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With the cost of living crisis continuing to bite, more people are turning to credit to prop up their finances after an increasingly turbulent year.

One bank said credit card inquiries had gone up 43% in the last year as people turn to borrowing to support their day-to-day living.

Fiona Anderson, from Vanquis – which offers credit building credit cards under the Visa brand – said the use of buy now, pay later has increased, with 14% of young people using this as a way to pay for Christmas.

As a general rule, if you don’t need to put something on credit, then don’t. Take your time before making big purchases.

If you do need to, here are a few tips on some of the best ways to use credit.

This does not constitute financial advice – always read the small print.

Cashback for Christmas

If you are the type of person who is able to pay off their card in full every month then a cashback, or reward card, could help you earn benefits with no extra work – something for nothing.

From the Amex Platinum Cashback Everyday (which offers 5% cashback for the first three months and then less thereafter) or the Amex Nectar credit card (which gives you 20,000 bonus points if you spend £2,000 in the first three months), these cards have a host of potential rewards.

But, be careful with these and make sure you pay it off in full every month. These cards often have high-interest rates which means any rewards could be wiped out if you don’t repay in full. Something for nothing can very quickly become nothing for something.

For example, take the Lloyds Bank Mastercard.

If you were to spend £2,000 on it you would get £20 cashback plus an extra 0.25% cashback on your spending – taking the total value of rewards to £25.

But fail to pay the card back in full, and your monthly interest will be around £33 (or around £400 a year if you are slow paying it off), completely wiping out any benefit.

Some cards also impose a minimum spend – so always check the small print.

The best way to spread purchases

Again, if you don’t need to borrow money, don’t. It can lead to problems later down the line.

But, if you have no choice, an 0% credit card can be the cheapest way to borrow, but you have to use them right.

These cards will offer a number of months where no interest is charged on new purchases – and this can save you thousands compared to taking out a standard loan.

Cost of living calendar – reveal a different story every day

It can seem tempting to use these to plug gaps in your income, but try and only use them for planned expenses. Then, calculate how much you need to repay each month to make sure you are fully settled up before the 0% interest period ends.

Some cards even offer additional perks – like Barclaycard which not only has the longest 0% periods but gives you £20 cashback.

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Find and compare deals

MoneySavingExpert does a regular round-up of the best credit cards on offer, and services like Experian mean you can check what you are eligible for without impacting your credit score.

Always check the fine print on cards, and don’t ever use them as an excuse to overspend. The most magical moments at Christmas don’t come from what’s under the tree.

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Sir Keir Starmer arrives in Washington for talks with President Trump – and repeats calls for security guarantee for Ukraine

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Sir Keir Starmer arrives in Washington for talks with President Trump - and repeats calls for security guarantee for Ukraine

Prime Minister Sir Keir Starmer brushed aside growing tensions between the White House and Europe over Ukraine on Wednesday, saying he trusted Donald Trump and wanted the “special relationship” to go “from strength to strength”.

Speaking to reporters ahead of a crucial meeting at the White House, Sir Keir insisted that the UK was working “in lockstep” with the president on the matter of Ukraine.

Asked if he could trust President Trump in light of what has happened in recent weeks, the prime minister replied “yes”.

“I’ve got a good relationship with him,” Sir Keir said.

“As you know, I’ve met him, I’ve spoken to him on the phone, and this relationship between our two countries is a special relationship with a long history, forged as we fought wars together, as we traded together.

“And as I say, I want it to go from strength to strength.”

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The prime minister has now arrived in Washington, but even before he touched down, the choreography of the trip hit a little turbulence as President Trump appeared to pour cold water on the prospect of a US military backstop for Ukraine as part of any peace deal – a key UK and European demand.

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Can Starmer ‘win’ in Washington?

“I’m not going to make security guarantees beyond very much,” Mr Trump said at his first cabinet meeting on Wednesday.

“We’re going to have Europe do that because Europe is the next-door neighbour.”

His remarks seemed at odds with those made by the prime minister on the way to Washington as he reiterated how important a US military backstop was for Ukraine.

“We all want a peaceful outcome,” the prime minister said.

“It’s got to be a lasting peace, and that requires us to put in place an effective security guarantee.

“Exactly what the configuration of that is, exactly what the backstop is, is obviously the subject of intense discussion.”

He added: “But the reason I say the backstop is so important is that the security guarantee has to be sufficient to deter Putin from coming again because my concern is if there is a ceasefire without a backstop, it will simply give him the opportunity to wait and to come again because his ambition in relation to Ukraine is pretty obvious, I think, for all to see.”

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While European allies such as the UK and France are preparing to put peacekeeping troops on the ground to police the Ukraine-Russian borders, leaders have been clear that US support is essential to containing President Putin and securing that support is the key purpose of the prime minister’s trip to Washington.

President Zelenskyy has also demanded that clear guarantees of US military backing and security be part of his deal with the US on critical minerals, but a framework agreed this week by both sides did not include an explicit reference to any such support.

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Putin is ‘very cunning’

Ahead of the trip to Washington, the prime minister pledged to increase UK defence spending – a key ask of all NATO members by President Trump – and reiterated his commitment to putting British boots on the ground in Ukraine as he attempts to lower tensions between Europe and the US and demonstrate to President Trump that the UK is willing to play its part.

“When it comes to defence and security, we have for decades acted as a bridge because of the special relationship we have with the US and also our allegiance to our European allies,” Sir Keir said.

“I’ve been absolutely resolute that we’re not going to choose between one side of the Atlantic and the other. We will work with the US, we will work with our European allies, that’s what we’ve done for decades, and it’s what we’ll do whilst I’m prime minister.”

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Sir Keir also gave the British public a “message of reassurance” after his decision to accelerate defence spending in the face of Russian aggression, saying he had done it to “ensure their safety” and increased investment would bring opportunities.

“I want to reassure the British public that what we’re doing is to ensure their safety, their security and defence of our country.

“I want to also be clear that this is an opportunity because, as we increase defence spending, then that gives an opportunity for our industrial strategy, for jobs across the UK, good well-paid jobs in defence.”

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Rania Alayed: Human remains found in search for body of murder victim

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Rania Alayed: Human remains found in search for body of murder victim

Police searching for the body of a murder victim have found human remains in North Yorkshire.

Mother of three Rania Alayed was murdered in 2013 by her husband Ahmed al Khatib, of Gorton, Manchester, who was jailed for life the following year.

Her body was never recovered and multiple searches have taken place in the years since then, said Greater Manchester Police (GMP).

Police at the scene by the A19 in Thirsk
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Police at the scene along the A19 in Thirsk

On Tuesday, after receiving new information, GMP officers located buried human remains by the A19 in Thirsk.

The force said in a statement: “While no official identification has taken place, we strongly suspect the remains are that of Rania.

“Her family have been informed of the latest development and are being supported by specially trained officers. They remain at the forefront of our minds.”

Ms Alayed’s son, Yazan, speaking on behalf of their family, said: “The discovery of my mother’s remains more than a decade onwards has come as a surreal surprise to me and my family.

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“At last, being able to provide a final resting place is all we have wanted for the last 11 years, to have the ability to lay down a few flowers for my mother is more than I can ask for from this world.”

Police at the scene by the A19 in Thirsk

Detective Chief Inspector Neil Higginson, from GMP’s major incident team, said Ms Alayed’s murder was “utterly horrific” and not knowing where her body was had caused further pain to those who knew her.

“More than a decade after her murder, we now strongly believe we have located Rania’s body and are finally able to provide closure to her family, who we know have endured so much pain and grief over the years.

“Rania’s family have always been kept informed following our searches over the last few years, and we are providing them updates as we get them following this most recent development,” he said.

During Mr al Khatib’s trial, a court heard how Ms Alayed was born in Syria and met her husband when she was 15.

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The couple fled the Middle East, eventually moving to England.

They had three children but eventually Ms Alayed left the unhappy marriage which had been marred by violence from her husband, the trial heard.

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Seven companies named and shamed in Grenfell Inquiry face being placed on blacklist

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Seven companies named and shamed in Grenfell Inquiry face being placed on blacklist

Seven companies named and shamed in the Grenfell Inquiry are to be investigated and face being placed on a blacklist.

Following the deaths of 72 people in the 2017 Grenfell Tower fire, Deputy Prime Minister Angela Rayner has given the government’s response to the inquiry, published in September after seven years.

The government has accepted the findings of the report, which found “systematic dishonesty” contributed to the devastating fire and there were years of missed opportunities to prevent the catastrophe.

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Seven organisations criticised in the report will now be investigated under the Procurement Act, Ms Rayner said.

If they are determined to have “engaged in professional misconduct” their names will be added to a “debarment list”, which all contracting authorities will have to take into account when awarding new contracts.

Arconic, Saint-Gobain (the former owner of Celotex), Exova, Harley Facades, Kingspan Insulation, Rydon Maintenance and Studio E Architects will all be investigated.

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Cabinet Office parliamentary secretary Georgia Gould said the organisations will be notified when an investigation is opened, and warned investigations into other organisations could take place.

London Mayor Sadiq Khan said companies named and shamed in the report “should be barred from future contracts” and “this must now finally happen without further delay”.

Angela Rayner has confirmed that Grenfell Tower will be demolished. Pic: PA
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Angela Rayner earlier this year confirmed Grenfell Tower will be demolished. Pic: PA

Ms Rayner, who is also the housing secretary, said the government “accepts the findings” of the inquiry and it will “prioritise residents and protect their interests, and make sure that industry builds safe homes, and provide clearer accountability and enforcement”.

She apologised again to the families and friends of those who died, survivors and those who live around the tower.

“To have anyone anywhere living in an unsafe home is one person too many,” she told the House of Commons.

“That will be our guiding principle and must be that of anyone who wants to build or care for our homes. That will be an important part of the legacy of Grenfell.”

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What will happen to the Grenfell site?

More training for social housing tenants

She announced “stronger protections” for social housing tenants, giving them more power to challenge landlords and demand safe, high-quality housing.

The “Four Million Homes” training will be expanded – a government-funded initiative that provides guidance and training for social housing tenants.

However, the National Housing Federation (NHF), which represents about 800 housing associations, said it missed the point as it said social housing tenants cannot access government funding to remove dangerous cladding – and manufacturers of unsafe materials have not contributed to the costs.

Kate Henderson, chief executive of the NHF, told Sky News: “The money to fund this work is coming from people on the lowest incomes in this country, and to make matters worse, means fewer homes will be built for those in dire situations on housing waiting lists, living in overcrowded homes and stuck in temporary accommodation.

“The government must put an end to this unfair funding regime and give social housing providers and their residents equal access to building safety funding.”

Grenfell Tower pictured days after the devastating fire. Pic: AP
Image:
Grenfell Tower pictured days after the devastating fire. Pic: AP

Ms Rayner also announced:

• A new single construction regulator so those responsible for building safety are held to account

• Tougher oversight of testing and certifying, manufacturing and using construction products – with “serious consequences” for those who break the rules

• A legal duty of candour through a “new Hillsborough Law”, so public authorities must disclose the truth

• Stronger, clearer and enforceable legal rights for residents so landlords are responsible for acting on safety concerns

• A publicly accessible record of all public inquiry recommendations

Polly Neate, chief executive of housing and homelessness charity Shelter, said it is “right” the government has committed to take forward all the inquiry’s recommendations but said it needs to boost funding for legal aid so people can actually enforce their rights as tenants.

Earlier this month, the government announced the tower, which has stood covered in scaffolding since the fire nearly eight years ago, will be “carefully” demolished in a process likely to take two years.

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