broadband, which received 18 complaints per 100,000, but lagged behind the industry average of 12.

Sky, Sky News' parent company, came in with the fewest complaints at five per 100,000 customers.

Virgin Media complaints for landline came in at 13 per 100,000, just ahead of Shell Energy and Now Broadband.

It also received 13 complaints per 100,000 for pay-TV, almost double that of BT.

A Virgin Media O2 spokesman said: "We're committed to providing an excellent service to our customers, and while overall these complaints represent a very small proportion of our customer base, we acknowledge there is a need for improvement, which is under way, and we're focused on getting this right.

"We are investing heavily and making changes across our business to deliver tangible improvements, for example through multi-skilling our teams and rolling out new IT platforms that will make it easier for customers to get support when they need it, and empowering our people to resolve any issues quickly and effectively first time."

By James Sillars, business reporter

The FTSE 100 has recovered a bit more ground in early dealing after Tuesday's sharp losses.

The index opened 0.4% higher at 7,880, building on a 0.4% gain yesterday.

The Tuesday rout, on fears of US interest rates remaining higher for longer, saw more than 1.8% of its value lost.

While the issue remains a concern for investors, miners have dug the FTSE's way to recovery.

Among other sectors making strides were airline and holiday stocks.That was after easyJet reported strong summer bookings and an easing of first-half losses.

The no-frills carrier, which makes all its profits in the six months to the end of September, said it expected to be among the fastest growing European airlines.Shares took off by 4.5%.

Deliveroo stock also gained, by 2.3%, after it returned to order growth in the first three months of the year.

One deal making waves is a takeover of troubled British music investor Hipgnosis Songs Fund.The FTSE 250 firm, which has a catalogue including rights to work by artists including Shakira, Ed Sheeran, Blondie and Red Hot Chili Peppers, is set to be bought by Concord Chorus.Under the terms of the deal, shareholders of Hipgnosis will get $1.16 per share in cash, valuing the company at $1.4bn (£1.1bn).

The price, musical and theatrical rights holder Concord said, represented a 30% premium on the recent value of Hipgnosis shares.

Hipgnosis has been mired by troubles since mid-last year, including valuation concerns, board and legal battles, and a shareholder revolt against a catalogue sale deal that forced a strategic review.

By Emily Mee, Money team

A complaints expert has warned local authorities are making it "increasingly difficult" to claim for pothole damage.

The AA reported last October that pothole breakdowns had hit a five-year high - with the incidents causing tyre punctures, distorted wheels, damaged shock absorbers and broken suspension springs.

Drivers can expect to pay an average of up to £440 if they hit a pothole and their car sustains damage more serious than a puncture, according to RAC data.

Scott Dixon, also known as The Complaints Resolver, says an increasing number of drivers are being forced to pay out themselves or claim through their insurance because local authorities are making it "virtually impossible to claim direct".

In fact, insurer Admiral said pothole-related claims rocketed by 40% in 2023.

Mr Dixon says it's a "lottery" in terms of whether claims will be upheld, with some authorities paying out for less than 1% of claims.

Who is responsible for paying out?

Whoever controls the road must maintain it to a suitable standard and pay for repairs.

That means drivers whose cars are damaged by poorly maintained roads are able to claim compensation.

In England, Scotland and Wales, local roads, B roads and smaller A roads will be maintained by the council.

Motorways and A roads in England are controlled by Highways England, and in Scotland by Traffic Scotland.

Roads listed as red routes in Greater London are under Transport for London, while all road types in Northern Ireland are controlled by Dfl Roads.

Should you make a claim?

It's up to you whether you want to make a claim, or whether you will pay for the repairs yourself or through your insurance.

It is worth remembering that if you make a claim through the local authority, this is taxpayers' money and could put councils under strain.

Even if you choose not to claim, you should still report the pothole to prevent it remaining a danger to other road users.

How to claim

If you decide to make a claim, you should first report the pothole throughwww.fixmystreet.comorwww.fillthathole.org.uk- or contact the local authority directly.

Take photos of the pothole if it is safe to do so, and if you can put your foot by the hole for scale.

To count as a pothole, it must usually be at least 40mm deep, or the height of two 20p coins. Mr Dixon says the width of the hole is seen as "irrelevant".

The local authority will want to know exactly where the pothole is so you should provide a sketch (or you can use Google Earth for this).

You should also get an estimate for the damage to your vehicle so the council knows how much to compensate you.

Your claim will then be passed on to claims handlers - and you should be prepared for it to be rejected.

Mr Dixon says authorities often "won't make it easy for you" and you've got to be ready to "put the leg work in" if you want your money back.

So what can you do next?

If your claim is indeed rejected, you don't have to give up there.

Your next port of call is to put in a freedom of information request to your council.

Every citizen has the right to ask for recorded information held by public authorities, and you can do this by letter, email, social media, online form or fax.

In your request, you can ask for 12 months' worth of inspection reports on the road in question, how many times the pothole was reported, when the last repair was made and whether it was reported before you hit it.

FOI requests can take up to 20 working days to come back, so be prepared to wait for it.

When you receive it back, you should look for whether the last repair was made within the statutory timeframe, whether it was a temporary or permanent repair, and whether it had been reported before you hit it. You should also check for whether it was repaired to the correct specification and criteria.

Being able to point out negligence may be enough for your claim to be accepted.

If not, you can go through a small claims court.

Every Thursday we look at a different savings option, explain the pros and cons, and reveal the best deals on the market (see table below for that).This week we're talking about the best regular saver accounts.Savings Champion founder Anna Bowessays...

The top regular saver rates on offer are pretty static, but we have seen a newcomer to the market recently.

The Co-operative Bank has joined First Direct at the top of the table, offering its current account holders access to a variable rate of 7% on deposits of up to £250 a month, for 12 months.

The top rates are often only available to those with a current account with that provider, but it's important to check whether opening a new current account just to have access to the regular saver is a good idea.

If you don't have a lump sum to invest, one of the best ways you can get into the savings habit is to open a regular saver account and deposit the amount you can afford the day after you are paid, so it becomes like another bill - but one that you can benefit from in the future.

Regular savings accounts pay some of the top rates available as you are normally restricted by the amount you can deposit, and you may not be able to dip into the cash very often, if at all, over a given term.

In fact, there are usually a number of terms and conditions, to keep an eye on to make sure you earn the interest you are expecting. And some top accounts are only accessible if you hold a current account with the provider. But normally you won’t need to transfer your primary current account.

Regular savings accounts normally offer a fixed rate of interest for a set term, but there are also many variable rate accounts around, so keep your eyes peeled.

By Bhvishya Patel, Money team

Over four days this week, we're speaking to some of Britain's struggling unpaid carers, hearing at times heart-breaking accounts of their physical, emotional and financial struggles.

Today, a daughter who helps care for her father with dementia shares her worries about the future and being able to manage his cost of care.

"You go into a care home and you might have to sell your house and they're taking all your money. I find that mad that you can work all your life and then you don't even have enough to leave your kids. It just all goes on care - it's crazy.

Karen Karbritz, unpaid carer

Karen, 49, began caring for her father Alan, 76, with her mother Judy after he was diagnosed with dementia in 2021.

The mother of two, from Hertfordshire, who works as an intelligence analyst for the prison service, says juggling care with her job and raising her two children is difficult and it is always her "work that suffers".

"I've always got a guilt thing because I'm always thinking I should call my parents more, I should pop round more.

"My son is only nine and he has so many activities. I have to juggle the time because it is not fair for him to miss out on stuff.

"My boss sometimes asks if I would like to do overtime and I would like to and get a few extra quid, but when am I supposed to do that?"

After Alan's diagnosis, the day-to-day responsibilities that he took care of, such as finances and household bills, fell to Karen and her mother Judy.

"When it came to finances, Mum had no idea who her mobile phone supplier was or gas provider because my dad did it all. All the things my dad would have done, he now can't do so I'm now doing that," Karen says.

"It's something you've got to do. A lot of my friends are in a similar position, they've got parents who need more support now and then they've got small children and we can't leave them on their own and you're working as well."

Karen says her parents are in a "decent situation" financially and have a couple of properties they rent out which they are able to gain an income from.

Her mother also receives £76.75-a-week in carer's allowance.

"I can imagine if I had to give up my job to care full-time then no way would a carer's allowance allow me to do that. No way at all," she says.

When it came to the future, Karen says she worries about having the financial ability to provide for her parents with the care they need.

"I just got paid yesterday and my account is overdrawn after getting my pay but I can't ask my parents to lend me money," she says.

"Normally, they would be more than happy to help me but now they can't because they never know if they will need the money.

"You go into a care home and you might have to sell your house and they're taking all your money. I find that mad that you can work all your life and then you don't even have enough to leave your kids. It just all goes on care - it's crazy.

"I totally understand they need to keep every penny they've got. Dad might not go into a care home for 10 years or it could be next week. This is the thing you have no idea, it's really hard to plan."

While her father, who worked as a chartered surveyor before his diagnosis, does not need external carers or a care home at the moment, Karen says should he or her mother require care she does not know if she would be able to manage it.

"Every time the phone rings and I see my mum's number I think 'Oh god something has happened to my dad'," she says.

"That's the first thing, you see the number and your heart sinks and you think 'Oh god what now?'

"He's not at that stage where he needs carers, but the thing with dementia is it can suddenly get worse at any time, you just don't know. At the moment he doesn't drive or go for walks by himself.

"I'm quite practical so you know with dementia it is a one-way street, it doesn't get better. But at the moment he knows who we are.

"It's hard for my kids - sometimes my daughter says 'I'm scared I'll go to Grandpa and he won't know who I am'.

"At some point that will happen but while it's not happening I don't want to stress about it because it is not happening.

"If Dad needs to go into a care home you are looking at thousands a week which is just insane.

"Another concern is if something were to happen to my mum - does that mean my dad lives with me? If it does, that means I wouldn't be working because I can't afford to leave him all day.

"Will that mean paying for care for both of them? If that's the case then once their money runs out I will have to pay for it. I don't know if I would be able to manage."

A government spokesperson said: "Unpaid carers play a vital role in the lives of their family and friends, which is why from April we're boosting carer's allowance meaning carers receive an extra £1,500 a year compared to 2010.

"Those in low income households may also be eligible for additional financial support such as universal credit."

You can read the previous parts of our series here:

The day began with the release of the latest inflation figures by the Office for National Statistics at 7am.

Inflation fell to 3.2%, though economists had predicted it would ease further, to 3.1%.

We've dug into the ONS data, which shows that food prices were among the biggest drivers of the inflation drop in March.

This chart, updated with figures released today, shows food and non-alcoholic drinks fell by 0.11 percentage points last month.

"Once again, food prices were the main reason for the fall, with prices rising by less than we saw a year ago," Grant Fitzner, chief economist at the ONS, said.

This helped bring inflation to its lowest rate for two-and-a-half years.

Other big downwards drivers included furniture and household goods, and clothing and footwear.

At the other end of the scale, the largest upward contributions came from communication and transport.

By Mickey Carroll, science and technology reporter

"I had just woken up and I got an email that said, 'We're going to have a company-wide meeting'. I knew right away."

James (not his real name) was visiting his family earlier this year when he saw the message.

"I started thinking about everything I was set to lose."

He had worked as a game designer at one of the UK's biggest video game studios for nearly a decade. It was a job he loved and had dreamt of since he was nine years old. But recently he had been worried.

All around him, friends in the gaming industry were being let go.

"My mind was racing, what could I do? I wasn't going to be the only one job-seeking at the moment because there were so many layoffs. They all happened at the same time."

He went to the meeting, where his worst fears were confirmed. The company's chief executive said around 25% of people at the studio would be cut. James was one of them.

Gaming is an anxious world right now. There's been more than 8,000 jobs cut globally since the start of this year and in March, the number of available jobs in the UK hit a record low, according to the report Games Jobs Live.

But in London, as the BAFTA Games Awards 2024 rolled around last week, gamers could just enjoy themselves.

Read the full story here...