Inflation nation: 15 ways to save money

There’s been some talk of rising prices and shopping around of late and Pricewatch can’t help feel a bit miffed at the casual fashion some folk have invaded our territory. But we will leave our grievances at the top of the page and continue to plough our lonely little furrow. With many Irish homes already to the pin of their collar when it comes to making savings – and have done all the shopping around they can do – there are still savings on the table for others. Here are just some of them.

Food for thought

The hikes:
For many Irish households the cost of groceries is second only to a mortgage or rent – although for those homes where childcare is a requirement, food will most likely come in a distant third. If a total of €150 is spent in supermarkets each week, the annual spend comes in at just under eight grand – a figure which does not allow for any class of Christmas blowout or deviation from normal spending patterns. Official figures from the Central Statistics Office (CSO) suggest food inflation has been modest so far this year – although increasing alarmingly fast in some areas – and the latest data from retail analysts Kantar suggests that grocery prices have climbed by 1.7 per cent over the last 12 months. People coming out of supermarkets are counting the real cost of the spike and it seems to be substantially more than 1.7 per cent. If a typical house spends just €15 more each week over the next year than they did in 2021, they will see their shopping bills climb by €780 between now and next February. Is there anything to be done?

The tips:
1. You have to be a supermarket ninja and only buy why you need. Do not let yourself be swept off your feet by the two-for-one or buy-one-get-one-free offers dangled before you as you go up and down the aisle.

2. Before you walk through the supermarket doors do your homework. Survey what you have in your cupboards and your freezer and then make a list based on that and what you plan to eat for the next seven days. Email the list to yourself, then paste it into your notes app and then as each item is added to your trolley or basket delete it from the note. Buy nothing else. Trust us this works.

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3. Never shop hungry. We have said it before and we will say it again. A hungry shopper is never ninja-like.

4. Experiment more with own-brand products. While we have increased the percentage of generic supermarket shopping from less than 10 per cent little over a decade ago, to around 40 per cent today, we are still a long way adrift of other countries. Making some smart switches could handily see the cost of your weekly shop fall by 20 per cent. Not all of it is great – we're looking at you cornflakes and cola – but there will be things on the shelves that are not branded which are as good – if not better – than familiar brands you throw in your trolley without thinking. Own-brand Mayonnaise in Tesco, for instance, costs €2.60 per litre while a more familiar brand of the same product sells on the same shelf for €5 a litre.

The savings:
Even if you manage to shave just 5 per cent off your annual grocery shopping bill you could handily save yourself hundreds of euro between now and next February.

Total savings: €390

Let there be light ... and heat

The hikes:
The cost of heating and lighting our homes has climbed dramatically since this time last year with all the main companies rolling out multiple price hikes, blaming soaring prices of fossil fuels on global markets. The upshot is most households will be paying around €700 to €800 more for their gas and electricity this year with the story even more bleak for those who are with some of the smaller suppliers who have imposed price hikes that will add over €1,300 to their customers' annual bills.

The tips:
1. While every company has increased their prices, every company offers substantial discounts – sometimes of over 30 per cent – to new customers. So be that new customer. Moving provider is easy and – unlike switching cornflakes or cola – the end product is identical with the only difference being price. Get copies of your most recent gas or electricity bill, or both if you're a dual fuel customer. Note your Gas Point Reference Number (GPRN) or Meter Point Reference Number (MPRN) and take a current gas and/or electricity meter reading, so your old supplier can provide you with a final bill and your new supplier can start from that point. Then make the call. You will be on hold for some time but if you can save €500 it will be worth it.

2. We are not suggesting you turn off your heat, although the grim reality is that many people have no choice but to do that. But were you to turn the thermostat down by one degree you would reduce your heating energy consumption by up to 10 per cent which might save you €100.

3. Cooking more than one thing at a time makes your oven more efficient and resist opening the oven door while cooking, as 20 per cent of the heat escapes each time. Put lids on pots boiling on the stove and always turn down the heat when water starts to boil.

4. Do not leave electrical items on standby and look at ways to make your home cosier by plugging gaps – we’re not talking about retrofitting here because, while it makes sense in the long term, in the short term it can be very pricey indeed, even with any grants that are on the table. Try and get your hands on a home energy savings kit from your local library. It allows you to easily gauge how much energy you actually use and work out when your heat is going.

The savings:
The big switch is where the big savings are to be found but the other steps can make a small difference too.

Total savings: €600

Driving home the point

The hikes:
According to the CSO petrol prices have climbed 32 per cent over the last year, while diesel prices have gone by 36 per cent. Many motorists will have experienced that unpleasant sensation of watching as the fuel pump price gauge tips over into three digits before the decimal point. The price of fuel fluctuates from forecourt to forecourt but a rise of close to 50 cent per litre is pretty typical. When spread out over a full 12 months, increases of that level are going to cost motorists a lot of money. How much? The average Irish motorist drives around 16,000km a year so based on pump prices last year, that annual cost of petrol was €1,550. Based on today's prices, fuel costs, when spread over the next 12 months, will be €2,258. Keen students of maths will have already worked out that this represents an increase of €708 when compared to just one year ago. That is not all. The cost of using Ireland's toll roads a has gone up by 10 cent so if you use pass through them on the way to and from work five days a week for 46 weeks a year you will be down a further €46.

The tips:
1. The best way to save money when it comes to cars is not to use them. If you could reduce the amount of time you used your car by 20 per cent – by walking or cycling maybe – then you will knock €220 off your annual costs.

2. Knocking even 5 cent off the price you pay for fuel, meanwhile will save you another €60 over the course of a year. And how might you do that? First get out of the habit of throwing €20 or €40 worth of fuel into your car or filling it. Instead buy a set number of litres, which will make you aware of the price gaps between forecourts. Check out pumps.ie for prices, in your neighbourhood.

3. You can also save a surprising amount of money by changing the way you drive. Do not over-rev your engine, drive in the right gear and keep your boot empty. Keep tyres at the right pressure, get the car serviced, do not use air conditioning and remove roof racks. Do all this and you will save a further €100.

Total savings: €380

Entertain us

The hikes:
The price of a pint is on the way up – and a 20 cent increase will see a person who drinks five scoops a week worse off by more than €50 over the course of the next 12 months. Sky increased the cost of its TV packages by 3.4 per cent in recent weeks, while last year Netflix announced a 13 per cent price hike to its premium package while Disney+ announced a 29 per cent price hike to its service. If you have both of these plans you will be paying €324 a year, up €48 on last year. GoMo has increased the price of its sim-only deal by over 15 per cent to €14.99 a month for new customers while Eir implemented a €6 a month increase to many of its broadband and phone plans back. In an odd move Three has said that it plans to increase the monthly charge on its billpay plans by 4.5 per cent every year, starting in April while Vodafone is to increase prices by the rate of inflation plus 3 per cent every year, starting in April too.

The tips:
1. By auditing your streaming services and subscriptions you might be able to save a few bob. The good news is such an audit is neither as tedious or as difficult as it once might have been and technology is now your friend. Go through your bank statement online looking for all payments to online services. Work out which ones you use and which ones you do not – if you have not used a service even once in the last month cancel it.

2. Sometimes the easiest way to make savings is to make a fuss. If you are getting your broadband and television from Company A then call then and threaten to leave. There is a very good chance they will offer you some class of financial incentive to stay with them. And if they do not then leave.

Healthy options

The hikes:
Health care inflation is likely to surpass the rate of general inflation this year, which means many people with private health insurance are likely to face more hikes as the year progresses. With the cost of visiting a GP around €70 and the pries of some products in pharmacies also on the way up, people who become ill will likely see a hit in their wallet too over the course of the next year.

The tips:
1. For more than two million private health insurance is a luxury they cannot afford. And many of those who do have it are paying too much. If your renewal is coming up, call your insurer and ask for all the comparable plans to the one you have that cost less and use the Health Insurance Authority website to make comparisons (hia.ie) between your provider and others on the market. You might be able to save yourself hundreds of euro with just a couple of hours work.

2. Make sure to claim the tax relief on the cost of health expenses. There is 20 per cent tax back on the table for health and medical expenses and non-routine dental expenses.