Interest rates rise again

BBC Radio 4's Money Box Saturday 7 July at 1204 BST On Radio 4 and Online Programme transcript (49 KB)

Interest rates are now at their highest level since March 2001 following the Bank of England decision to raise them to 5.75%.

It may be good news for savers but people with mortgages and other debts may struggle with the fifth rise in 12 months.

So what has led to the latest rise and is there more to come? On Saturday, we asked Michael Hughes, chief investment officer at Baring Asset Management.

Plus we looked at the best rates available for your savings and mortgages.

And we talked about the effect on borrowers with Joanna Elson from Money Advice Trust.

Further information:

Mortgage and savings rate rise

UK interest rates raised to 5.5%

Q&A: The interest rate rise and you

External links and helplines

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Flooding and insurance

It has been estimated that insurance claims will reach £1.5bn

As the flood waters recede in parts of England it has become clear tens of thousands of homes have been affected.

The insurance industry says claims related to flood damage will total £1.5bn.

We spoke to Sir Bob Kerslake, chief executive of Sheffield City Council about the problems it is facing.

And we spoke to Paul Hendy of the National Flood Forum and loss adjuster Mike Bond from AMG about the claims people have been making.

Have Your Say: Flood damage - should we pay for people without insurance?

Further information:

PM unveils £14m flood aid package

Q&A: Flooding and insurance

External links and helplines

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Home Improvement Agencies

Financial help can be available if you only know where to go for it

The millions of older people each year who need to make changes to their homes as they become less mobile can find the process both difficult to manage and afford.

One way of getting help is through a local Home Improvement Agency, which have now developed to cover most of the UK.

Bob Howard has been to visit one pensioner in Surrey who has benefited.

Further information:

Help for vulnerable home owners

External links and helplines

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OTHER NEWS

A government boost to the amount of money available for student maintenance grants and graduates will be able to take a break from their student loan repayments for up to five years.

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BBC Radio 4's Money Box was broadcast on Saturday, 7 June 2007 at 1204 BST.

The programme was repeated on Sunday, 8 July 2007 at 2102 BST.