Brits ‘finding it harder to switch financial products’

Posted 2008-05-26

A new survey has found that British households are not switching financial products as the credit crunch has taken hold on their finances.

The poll, by MoneyExpert.com, has revealed a 17 per cent drop in the switching of products such as mortgages and credit cards.

Figures show that 32.2 million households switched their bills in the first quarter of 2008. This is compared with the 38.9 million switched in the same time period in 2007.

Sean Gardner, of MoneyExpert, told the website that the fall in numbers could be a result of the credit crunch, tougher lending criteria and a fall in mortgage lending.

"Other areas are feeling the chill of the credit crunch and general concerns about rising cost of living and inflation. Some people are staying put rather than seeking out the best possible deal," added Mr Gardner.

Recent research by Sainsburys showed that 4.7 million people in the UK have no home insurance to cover the contents of their house from burglary, accident or catastrophe.

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