Mums tackle the credit crunch

THE school gates have traditionally been a breeding ground of local gossip, but where in the past it might have been of a personal nature, these days the hottest talk is about where the cheapest petrol is, or where the best two for one deals can be had.

Where once mums may have been embarrassed to admit they stuck to a tight budget, now it's a badge of honour to have jumped head first into a supermarket bargain bin and come out victorious.

It's not so much a fashion trend as a matter of necessity. The soaring cost of living has forced families to tighten their belts. Over the past 12 months, domestic energy, food, petrol and diesel prices have rocketed, along with mortgage payments, leaving thoughts of luxury items a distant memories.

According to the Confederation of British Industry, household spending cuts during the first three months of the year are the biggest since 2001.

To help try and make these hard times more bearable we've asked some of our readers to share their budget tips and speak to two families about how they're coping with the cutbacks.

The soaring cost of living has forced families to tighten their belts. Over the past 12 months, domestic energy, food, petrol and diesel prices have rocketed, along with mortgage payments, leaving thoughts of luxury items as distant memories.

According to the Confederation of British Industry, household spending cuts during the first three months of the year are the biggest since 2001. To help try and make these hard times more bearable we've asked some of our readers to share their budget tips and speak to two families about how they're coping with the cutbacks.

Short breaks, movie nights and veg

Linzie Banks of Rectory Road, Rochford, is mum of Christian, 15, and twins Adam and Karl, 10.

As a family we are feeling the credit crunch. Our utility bills have gone up 40 per cent over the past three years and I have started to shop in places like Lidl and Aldi for certain items as they are so much cheaper than Tesco.

We have cancelled our summer holiday this year. Instead we are going to take short breaks. On the Travel Lodge website, you can get rooms for £19 per night. We have booked some for a couple of mini breaks during July and August.

We have booked one near Thorpe Park and bought the Thorpe Park tickets with Club Card vouchers. We booked another couple of rooms in Canterbury and booked our car on to a ferry for a day trip to France.

The camping trip to France we had planned would have cost £2,000.

Cinema can work out expensive with a family of five so I wait until a DVD comes out and buy it for my boys, which works out one third of the price of taking them and we have a movie night at home with popcorn and Maltesers from the supermarket. The kids love it and they have the film to keep.

I am also growing vegetables which will save me loads of money.

Make and stick to a budget

Katy Bodman of Exmouth Drive, Rayleigh, is mum to Faith, five, and Noah, 22 months.

Budget is the word du jour in our house since having a second child and quitting my job in 2006.

Deciding not to return to work also coincided with my husband starting his own photography business, which means our present income is a good third less than it was.

Taking the plunge and staying at home has meant some careful cuts in spending and our disposable income is now very little.

The first step was making a ruthless list of all our outgoings to see where we could save money. Using websites like moneysavingexpert.com helped us make sure we were paying as little as possible for things like car insurance, gas and electricity. Grocery shopping is now limited to a strict £100 a week and takeaways and going out are a rare luxury.

We have also temporarily had to stop paying into savings accounts and are trying to make it through the month on two tanks of petrol.

Rising food, fuel and utility bills have put extra pressure on us and if prices drastically increase it could mean I will have to find part time work. Some of my friends are feeling the pinch too.

A single friend, who is a teacher, has had to hold off buying her first property and another friend and her husband are finding themselves very stretched financially despite having two incomes.

Although things are tough moneywise, I see our decision as a worthwhile sacrifice and not a permanent predicament.

I am able to be at home with the children and continue studying for my counselling diploma When my youngest child starts school I will most likely work again.

I once had a friend who said she didn't worry about money because she didn't have any, and now I can now kind of see the wisdom in that!

shopping

• Don't get tempted by two for one offers. Ask yourself if it make you a saving? if not don't bother
• Greengrocers and farms selling their own produce are sometimes cheaper than supermarkets and you help to keep the smaller businesses going
• Pay with cash at all times. It's hard at first, but it's so much easier to keep track of what you are spending, especially if you allow yourself a certain amount of cash for the week
• Plan your meals at the start of the week. You can then write a list, buy exactly what you need and have no waste at the end of the week
• Visit Freecycle.org Here people offer stuff for free - anything at all such as chairs, a fridge, washing machine and lawn mower. The only downside is that it seems to be getting really popular and sometimes lots of people all want the same thing.

• Supermarkets often discount the price of fresh food that is nearing its sellby date. Buy it and put in the freezer for when you need it
• Buy plants from people selling on a table outside their house. It could be about one fifth of the price of a garden centre. You could get cuttings from friends and neighbours too
• A bargain is only a bargain if you really need it, otherwise it's a waste of money.

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