A month is a long time in finance! We are now in the situation where the banks have created a serious shortfall in income for pensioners, due to plummeting interest rates on savings.

We have also had to move mum into a retirement flat, which we purchased and is lovely, but the ‘credit crunch’ has hit the housing sector just as we made the decision to move her for her own welfare. Now we find her lovely property is difficult to sell, she has two council tax liabilities, she has monthly retirement service charge, and her income from savings has almost disappeared.

I cannot believe the change in our quite stable financial scenario in such a short space of time. Our ‘inheritance’ now looks as if it is seriously compromised and we are crossing our fingers for an uplift in savings interest, a quick sale of her property (for a much smaller than anticipated sum) and a return to at least some financial stability.

At the same time, my own freelance business has virtually ground to a halt because of the effort and attention required for property sale, purchase, removal arrangements, change of address, financial reorganisation to take account of the government’s £50k guaranteed limit.

Not only has the bank of mum and dad hit hard times, but my own income has all but disappeared. Let’s hope 2009 sees some improvement!