But as any keen gardener knows, getting carried away with the shears is a risky business, because in among all the sensible snipping, you can end up making some nasty mistakes. So before you get stuck in, it’s worth separating the great cuts from the potential disasters.

10 great cuts

Axe unloved direct debits: It’s often the easiest place to find accidental cash drains. You need to make sure you’ve completed any minimum periods before you stop the payments though - or they’ll end up chasing you for them.

Check regular payments: This is where you’ve given a company the right to take money whenever it’s due. It’s different from a direct debit or standing order, and it’s hard to spot, because it’s jumbled in with your other payments, so go through your statements carefully. As long as you have completed any minimum periods, you can call the company and cancel.

Switch broadband: You can save by shopping around using a price comparison website. It can feel like a wrench, because we depend so much on our broadband, and we’ve often bundled it in with other services. If that’s putting you off, you can still call, explain you want to leave, and use the opportunity to haggle with your existing provider for a better deal.

Move to a SIM only mobile: Realistically, you don’t need to upgrade your phone every year or two, so once the initial contract is complete, you can switch to a SIM only deal and save substantially. You can get a decent chunk of calls and data for £5 a month.

Consider a water meter: As a rough rule of thumb, if you have more bedrooms than people in your house, you can save by having a water meter installed.

Switch your insurance rather than renewing: New rules mean insurers can’t charge existing customers more for their insurance than new customers. However, don’t be lulled into staying, because there will often be another insurer looking for a risk just like yours, so they’ll offer you a cheaper deal.

Move your debts to a cheaper card or loan: If you have a good credit rating, you may be able to switch to a lower rate, or a 0% balance transfer deal. However, if you take this approach, it’s not an excuse to stop repayments or run up more debt – because this will just build bigger problems further down the road.

Consider remortgaging: Assuming a fixed rate deal suits your circumstances, and your mortgage is big enough to make the fees worthwhile, then if you’re on a variable rate mortgage, it’s worth considering remortgaging. If you’re on a fixed rate deal and are within six months of the end of it, you should be able to lock in a remortgage rate now too.

Stop buying food you waste: It involves a bit of extra work, but you can save significantly by checking the fridge and cupboards, planning your meals, and writing a list before you go.

Trade down brands: The switch from premium brands to supermarket own brands is well known, but don’t stop there – a move to discount brands could save two thirds of the cost of a premium brand shop.

5 that are an absolute no-no

Stop paying bills: This is usually something people only end up with as a last resort, but if you’re facing the prospect of unaffordable bills – even after cutting every other possible cost, please don’t just miss payments. Call your supplier. They have a duty to do whatever they can to make your bills affordable, and arrange a payment schedule. If they can’t help, get in touch with a debt charity like StepChange, who can help you tackle the problem.

Halt debt repayment: If you can’t afford payments, speak to whoever you owe money to, and see if you can arrange a payment schedule that you can afford. If you just miss payments, you’ll be adding extra charges and penalties to mounting debts.

Cancel legally-required insurance: In order to drive you need at least third party car insurance, and you can’t scrimp on this. If you’re not insured you could end up with a fine, your car could be seized and destroyed, and in some cases you could be disqualified from driving.

Neglect healthcare – prescriptions and dental check ups: If you neglect your health because of the cost, there’s every chance things will get worse, damaging not just your wealth but risking your health too.

Skip MOT and services: You have to have an up-to-date MOT to drive, but you can’t afford to miss regular checks and servicing either. It’s not worth taking the risk that your car is unsafe.

And five that need really serious consideration before you cut

Cancel vital protection – home and life: In an ideal world you will never have to claim on either, but if you cancel them and then need them, the impact can be catastrophic.

Stop saving: The last two years have shown just how important it is to have savings to fall back on, so we should be building an emergency savings safety net of 3-6 months’ worth of essential expenses. Even when money is tight, if you can afford to save anything at all, you could be grateful for it later.

Stop paying into your pension: If the only alternative is missing bills and debt repayments, you may need to halt pension payments for a while, but it should be a last resort not a first port of call. A small cut in contributions now can damage your pension pot in retirement, because you’ll miss out on potential growth in your contributions too. To make matters worse, you’ll also be giving up the government top-up, and if it’s a pension at work you’ll be losing your employer contribution too, so you’ll lose far more than you’ll gain.

Cut back contracts too far: It’s a great idea to cut back on things like mobile data, broadband speeds and TV packages if you’re paying for things you don’t strictly need. However, don’t cut so far that you pay a fortune for going over your limit.

Cut back unrealistically and unsustainably: There’s no point drawing up a budget based on spending levels you can’t realistically maintain, or it will unravel immediately. You need to find a balance between what you need to cut and what you can live with.

Halifax HPI

In August, house prices were up 11.5% in year, and the average price hit a record £294,260.The property market is looking relatively rosy, but that’s largely because we’re looking in the rear-view mirror. This reflects the market two or three months ago, because of the lag between sales being agreed and completions, and in the intervening months, the world has started to look a bit different.

Back in May, when interest rates were at 1%, talk of recession was much more subdued and while we had seen the energy price cap rise in April, future rises weren’t at the forefront of people’s minds. We had seen demand start to come off the boil, but the RICS report at the time highlighted that prices were still being driven up by a shortage of properties on the market.

Now the cost-of-living crisis has hit home, and while we may not be forced to face the full impact of rises in energy prices, we’re still having to cope with rampant inflation across the board. At a time of rising rates and higher house prices, this is going to push property out of reach for desperate buyers. Mortgage approvals for future purchases have dropped below the pre-pandemic average, and RICS reported that noy only are buyer numbers dropping, but they’re getting more nervous too.

As we go through the rest of the year, higher interest rates and runaway inflation are only going to make life harder. And while the property market is unlikely to move in a straight line, we can expect price rises to continue to slow.

Ten simple cost-cutting tips - and five measures you should avoid: Sarah Coles