Time to think about retiring Heathrow?
Heathrow airport should be decommissioned and replaced by a new national airport, according to a controversial new discussion paper published the Town and Country Planning Association.

Relocating Heathrow could free up more than 1,000 hectares of land for redevelopment potentially worth more than £6.8 billion, with the potential for the creation of a new sustainable community of more than 30,000 homes in one of the country’s worst housing hotspots, argues the report.

The key argument for relocation is that there is no longer room to expand to accommodate increasing volumes of long haul flights. For years, the policy has been to build relief airports to take the pressure of Heathrow, but this has not worked.

The government's airports policy is "completely disconnected" from any attempts at regional planning, the Town and Country Planning Association (TCPA) said. The association attacked a 2003 government decision to rule out a single South East hub airport in the Thames Estuary.

Aiming to replace the bulk of environmentally damaging short-haul flights through the development of a new high-speed rail network linked to the new airport, the paper makes a persuasive case for relocating Heathrow. The move would reduce delays and help to secure Britain’s future as a world economic centre.

A number of potential sites for the new airport are examined, but the case for creating a new island in the Thames Estuary is found to be overwhelmingly strong. This would ensure no aircraft noise over London or the Southeast, no displacement for people currently facing upheaval around London’s expanding airports, and direct rail links to mainland Europe, as well as to London and the rest of the UK.

The authors say other major world cities including New York, Paris, Berlin and Hong Kong have responded to pressure to take increasingly large volumes of long haul traffic by relocating their principal airports, frequently to off-shore locations.

Buy-to-let beats stock market returns

Buy-to-lets, especially in the North, are the top choice for investors as the stock market has plummeted in popularity having suffered its worst week in three years, a survey has shown.

The poll, commissioned by The Property Investor and Homebuyer Show North showed that over 70% of investors are relying on buy-to-let for their future wealth, with less than 2% opting for stocks and shares.

The property has become the first choice for those who have realised they can no longer rely on their pensions or stock market investments to guarantee their future rental income.

Buy-to-let not only provides guaranteed rental income but, in the long term, strong capital growth can also be expected.

The survey also revealed that 33% of investors selecting buy-to-let for their future wealth generator are relying on the North, while 30% are relying on overseas investment opportunities, including the emerging markets in Eastern Europe and the traditional markets of Spain and France. Around 22% of investors have selected London, and 15% the South.

Trisha Mason, Founder and Managing Director of exhibitor VEF believes that property offers excellent future potential if thorough research is carried out.

"Property can only form a sensible part of an investment portfolio if you are sure that the investment is safe," Trisha said. "Stocks and shares will fluctuate, but property is a physical asset which is not only capable of generating future capital growth, but also capable of generating present rental income."

Nick Clark, managing director of The Property Investor and Homebuyer Show North said: "The results of our survey have confirmed that buy-to-let offers excellent rewards for anyone who is serious about property."

"While pensions and shares have proven a risky option in recent years, the property market is bubbling once again and in the long run can bring in excellent rewards."

"Across the UK, many investors are putting their confidence in the northern market for their future wealth. With high levels of regeneration and investment across the main cities including Manchester and Liverpool, the number of buy-to-let options available for investors is on the increase."

Exhibitors specialising in buy-to-let will be at the Property Investor and Homebuyer Show North from Friday 2 to Sunday 4 June at the GMEX Centre in Manchester.

Technology to pervade deep into daily lives

According to a report by Deloitte, the business advisory firm, by 2010 more people around the world will use a growing number of technology products and services more often, in more locations, and for more purposes than ever before.

A typical day in 2010 is unlikely to feel much different to today. We won’t be watching holographic TV or travelling to work in flying cars. "However," said Jolyon Barker, head of the technology, media and telecommunications practice at Deloitte, "technology will be far more involved in our everyday lives than ever before. From the car to the classroom, the living room to the office and essentially everywhere in between."

Established technologies – from mobile phones to desktop computers – will still dominate, but they will increasingly be used alongside a growing range of supporting devices. With connectivity becoming ever more widespread, and content increasingly digital, it should be possible to access and consume services and content almost anywhere, whether we are stationary or on the move.

How we will work in 2010
The growing ubiquity of technology will have a number of impacts on our everyday lives. Work place boundaries will blur, both socially and geographically. Offshoring, remote working and virtual teams will become more widespread. As the consequence of this, the division between work and private time will probably become yet more opaque as the ability to connect and communication becomes increasingly universal.

How we will communicate in 2010
The number of tools used for communication will continue to proliferate, although consumers will probably settle on a preferred set of communication tools which serves their particular needs best.

Email will continue to grow in popularity and usage, but voice (and in particular mobile voice) will still dominate revenue-generating applications. By the end of the decade half of the world’s population will have access to telecommunications services.

How we will be educated in 2010
By 2010, education will have undertaken a rapid – and sometimes controversial – adoption of technology innovations. Digital whiteboards, extranets for parents and typed coursework will have become commonplace. But alongside this, cheating will have become easier than it ever has been.

Wireless technologies may facilitate communication between students taking exams; improvements in search engines might catalyze plagiarism. Furthermore, where podcasts, online notes and other electronic aids are provided to supplement classroom teaching, some students may choose to use these as a substitute for attendance.

Education may also be provided on emerging devices, particularly Digital Video Recorders (DVRs), in the home. The video game sector may broaden its appeal – and also its reputation among parents – by launching games with a specific educational intent. Devices which once only exercised thumbs may also increasingly be used to exercise bodies as well as stimulate minds, with a growing range of games requiring players to use their bodies to control their virtual player.

How we will be entertained in 2010

Despite the growing range of alternative distractions, television will continue to dominate our entertainment, locking-in our attention by offering high definition content delivered to ever larger, flat-panel screens. On-demand television and video will likely grow in popularity, and will be selected and delivered using a variety of technologies and transports.

Although on-demand programming and interactive television will grow, the scheduler’s job will remain. The effort involved in choosing what to watch may well be too much for people, who will default to whatever happens to be on.

The Internet will make strong gains in popularity, and in some markets may even displace television as the most popular form of entertainment. Its power as a distribution medium for a huge and growing variety of content and services should be consolidated by 2010.

How we will travel in 2010
Another key development in the use of technology will be safety, particularly within the context of transport. Robotic systems will increasingly support drivers, alerting them to hazards and even taking over steering and braking when circumstances require.

Head up displays (HUDs) will present critical information on the windshield – allowing the drivers to keep their eyes on the road. Haptic systems will use drivers’ sense of touch to issue warnings, and even wake up drowsy drivers.

Drivers will increasingly use speech recognition to control satellite navigation systems and text to speech to listen to e-mail messages.

Overall, the years to 2010 will see technology innovation as the basis for a quiet revolution. New users, new uses and more frequent use of technology will see the combined technology, telecoms and media sector grow in breadth and depth, creating value across a wider range of products, services, segments and geographic markets.

Britons own more second homes than accepted

There could be as many as 350,000 second homes in England with a further 260,000 abroad, according to a new report from Savills Research.

The international property services group says this is 1000,000 more than government estimates, of which they remain unconvinced.

One in three homes in some counties are now second homes, with Cornwall and London continuing to dominate the second home market. Over 20% of second homes are in the South-West, which includes the popular counties of Cornwall, Devon and Dorset.

But the pattern is changing with Norfolk, Birmingham and Manchester all seeing significant upward movements in the charts.

Savills say that wherever the proportion of second homes exceeds 20% prices will be affected in a way that impairs local affordability.

Second home buyers are generally in their forties, with a professional career or working in financial services.

Kids to get half-term short-term solutions

Parents are getting ready to splurge up to an extra £571.5 million on unhealthy treats for their children this half term in an attempt to keep them entertained during the school holidays.

According to new research carried out by Yorkshire Bank as part of the development of its Child Savings Bond - a five-year fixed rate children's bond paying a market leading rate of 5.0% gross/AER and available for as little as £50 - nine out of 10 parents will spend extra money on DVDs, video games and fast food to indulge their kids next week.

Despite this, one in 10 (9%) parents admit that their children would be bored and lose interest in the game or film before the week is out.

Stephen Porter, senior marketing manager at Yorkshire Bank, said: "Parents often feel at a loss for what to do with their children during the holidays and give in to pleas for computer games and DVDs. This is despite knowing that sitting in front of a TV or computer isn't really the best way for their children to spend the whole holiday."

"We're not saying don't treat the kids next week, but why not think about the longer term benefits and better ways for you to use the money where your children really will appreciate it more in the future."

"Looking at cheaper treats and investing the money you would otherwise spend on things like computer games into savings for your child's future could prove a much wiser way to benefit your child."

Take care of the pennies and the pounds will look after themselves

Yorkshire Bank's research found almost half (46%) of parents think children today do not appreciate the value of money. However, only one in five (21%) encourage their child to save a significant proportion of their cash.

Aimed at parents and grandparents, Yorkshire Bank's five-year Child Savings Bond is an ideal way to give a kick-start to a child's future prosperity.

Stephen Porter added: "Many parents understand the financial pressures of life and want to be able to give their children a helping hand when they're older, whether it is to buy their first car or send them to university. By planning now while they are younger, parents will be able to benefit when it comes time for their children to take care of their own money."

Couch potatoes

Plans for the school holidays will also see children glued to screens and eating junk food, according to the research. One in five (20%) parents are planning to buy their child DVDs or video games to keep them entertained and one in three (34%) will take them for fast food, pizza and burgers.

Stephen Porter said: "Parents often buy expensive games and treats for their children when what they'd really like is to spend quality time with their parents - and this needn't cost a fortune. A trip to the park with a football or Frisbee doesn't have to cost anything and it gets children outdoors enjoying the healthier things in life."

Strapped for cash

Yorkshire Bank's research found almost one in three (31%) parents worry that their child will be short of money when they are older but few have got their children into the habit of saving. Less than half (43%) of children have a piggy bank that they add to on a regular basis.

Stephen Porter added: "It's important children learn how to be savvy savers from an early age. Parents also want to be sure their offspring will be financially secure when they come to fly the nest. Instead of splashing out on expensive new computer games, which children can often lose interest in before the week is out, we'd encourage parents and grandparents to put the extra money to good use for their child's future."

"Indeed, our research shows that more than one in three (37%) parents wish their friends and family would put money into a savings account for their child rather than buy them expensive toys and games."

Activities that don't cost the earth

To help parents plan their half term with the children without forking out the cash, Yorkshire Bank has compiled a top list of inexpensive, healthy activities for the children to do next week so the extra cash can be invested for their future:

Invite your children's friends round and plan a treasure hunt around the house and garden
Take a football, Frisbee or other game to the park for a kick-about
Go for a bike ride - more and more cycle paths are popping up making it safer for cyclists
Local authority leisure centres are great for family swimming and during the holidays often have large inflatables for children to play on
Encourage your children to have a rout through their cupboard - they are sure to unearth long forgotten games and toys.

Rural homeowners to see window views change

The drive to a low-carbon energy supply may mean growing different crops in England’s green and pleasant land.

And, similar to the changes rural homeowners saw when rapeseed acreage expanded in the 1970s and 1980s, covering the countryside with fields full of distinctive bright yellow flowers, tomorrow’s crops will bring new vistas to our windows and rambles once again.

The use of crops to generate electricity is touted by some experts as one of the best ways to reduce emissions of greenhouse gases. Biomass energy uses products from forestry, energy crops and a variety of other materials which might otherwise be treated as waste as fuel and currently generates about 1% of Britain's electricity.

It’s advantage is that although it is burnt and so produces carbon, the carbon is readily taken back out of the environment by next year’s crop growth. In well designed power plants additional energy in the form of heat is used locally to heat buildings rather than wasted in vast cooling towers.

Crops can also be grown to produce oils that can be mixed with petrol to be used in modern car engines. Last year the government announced a target for biofuels to make up 5% of transport fuels by 2010.


Giant grasses and short rotation coppice willows are the two most likely crops to be seen for bio-mass power stations, whilst tall wheat is currently being grown for bio-fuel fermentation schemes.

Research is already being carried out on how best to blend energy crops into the landscape, as growing one million hectares of energy crops, like willow and elephant grass, to heat local factories, offices and hospitals, could have a significant impact on the rural landscape. In some areas they could eventually account for 10% of agricultural land.

Britain lags behind other European countries in its use of biomass as a renewable energy source. Austria, for example, supports 21% of its heat from biomass; and Sweden aims to cease using oil for energy purposes by 2020.

One in four ‘burglary homes’ targeted again

Burglary may be on the decline, but Victim Support and Direct Line warns that we cannot be complacent about the impact that this type of crime can have on victims.

Disturbingly, research conducted by Crime Concern found that one-in-four (25%) victims had been burgled more than once in their current home. Burglary can have serious effects on victims in practical, financial or emotional ways, and this kind of re-victimisation is of great concern.

The research also highlights that just under two-thirds (61%) of victims surveyed were at home when they were burgled. Forty-seven per cent were at home, but unaware that they were being burgled; 10% of victims saw the intruder in their home, and a further 4% were at home and aware of the burglary, but did not see the intruder.

The research was designed to help Victim Support improve the scope, effectiveness and quality of the services it provides for burglary victims. The research surveyed burglary victims who had been referred to Victim Support by the police.

The most common types of support that respondents wanted immediately after they were burgled were practical, including information from the police about the progress of the case (39%), advice on how to improve security (28%) and help in reporting the incident (26%).

Although only 22% of victims said that they wanted someone to talk to about the crime directly after it happened, 60% said that overall they felt emotionally affected ‘very much’ or ‘quite a lot’, demonstrating that the emotional effects of burglary are often not realised until some time after the crime occurred.

Servjeet, who lives in Bradford, was at home when she was burgled: "When I opened the door to the dining room, the burglar was standing in front of me. I screamed and my husband came downstairs quickly, because he thought I was being attacked."

"The burglar ran out and got into our car and drove off with someone. For six months, I was afraid to go downstairs at night."

"I still haven’t got over the burglary. Every night before I go to bed, I put the chain across on the door and check the alarm. Victim Support was very good to us, because they helped us whenever I asked them."

Peter Dunn, head of research and development at Victim Support, says: "This research tells us that the effects of burglary on victims can be traumatic, wide-ranging and long-lasting. We can give victims emotional support, practical help and information to help them come to terms with the experience of being burgled."

"Our help for victims can only be effective if we have a clear sense of what is needed. Unfortunately, our personal contact level with burglary victims has fallen in recent years due to a lack of resources. We really appreciate Direct Line’s commitment to funding the research, which gives us new insights to help us enhance the quality and range of services we provide to burglary victims."

Retirees boost Spanish market

One in five Britons and a third of Germans are considering retiring to Spain, according to a new survey by property consultants King Sturge.

The survey questioned 800 Britons and 800 Germans aged over 50 about their views on retirement. The results showed that 22 percent of Britons and 35 percent of Germans were considering moving to Spain as part of their plans for later life.

A key factor influencing this trend is the high standards of healthcare and social services available in Spain with 44 percent of Britons and 34 percent of Germans claiming this to be something they found attractive. Many Spanish estate agents now sell health and social care benefits as part of the packages they offer.

At a time when there are numerous indications that the German economy is beginning to turn a corner, Martin Zuchner, head of the King Sturge office in Madrid, said he believed there was a new-found optimism in the country about retiring abroad.

They came from the east...

The Spanish property market should also soon receive a further boost from the Spanish government's decision to lift restrictions on the entry of workers from the newest members of the European Union on Monday.

This will have a significant impact on the country's economic growth, as skills shortages - particularly in the construction industry so important to the Spanish economy - are plugged.

Francisco Gonzalez de Lena, of the Spanish Labour Ministry, told the Associated Press that the property market has been so hot for the last ten years that demand for manual labourers has far exceeded the availability of these workers from within Spain itself; the country has one of the lowest birth rates in the world.

An influx of foreign workers will also in turn boost demand for housing.

Mixed performance

The Spanish Ministry of Housing's official figures show that property prices increased by an average of 12.8 per cent in 2005, taking the mean cost of residential property to EURO 1,824 per square metre, up from EURO 1,618 at the end of 2004. This is the lowest rate of property price inflation since 2001.

These figures, however, conceal dramatic differences throughout the country. For example, prices rose by 20.6 per cent in Diudad Real (Castilla La Mancha), but fell by 0.4 per cent in Teruel (Aragon). On the whole, inland properties and those on the north-west coasts (Galicia) performed better than properties on the Mediterranean coast and islands.

Dream home in"nightmare location"

Most homeowners usually look forward to settling down to a peaceful life in their dream home. However, this is not always the way it goes.

Disputes with neighbours that are not resolved amicably not only leave ongoing unpleasantness, but could affect the saleability of your property in future.

New research by Halifax Estate Agents reveals that, overall, the most common reason for a dispute with neighbours is noise, with well over half of us (64%) stating it as a reason we have fallen out with our neighbours.

Men are more likely to get into an argument with the neighbours over noise with 72% having experienced this sort of dispute.

The research also showed that men's territorial instincts often come to the fore in neighbourly disputes with the second most common reason for them to fall out with neighbours being 'on-street parking spaces'. Despite the fact that residents do not have the automatic right to park on the street outside their house, 37% of men have argued with neighbours about where they park.

Noise and parking were also the top two niggles for women, but to a lesser degree with 61% having fallen out with their neighbours over noise, and less than a third (30%) rowing over car parking spaces.

The Halifax research also gives fuel to the stereotype that young people may play their music too loud, discovering that nearly half (46%) of 18 to 24 year olds have had disagreements with their neighbours over noise.

Residents in the South recorded a well above national average of 80% of people falling out with neighbours over noise compared their quieter counterparts in the North who were less noise-irritated with 56% having fall-outs with noisy neighbours.

Garden-proud homeowners in the North were more likely to argue with neighbours over pets leaving mess on the lawn (30%) compared with just 21% of those in the South.

The Citizen's Advice Bureau recommends a number of steps to take to resolve noise disputes with neighbours:

In the first instance, try talking to your neighbour about the problem.
If they are a tenant, contact their landlord.
Keep a record of all occasions of excess noise and disturbances.
Request that an Environmental Health Officer (EHO) investigates the noise.
If the EHO does find a noise nuisance, and it cannot be resolved through discussion, they may serve notice to the person making the noise, or their landlord.
If they do not comply, the local authority can prosecute or put an injunction in place.
Alternatively, get in touch with a mediation service in an attempt to solve the matter without legal proceedings.
If you decide to sell your property you will be required by your solicitor to fill out a ‘Sellers Property Information Form' in which you will legally have to declare any disputes that have arisen or complaints been made between you and your neighbours.

It is therefore in your best interests to ensure that any problems are resolved amicably without the need for 'official' intervention.

Colin Kemp, managing director of Halifax Estate Agency said: "Clearly, excessive noise is something we are just not prepared to tolerate from our neighbours."

"In order to make life more enjoyable for everybody, we would recommend having some consideration for our neighbours in the first place. If an issue should arise, try to talk about it calmly wherever possible. Otherwise, it could spiral into an unpleasant situation for everybody involved."

New semi-detached homes rising in popularity

Semi-detached new homes are increasing in popularity and in value, according to the latest report from a website promoting newly built homes.

Semi-detached properties have experienced the biggest rise in value, up 10.7% since the same time last year. Prices rose 1.9% during April, while all other property types experienced a fall, said SmartNewHomes today.

Semi-detached properties are also increasing their market share. Despite apartments dominating new builds, the proportion of new semi-detached properties coming to the market is up 2% since the same time last year.

However, despite this rise in value since October 2005, semi-detached homes still remain one of the cheapest property types on the market. With a typical price of £233,502, they are considerably more affordable than the average home, which is now worth £256,521.

Confidence in the housing market grows

Despite average homes on the site falling in price by 3.1% over the last month, buyer confidence in the market is increasing. The prices people are willing to pay for new homes has risen throughout April by 0.7%, and is now almost the same as the average home for sale on the site. Fears of a housing market crash seem to have faded from the memories of most buyers, who are now prepared to pay more for the new home they want.

David Bexon, managing director of SmartNewHomes.com, commented: "Although the average price of a new home fell by 3.1% during April, they have actually fallen back in line with last year’s values, showing an overall rise of 0.1% since April 2005."

"Generally we have been seeing optimistic movement within the property market, as consumer confidence is restored to levels previously seen in 2004. Buyers have demonstrated they are prepared to pay 4.3% more for their new home than they were in April 2005, despite a rise in prices of only 0.1%. The return of the semi-detached home demonstrates the continued demand for suitable family properties at competitive prices."

Will ETA ceasefire boost Basque property?

Last month saw ETA declare a permanent ceasefire. Does this herald a property boom for the region?

After over four decades of terrorist activity, the Basque separatist movement ETA declared a permanent ceasefire on 24th March this year. Despite many in Spain questioning how long the peace will last, Spanish Prime Minister Jose Luis Rodriguez Zapatero has recently stated his belief that the declaration is genuine.

In its campaign for self-determination and independence for the Basque region in the north of Spain, ETA has killed more than 800 people over the past four decades. However, in recent years, it has limited its activity to small bombs and extortion.

Surprisingly, such activity has failed to significantly dent either the Spanish property market or the regional economy of the Basque region.

"Indeed, ETA activities started in the late 1960’s at around the same time as the Spanish property boom also began. Over the intervening years there has been some limited impact on the regional economy in the Basque region; however, today the Basque country is one of the richest regions in all of Spain."

Following Belfast's lead?

Since the IRA's ceasefire, Belfast has enjoyed both an upsurge in tourist levels and property prices. The Good Friday agreement included significant redevelopment projects and Belfast is now the second most popular city in the UK for short breaks ahead of London and Edinburgh.

With its popular Guggenheim museum in Bilbao, stunning landscapes and superb food, particularly in the chic seaside resort of San Sebastian, the Basque Country has no shortage of tourist attractions. Does this mean that the Basque Country will soon be enjoying a similar pattern of growth to Belfast?

John McManus, the editor of Living Spain magazine seems to think so. He told OPP: "It is great news for the Basque region of Spain as more and more people are turning to Northern Spain as an alternative to the traditional costas. Both Galicia and Asturias have seen big rises in tourism and interest in property, helped by low cost airlines easyJet and Ryanair flying in to the regions and increased coverage in the media."

But the impact of ETA's ceasefire on the wider Spanish property market beyond the Basque Country will probably be minimal. Peter Mitry, managing director of Coast to Coast Properties S.L, told OPP: "Having now been on the Costa del Sol for 10 years, most of which has been spent in real estate, I cannot honestly recall one single client refer to ETA as a reason for not buying." He added, "ETA is a long way down most peoples list of worries. Believe me, with 99% of buyers ETA is not even a consideration."

Housing worries

The citizens of the Basque Country believe that housing is the main problem of the region, according to a poll commissioned by the Basque Government before ETA's ceasefire.

40% of those polled were concerned about housing putting it ahead of even terrorism and violence (mentioned by 37%) and unemployment (mentioned by 36%).

Despite employment worries, most Basques think the local economy is going well. Two thirds of those polled think the economic situation in the Basque Country is good or quite good.

‘Winter of drought’ subsidence warning

The Royal Institution of Chartered Surveyors is urging house-owners to keep an eye on their properties, as a winter of drought followed by a hot, dry summer could see their homes cracking under the strain.

Subsidence, caused by the loss of water from shrinkable subsoil, brought about by a period of high temperatures and low rainfall, is a major threat to houses built with shallow foundations. Most commonly seen in the construction of pre-1965 houses and particularly during the Edwardian and Victorian eras, shallow foundations are more susceptible to the problem of heave. This arises when a hot spell breaks and rain causes the soil to expand. The expansion is rarely uniform throughout the soil and as a result the ground experiences ‘differential heave’, which can cause buildings to move and crack.

RICS is urging people to periodically check their properties for evidence of cracking. Cracks over 3mm wide are considered to be ‘serious’ and require immediate action, especially if they pass through brickwork or stone.

RICS spokesperson Roy Ilott, said: "We, like the insurance companies, are expecting to see a rise in the incidence of subsidence. Finding the cracks and notifying your insurance company can be the easy part – rectifying the problem can be very complex, costly and disruptive to the household."

"House owners should be prepared for delays as premature action can cause further problems and insurers will usually want to monitor walls for a season to assess a pattern."

Action to permanently correct subsidence is drastic and involves the deepening of the foundations in a process known as underpinning. The mere fact that a house has been underpinned can cause problems when the owner comes to sell, unless it has been carried out by a reputable building company.

Partial underpinning of a property or block of properties, so that the underpinning is on a different soil area, can exacerbate the problem as the remainder of the block or house may be adversely affected by future adjustments.

On finding a crack, householders should immediately notify their insurance company, or their landlord, and make a claim. However, the process can become stressful as the claim may well involve many parties – the insurer, the owner, the loss adjuster (whose job it is to abate the process in favour of the insurer), a building surveyor or engineer, and the building contractor.

"Our experience is that because it is such a slow process there can appear to be little co-ordination between all the parties and owners often feel they are ‘piggy in the middle’. We would advise them to step back and let the experts get on with the job," added Roy Ilott.

Subsidence – the underlying facts

Things which exacerbate the problem include:

An increase in paved areas, causing a reduction in the amount of water percolating into the subsoil.

Fractured drains, which can either allow water to saturate the ground causing it to heave or can wash out the fine particles in the soil making the problem worse.

Trees close to houses are also a threat as they take water from the soil through their roots and exacerbate any shrinkage caused by hot temperatures.

Insurance is only there to remedy damage already done, it will not cover the costs of preventing further damage occurring.

If owners choose not to underpin their property, they will not be required to have remedial works signed-off by building regulations and therefore when they come to sell their property it will not show up on any future searches made on the property. In June 2007, when the Government launches the Home Information Pack, this situation will change as people will be expected to declare all building works undertaken on a property during their ownership.

To help members of the public deal with the issues associated with subsidence, RICS has produced a free brochure entitled: ‘What to do when the earth moves’. It is available from the RICS contact centre, telephone 0870 333 1600.

Tourism drives up Algarve prices

Property prices in the Algarve in Portugal's south are being driven up by high tourist levels to the region.

The Algarve - Portugal's most southerly region - currently has the highest priced houses in country. According to data from the Instituto Nacional de Estatástica (INE) the average value of a house in the Algarve is 1,481 euros per square metre in comparison to the national average of 1,225 per square metre.

www.portugalresident.com reports that Mendonça Pinto, the regional director of the Economy, is not surprised by these facts, saying it was because “the buying power index registered for the Algarve is superior to the national average”.

Tourism as a key driver

A key factor behind the rapid price rises in the Algarve has been the expanding second homes market in the region. With fabulous weather, beautiful beaches and world class golf courses, the Algarve is one of Portugal's key tourist destinations and foreign investors are flocking in droves to buy up property for holidays or as investment vehicles. The tourist hotspots of Loulé, Albufeira and Lagos are experiencing particularly marked price rises and in Faro, the Algarve’s capital, it's apartments that are at a premium.

What's more visitor numbers are set to escalate yet further: Portugal's national tourism institute has recently confirmed a grant of 6 million euros to promote tourism in the Algarve under a new marketing plan that was launched last year. Much of this money will be aimed at increasing the awareness of the Algarve brand in a number of key foreign markets, according to the local press.

Financial hangover prolonged by comfort buying

Britons have remorselessly raided their savings since Christmas, fighting a financial hangover from Christmas and a prolonged winter ‘comfort’ spending spree.

Savings dipped by 27% in the last three months according to latest research out today from Birmingham Midshires' Saving Britain campaign. Britons failed to nurture their nest egg over the winter months, saving an average of £495, compared to £680 in the final months of 2005.

The report unearthed a disappointing start to the nation's savings habits in 2006. Despite an overall dip, men proved to have the healthier savings skills as they managed to stash away 47% more than women did in the first quarter of the year (£594 compared to £403).

However, men still failed to live up to their savings standards by allocating 40% less in the first quarter of 2006 than the previous three months.

Across the generations, those in the 30 to 50 age group were the most prudent savers in the first quarter of 2006, as they managed to put away £679. In comparison, those aged over 50 saved £413, while the under thirties managed only £295.

The under thirties also proved the most erratic with their savings stockpile, saving an average £489 less than over the Christmas period of 2005.

Jason Robinson, director of savings operations for Birmingham Midshires commented: "The cold weather and delayed advent of spring could account for this disappointing start to the savings year."

"We know that the months after Christmas often cause a 'financial hangover' and the prolonged winter months cause people to comfort spend in an effort to boost everyday doom and gloom."

"We'd advise savers to think carefully about their spending habits over the year to maintain consistent savings habits and nurture their long-term security."

Northern cities are investors’ ‘new south’

A Property Investor and Homebuyer Show survey has revealed the north is overtaking the south in popularity among property investors.

Over 72% of industry experts surveyed say that regeneration and investment in northern cities means canny investors are taking advantage of the increased buy-to-let opportunities and solid capital growth in the ‘new south’. While the south still offers good returns, house prices are higher and the investment can take much longer to pay off.

Northern revival
The north has seen significant investment in regeneration and infrastructure and has quickly become a serious competitor to the south. Whilst most economic activity in the UK has primarily been centred around London, investment in the north is seeing this centre gradually shift.

The Commonwealth Games held in 2002, the BBC’s planned move to Manchester and the regeneration of Liverpool as the European Capital of Culture 2008 have all contributed to a positive effect on the area.

As investment and regeneration booms, the consequences for the northern housing market are very encouraging. From buy-to-let investors to first time buyers looking to choose an up and coming hotspot for their first purchase, the area is guaranteed to provide strong returns by means of rental yields and capital growth.

Louis Mann, Sales Director of Validus, an investment company exhibiting at the show commented: "Buy to let investors should keep their eyes on the north. Property prices are still lower than in the south, and for the investor this means a lower ‘ticket price’ to purchase the property which is great for cash flow."

"Admittedly this has to be weighed against expected lower rents but rental returns are still favourable at 4.7% annually and, encouragingly for the long term, property prices in the north have room to grow."

Nick Clark, Managing Director of the Property Investor and Homebuyer Show North, commented: "The results of our survey show that while London is leading the current property boom, industry experts believe you shouldn’t discount the north which is set to provide excellent returns in the long run. Indeed, many are labelling the north as the ‘new south’.

"With lower house prices and high demand from workers, tourists, students and immigrants, there are plenty of opportunities for shrewd investors who are looking to make money out of property and homebuyers who want to get their first step on the property ladder."

The Property Investor and Homebuyer Show North will be at G-Mex Manchester from the 2 to 4 June.

More anti-drought action needed

Even after the drought order made yesterday, the first in over a decade, the Environment Agency is concerned that the water shortage message "is not sinking in" with other water authorities.

Water supplies and the environment in the south east of England are still at serious risk because of the drought and not enough action is being taken by some water companies, people and businesses to save water, the agency said.

Releasing the Drought Prospects Report - Spring Update, the Environment Agency again warned that with a hot dry summer, and possibly the most serious drought in the past 100 years, there is a real risk of standpipes being introduced in parts of south east England later this year.

"This is not just a problem for water companies - people and businesses must take this warning seriously and act to save more water," said David King, EA’s director of water management.

Despite some reservoirs being close to full, more than 70% of the public water supply in the south east comes from groundwater - where in some areas, levels are the lowest on record. Over the last 18 months rainfall has been much lower than during the 1974-76 drought, and has been very similar to the serious drought of 1932-34.

"But we're concerned the message may not be sinking in. Even if we're aware of the seriousness of this drought we can all be doing more to minimise the impact of water shortages on people, the economy, and the environment," said Dr King.

In its report, the Environment Agency calls on:

Thames Water to step up action to reduce demand for water. London's water supply remains at risk this summer and Thames Water should apply for a drought order immediately to restrict water use for non-essential activities, as any further delay will increase the risk of standpipes later in the year. Essex and Suffolk Water to introduce a hosepipe ban by the end of May to reduce the risk of supply problems later in the year.

Without restrictions in place, reservoir levels could drop very quickly. All water companies in the south east to work hard to manage drought this year by providing clear information on how people and businesses can save water, applying for non-essential use bans to restrict some uses of water, and putting more effort into finding and fixing leaks.

The recommendations follow a report in February where the Environment Agency called on all water companies in the south east to introduce hosepipe bans to help avoid more extreme measures, such as standpipes and rota cuts. It also recommended other actions needed by companies and people to minimise the impact of drought on water supplies and the environment this summer.

Despite many water companies responding well to the earlier warnings, reservoirs and groundwater levels are starting to drop, and those water companies who have not acted to introduce hosepipe bans or reduce the demand for water are putting water supplies at an even greater risk, warned Dr King.

Dr King said as a result of two dry winters, this summer there would be more environmental problems, such as fish deaths and algal blooms because of low river levels and possibly restrictions on spray irrigation.

The drought is most severe in south east England. However, most of England and Wales has had a dry winter - only northern England has approached average rainfall.

Retirees looking for value property

House price inflation has given many retired people the option of selling up and moving and in turn, this has pushed up prices in favoured retirement areas – particularly Norfolk, the West Country and the Sussex coast.

Currently Southern England contains the UK's top three retirement hotspots - Christchurch, Rother and West Somerset - with almost a third of their population made up of men and women above retirement age, compared to a national average of just 19%.

However, the next wave of later-life havens is beginning to emerge north of the Watford Gap, in Yorkshire, Wales and the Midlands, according to a report by a group of investment companies, the Alliance Trust Research Centre.

Analysis of official population data, past and recent, found that around a generation ago (1971) the North West and North Wales held the highest concentrations of retirees, along with Sussex.

But the prospect of longer, healthier retired lives, coupled with property-fuelled personal wealth and looser family ties, has prompted a major migration of the old age population, which has also grown by nearly two million people since the early 1970s.

The study reveals that the biggest exodus of retirees currently stems from major UK cities, particularly London where there just 11% are above retirement age, but also Birmingham, Leeds, Manchester, Sheffield and Liverpool.

The majority of these retirees are choosing to sell their biggest asset - their home - and relocate to the countryside or near the coast, while a growing minority is retiring abroad.

The study also found that just half of all homes were owned in the 1970s, compared to seven out of ten homes these days, and much of the power behind the modern grey pound stems from gains from these property investments, as well as stockmarket growth.

However, house prices in today's retirement hotspots have recorded some of the largest rises in recent years, and the next wave of retirees are realising that to buy more for their money, they need to look further North than the current hotspots.

Mobile home sales to be ‘more transparent’

The government wants to regulate the amount a mobile home park owner can charge as commission on the sale of a home.

It is setting up a three-month consultation aimed at finding a more transparent payment system for mobile homes used for residential purposes, with less opportunity for the potential harassment of residents, while promoting the future growth of the industry.

The homes are located on parks which vary in size and quality, from small fields, with a handful of homes, to large parks with shopping and leisure facilities. Some park homes resemble bungalows and others are more close to traditional caravans.

Housing Minister Baroness Andrews said the consultation reflected the last of the key recommendations of the Park Home Working Party set up in 1998.

"This is another important step in reforming the park home industry by increasing the rights for more than 200,000 residents whilst at the same time ensuring the sector's regulatory framework helps to meet the growing need for quality and choice in housing," she said.

The commission payment on the resale of a park home has been with us for as long as people have used caravans as a permanent residence. In the 1960s, the going rate was about 20%.

With the introduction of the Mobiles Homes Act 1975, the payment was put on the statute book and limited to 15%. This was then reduced again in the Mobile Homes Act 1983 to 10%.

Equity lenders may ‘miss the boat’

Homeowner attitudes towards releasing equity in their homes is significantly changing but a new report out today argues that some mainstream lenders who have been reticent about the market may now face the risk of missing the boat.

Homeowner attitudes towards releasing equity in their homes are significantly changing in a number of ways and recent reports show a steady growth in this market. (See our recent news story Impressive growth in drawdown equity release) However a new report out today argues that some mainstream lenders who have been reticent about the market may now face the risk of missing the equity release boat.

The report from market analyst, Datamonitor estimates that the current population of 50-60 year olds holds £542.6 billion of home equity and forecasts that by the time the whole sample group is of retirement age, total home equity will be £1,425.4 billion.

Not only have homeowners aged between 50 and 60 years accumulated significant home equity but they are also willing to use their property as a source of retirement income. Their attitudes towards leaving inheritance to their children are changing too.

While one of the main barriers to older customers using the money tied up in their properties could be a feeling of guilt that the inheritance for children would be reduced, many parents today feel less of a cultural imperative to pass on their wealth. A recent study from on the equity release mortgage market, conducted on behalf of the Scottish Widow highlights that while inheritance remains an important barrier for 37% of respondents, 35% of interviewees stated that they would leave nothing to their children.

Karina Purang, financial analyst at Datamonitor and author of the report is concerned the industry is not keeping pace with this growth. “There is now more willingness among consumers to consider using property to boost retirement income due to factors such as inadequate savings and pension shortfalls,” Purang comments. “While this is a positive development for equity release mortgage market, the industry needs to ensure that consumers are getting the best quality of advice possible before making a decision. At the moment, this is an issue.”

Major mainstream lenders are yet to enter the market

With a change in consumer behaviour towards inheritance and an increased willingness in using property to boost retirement income, the equity release mortgage market holds a significant growth potential. However, up to now, the long awaited entrance of major mainstream lenders has yet to materialise.

While the higher lending risk, lack of experience and the high level of investment involved in offering equity release schemes may be putting off mainstream lenders, it would seem that they are simply waiting for the equity release mortgage market to take off.

Indeed, interviews carried out by Datamonitor within the industry suggest that given the relatively high level of effort and risks involved in offering equity release schemes and the current small size of the sector, mainstream lenders are apparently waiting for the market to pick up before investing resources.

“Consumer attitude towards inheritance and using home equity to fund retirement income is changing. This positions the equity release mortgage market as a sector with great growth potential and one where many lenders would want to be. By waiting too long, these lenders may face the risk of missing the boat,” concludes Purang.

Pensioners facing mortgage debt burden

One in six pensioners are still burdened by their mortgage, owing an average of more than £45,000 each, research has showed.

And one in three people who still do not own their home outright owe more than £50,000, while one in 10 have a debt of more than £100,000 to clear, according to Scottish Widows Bank.

The bank said pensioner debt levels are higher because people are buying homes later in life and remortgaging to provide retirement income.

The situation was set to continue, the report added, with half of pre-retirees in the 55 to 65-age range set to hold a mortgage into retirement. The average debt for this age range is nearly £62,000.

Murdo McHardy, head of product development and marketing at Scottish Widows Bank, said: "Our research shows that by the time they come to retire a significant number of pensioners still have a mortgage outstanding on their property, adding pressure to their hard-earned retirement fund."

"With more and more people taking out mortgages later, and paying them off later, we are seeing many people turning to the equity in their home as a method of providing income in retirement."

With more and more people taking out mortgages later, and paying them off later, we are seeing many people turning to the equity in their home as a method of providing income in retirement, pointed out Mr McHardy. The knock on effect of getting on the housing ladder later is that money that could have been put into a pension is being used on monthly mortgage payments.

"This trend is only going to continue to grow for as long as first time buyers struggle to get onto the housing ladder before the age of 35," he added.

‘Gadget freaks’ win as bookworms loose out

While the price tag of being a gadget freak plummets, the cost of being a bookworm has sharply risen, according to a report that shows prices in this ‘i-pod generation’ slashed by up to 50%.

The price of electrical goods such as DVD players, MP3 players and personal computers - continues to fall in price, according to Egg's latest retail therapy index (RTI), which measures a basket of goods and services reflecting the nation's lifestyle purchases.

"As consumer’s turn from tradition to technology it appears that their buying power goes from strength to strength," said Egg’s chief marketing officer, Alison Wright.

By contrast the cost of traditional forms of entertainment has shot up by almost 6% over the past 12 months, with books and newspapers also seeing price increases of 5%. These shifts suggest that the use of electrical goods – especially those relating to entertainment – are continuing to replace more traditional forms of recreation and so are being priced accordingly.

The cost of going to the cinema has jumped by a whopping 8.7% with DVD rental costs even worse at almost 14%.

In addition, the cost of being a bookworm has increased significantly over the past 12 months with prices of books and newspapers rising by twice the level of inflation – adding £33 million onto the total cost of reading. Over ten years the trend is even more dramatic with the price of being a bookworm growing by 41% while the cost of technical products has fallen by 74%.

Overall however, the index reveals that despite general prices increasing by almost 30% over the past decade, the cost of discretionary items have only increased by a fraction of this (0.5%), with key items seeing phenomenal falls in price

Prestige Group launches hotspots index

To celebrate its UK launch the property investment company, Prestige Group, yesterday released its first International Hotspots Index.

The Index sets out a top-ten of overseas residential hotspots, providing an incisive guide for investors who are thinking of buying foreign property. It examines key factors that need to be considered before investing abroad, including: prices, rental yields, the local legal system, social and economic stability and the cost of finance.

Prestige Group already undertakes this analysis within its mainstream business but has now decided to make this information publicly available.

"Exceptional opportunities" in Warsaw

Top of the Index is Warsaw about which Prestige comments: "Warsaw is good value with an increasingly strong economy - some exceptional opportunities are available at the high end of the market." In number two slot is Florida, which currently delivers the highest house price inflation although Prestige warns that it "cannot maintain such strong appreciation levels in the longer term."

Five of the top ten hotspots are emerging markets and three are in former Eastern Bloc countries, highlighting the trend for property investors to move away from the Mediterranean towards less traditional investment countries.

Paul Coghlan, Chairman of Prestige Group commented: "Investment in overseas property is moving away from the holiday homes' market and towards attainment of stronger appreciating property in the less traditional countries such as those in CEE."

He continued: "The market has been fuelled by interest from homeowners in the UK and Ireland who, seeing their homes increase in value, wish to make equivalent gains in other emerging markets. Increasingly these residential property purchasers have clearer investment goals, making them much more calculated about their decisions."

Move along the Costa...

The Algarve’s central and eastern areas have been successful investment areas for a number of years but Prestige comments that the Central Algarve is "increasing overpriced". Recently the Western Algarve has emerged as a prime location offering excellent value for money.

Cape Town and Dubai feature in the top ten but certain legal issues concerning ownership rights remain with both destinations.

At the bottom of the list comes the Spanish Costas where Prestige advises against buying due to "legal issues and overdevelopment".

Although not making the top ten, Prestige tips off Brazil as an up and coming property market with "great potential for the future".

Paul Coghlan, commented: “All too often investors focus on the price of property and potential price increases, whilst factors such as the ease of finance and the legal issues are overlooked. Overseas residential markets provide a great opportunity for some major returns but, as with any investment, people have to see past the hype and do their research. The idea of the index is to provide some guidance to potential investors.”

French property prices increase by 10.3%

French property prices increase by 10.3%French property prices increased by 10.3% in 2005 with more property sales passing through the books of local French estate agents, according to the French National Association of Estate Agents (FNAIM).

According to investment property experts, apartment prices rose by 10.6 per cent in 2005, while the price of a house or Villa rose by 9.9 per cent. Although both figures are lower than those for 2004, the FNAIM was very happy with the fact that there was an increase in the number of French properties being sold.

The biggest price increases were seen in Auvergne, Basse-Normandie, le Centre, Champagne-Ardenne, Franche-Comté, Haute-Normandie, Languedoc-Roussillon and in Lorraine. The north and east also continued to see price rises.

Growth was in 2005 was higher than 2004 when property prices in France increased 10%.
Strong European market

With a potential 80,000 U.K. buyers looking to secure a property abroad in 2006 the European Property investment market appears to be in a strong position. With fears of a serious downturn for the UK property market now alleviated experts are anticipating that property investment abroad in 2006 should reap some very positive rewards.

France should have no problem securing its large share of the market, especially with the convenience of being so close to the U.K. And with an average price of 160,000 for a 2bed apartment in Montpellier - Pyrenees-Orientales and 206,000 euros for a stunning Villa in Narbonne - Pyrenees-Orientales it's not hard to understand why.

Supermarket to sell homes

From last Valentines Day you could have bought your wedding dress in a supermarket. Now the same store is setting up an estate agency business so you can also buy your home while doing the weekly trolley run.

Properties for sale will be displayed on touch-screen terminals inside Asda stores, which will also allow potential purchasers to register their interest. Staff will then visit to record details of properties or phone to arrange viewings.

The system will be trialled in 10 Asda stores in the Sunderland area during the summer but could be rolled-out across the UK by the end of the year.

Homes @ Supermarkets, as it will initially be called, will be run from a central hub office based in Hexham, Northumberland, where it will employ estate agents, surveyors, conveyancers and call-centre staff to manage all sales. All contact will be electronic, by e-mail or telephone.

The business will offer vendors free Home Information Packs which include a survey, search and land registry information. The packs will become compulsory next year.

Asda said vendors could enjoy total savings of up to £2,000 compared to using high street estate agencies.

However, National Association of Estate Agents chief executive Peter Bolton King told Press reporters that high street chains had tried and failed with similar ventures before.

Estonia is fastest growing property market

Estonia has experienced the sharpest annual rise in house prices of any country in the world in the first quarter of this year, according to estate agents Knight Frank.

Knight Frank's research showed that the Baltic state has seen house prices grow by 17 per cent compared to the first three months of last year.

In second and third place were Denmark and New Zealand which experienced annual house price rises of 16.1 per cent and 13.5 per cent respectively.

Languishing in the doldrums at the bottom of the table is Serbia-Macedonia, which has seen house prices fall 10.3 per cent during the last twelve months.

And faring nearly as badly are Hong Kong and Japan with annual falls of 6.6 per cent and 2.6 per cent respectively.

The case of Hong Kong highlights the fickle nature of housing markets. This year's fall of 6.6 per cent came directly after Hong Kong property recorded annual growth of 23 per cent in early 2005.

The UK's current annual growth of 5.3 per cent puts it in 14th place, midway down the table.
A slowing global market

Knight Frank's Global House Price Index shows that globally, house prices were 6.1 per cent higher at the end of March compared to the same period 12 months earlier.

This figure represents a considerable slow down in the international property market which peaked in 2004 when prices were growing on average by 10.9 per cent per annum.
Liam Bailey, Knight Frank's head of residential research, said: "The most notable trend is that house price growth is slowing across the globe"

He continued: "The early boom in house prices was led by the UK and Ireland in the second half of the 1990s with Australia catching up in 2000. As the 2000s progressed, more and more countries saw house prices rise strongly, including the majority of the European Union, South Africa, and latterly the US and New Zealand."

Now Knight Frank are urging investors to look carefully for opportunities in the cooling global market. Mr Bailey tips Germany and Eastern Europe as places likely to see house price growth in the near future.

"We believe that stronger than anticipated economic performance will lead to above average performance in Germany in 2007," he said. "The process of 'levelling up' in Eastern Europe will carry on apace over the next five years with average prices in most of these states coming close to the EU average."

The first of its kind

This index is the first serious attempt to analyse house price trends across the globe and covers 29 countries.

To compile the index, Knight Frank has used official national statistics or those from a respected national financial institution such as a large mortgage provider.

"Those familiar with the UK residential market will be surprised to learn that not every nationality finds house prices a subject for fascination," said Mr Bailey. "This unfortunately means there is a resulting lack of data to assess market movements in many countries. Even tracking basic data on house prices within the European Union can be problematic."

For example, in the Baltic states of Lithuania, Latvia and Estonia, Knight Frank has used the results for the capital cities as a yardstick for the wider national market.

Home alone estate agents not trusted

TV documentaries such as BBC’s Whistleblower, have put estate agents in the limelight again. Now a new survey is giving the life-blood of the property market another knock.

The research, from home insurer MORE TH>N, reveals that Britons now place estate agents in the top three least trusted professionals to be left alone in our homes.

With 18% of the votes, estate agents were out-voted only by window-cleaners (31%), and builders and decorators (26%).

Estate agents showing people round their home when they are not present make two thirds of Britons (69%) feel uncomfortable. As a result, over half (51%) go out of their way to ensure they are always present at a viewing; but an unlucky fifth (18%) with busy working lives have no choice but to let the estate agents continue with viewings in their absence, even though they would prefer to be there.

Such problems don’t just affect those buying and selling, the MORE TH>N research reveals, but also renters. Over one in ten people (11%) have experienced a dispute over payment of fees or commission with an estate agent.

The research comes in the aftermath of the recent BBC fly-on-the-wall documentary Whistleblower, which shocked the property industry to the core by revealing dubious sales practices such as under and over-valuing, false offers and developer back-handers by some of the UK’s leading estate agents.

Craig Allen, home insurance manager at MORE TH>N, commented: "Moving home is stressful enough without having to consider whether the person who is supposed to be assisting you is trustworthy."

"While we hope that for most people, the experience of dealing with estate agents is a smooth one, there are those for whom problems do arise."

Helen Adams of advice website FirstRungNow.com said, "Since the recent BBC1 programme about estate agents I’ve been inundated with queries from people concerned about estate agents and whether they are trustworthy, especially in London. My advice would be to seek recommendations from people in the same area who have recently sold a house as quality tends to vary between local offices and stories of bad practice soon get around."

Our low cost love affair with Spain

The continuing popularity of Spain as a destination for British people buying property in Europe is being fueled by the ever increasing availability of low-cost flights, according to Banco Halifax Hispania.

Buying property abroad is an increasingly popular investment among British people. Spurred on by the recent crop of property programmes and magazines, Brits are looking to purchase homes abroad whether as holiday homes or straightforward investments. Recent research from YouGov found that 50% of 18 to 29 year olds plan to buy property aboard.

And out of all the possible foreign locations, Spain remains the most popular destination for British people buying overseas property. According to the Official Social Trends Report Spain accounts for 27% of all Britons' second homes abroad. The report also found that Britons' spending on properties overseas has increased by 45% in the last four years.

What's more, it isn't just Brits who have succumbed to Spain's allure. According to the Spanish Ministry of Tourism, 1 million foreigners are expected to set up home on the Spanish coast within the next six years. This figure is expected to treble by 2025.

The demand from British people for property in Spain has been fuelled by the increasing availability of low rate Euro mortgages and the boom in low-cost, budget airlines, according to Banco Halifax Hispania, the Spanish arm of Halifax, the UK's largest lender.

Just popping out to Spain, will be back soon...

Research from OAG has shown that the number of low-cost flights to and from Spain is up 25% on last year, while low-cost operators within Spain have increased by 160%. This growth in low-cost, budget airlines has not only opened up Spain's sun, sea and sand to the independent traveller, but has also driven the development of new, regional airports.

According to the Civil Aviation Authority (CAA), passenger numbers from UK airports increased to 217m in 2004, an 8% increase on 2003's figures. In addition, regional airports have seen passenger figures triple from 1987 to 2005 and saw 9% growth in 2004 alone, increasing to 88m passengers.

The highest growth in regional airports has been in Newcastle, which experienced a 21% increase of 0.8m passengers, followed by Bristol at 19% (0.7m) and Leeds Bradford airport at 17% (0.4m). In addition, flights to Spain from the UK increased by 4% (1.2m) in 2004, compared to 2003.

With daily, low-cost flights leaving to Spain from numerous, national and regional airports across the UK, British people can now benefit from shorter, more frequent, affordable trips to Spain, traveling from places close to home. Research from Euromonitor's 'Travel and Tourism in Spain' report, reported that one to three day breaks are the fastest growing type of holiday in Spain, accounting for 37% of all trips in 2004.

Ian Smith, head of European operations at Halifax said: "Flying to Spain is often quicker and cheaper than rail travel from the larger UK cities to London. The low-cost airlines mean that people can have shorter, more frequent trips to Spain, traveling from places close to home.

Water shortage threat causes butt sell-out

Britain’s suppliers of water butts are quoting delays of up to eight weeks to garden centres across the South East of Britain who have sold out in a wave of panic-buying.

The threat of water shortage and hose pipe bans have sent homeowners scurrying around the garden centres and horticultural stores looking for any water butts they can find.

Queues formed at sales of cut-price water butts held Southern Water and even though some 4,000 butts were on offer, they were all gone by early afternoon. A spokeswoman for Southern Water said the supplier was unable to cope with demand.

In other parts of the UK the demand has risen too. In the West Country demand for butts has risen by 60% despite the plentiful supply of water in the West and no threat of water restrictions from South West Water.

Demand in the South West has likely been motivated by the very high price of water supplies in the area and accelerated by recent further large rises as much as by rumours of the shortage.

Some manufacturers said they were dealing with the problem by returning old equipment to use and hoped to reduce the waiting time.

Movers ‘strip’ homes

House sellers regularly strip their old properties of anything of value when they move home, with light bulb fittings, toilet roll holders and wheelie bins often ending up in removal vans, a new report suggests.

But the most common items to be taken are garden plants according to the survey from Halifax Estate Agency.

More than one quarter (26%) of those surveyed admitted to digging up their favourite flora and taking it with them, leaving unsightly gaps in the garden, to the dismay of excited buyers.

Light fittings were another popular item which people often take with them when they move. 12% of people admitted to taking them out of the house when sold, and a further 8% packed up the light bulbs when they left.

The same number of people (8%) took the toilet roll holders and towel rails from bathrooms, which can often leave unpleasant holes in tiles and wallpaper.

Although anything that is fixed or attached is normally considered an integral part of the house, the issue of what constitutes a part of the property for sale is not always clear cut. It usual for the conveyancer to ask the sellers to complete a 'Fixtures, Fittings and Contents Form' to outline exactly what will and will not be left. It is then the buyers responsibility to identify and query any items which they want to dispute before for the sale goes ahead.

However, even where a seller opts to take light fittings the form specifies that they should be replaced with a ceiling rose and socket, flex, bulb holder and bulb.

Moving into a new home can also produce an abundance of rubbish – from newspapers and boxes used for packing, to all the mess created when cleaning. But 5% of people owned up to taking the wheelie bins to their new property, leaving the old house without a bin – despite the fact that outdoor bins are normally the legal property of the council, and not the property owner.

A small number of people surveyed even took the house number plaque as a souvenir. This could make things difficult when the new owners' removal company are looking for the right house to deliver their property to.

All of these statistics highlight the need to obtain a properly completed, fixtures and fittings list from the seller. This should be examined closely by the buyer and their solicitor. If items you would expect to be left at the property are indicated as being removed by the seller make sure that you raise the issue so it can be resolved before contracts are exchanged.

Colin Kemp, Managing Director of Halifax Estate Agency, said: "It would be nice to think that everybody would leave their old homes, as they would wish to find their new ones, but unfortunately this is not always the case – despite the fact that people are only saving themselves a relatively small sum by taking items like light bulbs and house number plaques."

"The key is to ensure that you have documentation stating precisely what will be left behind or taken. Also know your rights when it comes to what constitutes fixtures and fittings."