Three ways to save money on your monthly expenses

The recent cost-of-living crisis has significantly increased the price of almost all everyday essentials in the UK. With everything from groceries to utilities increasing and salaries remaining the same, you might be looking for ways to reduce your monthly expenses and adjust your budget to accommodate these changes. This blog will help you save hundreds of pounds by negotiating for better internet and car insurance and making a few changes around home.

Haggling for a better broadband

Haggling for a better broadband deal can be a practical way to reduce your monthly expenses in today's digital age. Despite the enticing and cheap introductory offers advertised by broadband providers, it's essential to be aware that these rates often surge after the initial promotional period ends, leaving you with a higher monthly bill. I recently haggled with my internet provider; my monthly payment was due to increase by £32. It took me 17 minutes to negotiate with their cancellation department and save myself over £300 for the year. My internet speed wasn't decreased, and my monthly payment increased by £2.41, which I'm happy with given that it could have been £32 more a month. Admittedly, I could have still chosen to cancel, hoping their retention team would call and offer me an even better deal. If you want to get the best deal possible, this is something to consider because retention teams tend to have access to exclusive deals that only they can offer you.

So, here's the game plan:

• Research your internet service options using comparison websites like Compare the market. Any deals cheaper than your new monthly payment will be your leverage against your current internet provider.
• Call your provider and express your dissatisfaction with the cost. (Note: It's essential to mention that you've found cheaper deals.)
• If they don't offer you a deal that you are happy with then let them know you're considering leaving. This usually prompts them to transfer you to their cancellation department, who will likely offer you an even better deal because they don't want you to go.
• If you are still not satisfied then tell them that you would like to cancel. Any chat of cancelling will either get you directly passed on to the retention team or expect to get a call from them in the coming days. The retention team has access to the most competitive deals, the ones we all want. It is an extra step and requires more time and patience but it could well be worth it.

Negotiating your car insurance down

Confused.com, a comparison site, revealed a 20% increase in the cost of premiums between April 2022 to April 2023. From these stats, it is clear that, like your broadband, haggling with your car insurance provider is time well spent and easy money to save if you are prepared to do your homework and negotiate. The game plan for getting the cheapest car insurance premium follows the same plan we gave you for getting the best broadband price. Compare the market is best for getting a quick comparison and an example of a competitor's cheaper insurance premium. You ask if they can compete and will give you a better deal. Most times, they do because customer retention is something they care about. However, with that said, be prepared for them to potentially not give an enticing counteroffer. In the past, I've had it go both ways.

Beyond negotiating with your current car insurance provider, you could save some decent money by paying for your insurance upfront. For example, in November 2022, people who paid annually on average saved £302 over the year! Sometimes, you don't have the cash to pay upfront, but depending on your bank, there may be a way to spread the cost over a few months, which is also interest-free.

Alongside haggling with your car insurance provider and paying annually, here are some other tips to save money on your premium:

• Renew your policy 15 to 29 days before your policy end date to get the best deal. Renewals on the last day tend to cost people 17% more!
• Opt-in for less mileage because you're risk decreases. The less you drive equals lower risk to insurers and, therefore, cheaper cover.
• If you're adding a friend or family member as a named driver, consider whether your annual premium will increase or if you'll save money. An older and more experienced driver could help you get a better deal but if they are young with a bad claims history then you're more likely going to be paying more.

Changing your light bulbs for lower electricity bills

The recent increasing cost of electricity has led to an increase in air fryers and LED bulbs to help reduce electricity bills. The easiest way to reduce lighting costs is to ditch your traditional bulbs in favour of energy-efficient models. While buying LED bulbs is more expensive than incandescent bulbs, you will save money in the long run because they use less electricity and last longer. According to the Energy Saving Trust, you could save £13 per bulb per year (based on the average April 2022 energy price cap) if you replaced 100-watt incandescent bulbs with an LED alternative.

Use our free bulb calculator to see how much your light bulbs contribute to your electricity bill and how much money you could save.