Home improvement spending surges

An estimated £79.3 billion will be spent on home improvements between now and February 2006, according to the latest findings from the Sainsbury?s Bank Home Improvement Index.

The anticipated home improvement binge represents a 39 per cent increase on the period between February and July this year, with men replacing women as the main spenders in this area.

Around 27 per cent of men intend to spend £46.38 billion on home improvements compared to 23 per cent of women who expect to spend £32.82 billion. In the previous six months women outpaced men on home improvements spending by £1.76 billion.

Sainsbury's Bank reveals that £7.04 billion of the £79.3 billion planned to be spent on home improvements over the next six months will be financed through personal loans.

Rachel Brereton, loans manager, Sainsbury?s Bank said: "Our research shows that £13.2 billion of planned home improvement expenditure over the next six months will be financed through credit cards and loans.

"However, in the excitement people can often forget to shop around for competitive finance offers which can cost them thousands of pounds in unnecessary interest repayments."

Sainsbury's personal loans rates start from 6.5 per cent APR typical, and its new Visa card offers one of the longest 0 per cent APR deals on purchases at ten months.

Of those planning to carry out home improvements over the next six months, 33 per cent intend to do painting and decorating, 19 per cent will be fitting new bathrooms and 17 per cent aim to replace their kitchens.