News releases

Here you can find the latest news releases from Tesco Bank.

If you're a journalist and would like more information about Tesco Bank or have some questions please get in touch.

The information in this section is designed to provide journalists and bloggers with the latest news from Tesco Bank. If you are a customer looking for information on the products and services we offer, please visit our customer website.

 
 
 

2 April, 2017

Home buyers optimistic about housing prospects, Tesco Bank research reveals

Tesco Bank has today launched the results of its first UK Home Buyers’ Survey to help customers prepare for the biggest purchase of their lives. 

Tesco Bank’s survey questioned both those who have bought a home in the past 12 months and those who are considering buying a home within the next year. The research found that the majority (71%) of prospective UK home buyers are optimistic that they will find the right home this year, despite many having concerns around the challenges faced when purchasing a new home.

Those planning to purchase in the East Midlands and the North East of England/Yorkshire & the Humber were found to be the most optimistic that they will find a home within the year, while those planning to buy in East England and London have the lowest levels of optimism.

Both prospective and recent home buyers reported taking significant steps to effectively manage their finances to enable them to purchase their new property, with many recent home buyers reporting that they made significant financial and personal sacrifices in order to make the purchase. Almost half (45%) said they cut back on social spending, 35% reduced the number of holidays they went on and almost three in ten (28%) took steps to reduce their shopping bills, while almost 1 in 10 (9%) delayed having children to be able to afford their new property. The research reveals that home buyers continue to manage their finances carefully once they have purchased their property, with around a third (33%) continuing to reduce social spending, and around a quarter (26%) continuing to reduce the number of holidays they went on.

David McCreadie, Managing Director, Tesco Bank said: “We want to do all we can to help customers at every stage of their lives, and we recognise that buying a property is likely to be the most important and expensive purchase customers will ever make. This research identifies the significant financial and personal sacrifices people are making in order to buy their new home, and our aim is to help our customers during this process by providing some of the most competitive mortgage products on the market, as well as offering Clubcard points* on their mortgage repayments as an extra little help.”

David Hollingworth, Associate Director Communications, London & Country Mortgages, said: “The research underlines some of the challenges in saving for the purchase of a new home and the help of family in building a deposit continues to play an important role, especially for first time buyers.  Although many home buyers clearly cut back on their spending elsewhere in order to budget sensibly, they can at least put some certainty into their mortgage payments by taking advantage of the very attractive fixed rate options currently on offer. We continue to see the majority of customers elect to fix their rate, so they know exactly where they stand when it comes to the mortgage, which is likely to be the biggest single monthly outgoing.”

Demonstrating the financial stretch that buying a new home can have, the research also revealed that over a third (34%) of recent home buyers admitted that they had no savings left after they bought their new home, with almost half (43%) receiving help from family in order to fund their house purchase, borrowing an average of almost £30,000. Despite this, however, four in ten (43%) home buyers report feeling confident about their financial situation over the coming year.

The full UK Home Buyers’ Survey report can be found here.

 

ENDS

 

For media enquiries, please contact:

Laura Moore (Tesco Bank)

Laura.Moore@tescobank.com

+44 (0)131 479 1356 / +44 (0)7525 582775

 

Notes to editors:

* Tesco Bank Mortgage customers can collect one Clubcard point for every £4 on their monthly repayments. Points are not collected on any fees or charges paid separately from monthly payments. Earn rates are subject to change.

Points are also collected on overpayments, but not on any overpayment made to pay off the mortgage in full. Clubcard points will be received within 6 weeks of payment. The Tesco Clubcard Scheme is administered by Tesco Stores Limited, Tesco House, Shire Park, Kestrel Way, Welwyn Garden City, AL7 1GA, who are responsible for fulfilling points.

Tesco Bank Home Buyers’ Survey carried out by YouGov in January 2017 with 1,709 respondents.

 

About us:

Tesco Bank’s goal is to make banking and insurance easier and better value for people who shop at Tesco. We’ve been around since 1997 and today we help more than 6 million customers every day with everything from insuring their pets, to buying their first home.  Our 4,000 colleagues serve our customers seven days a week from our four main centres in Edinburgh, Glasgow and Newcastle, and we are also available through online and mobile banking 24/7. 

Tesco Bank is a trading name of Tesco Personal Finance plc. Registered in Scotland No. 173199. Registered Address: Interpoint Building, 22 Haymarket Yards, Edinburgh, EH12 5BH. www.tescobank.com

News feeds/alerts

Stay updated with our press releases by registering for our RSS feed or email alerts.

Media team

For journalist enquiries only, contact the Tesco Bank Press Office on:

+44(0) 131 479 1345 
+44(0) 131 479 1346 

 

Share this page

  • Facebook
  • Twitter
  • LinkedIn
  • RSS