{"id":202591,"date":"2025-06-21T13:08:13","date_gmt":"2025-06-21T13:08:13","guid":{"rendered":"https:\/\/www.europesays.com\/uk\/202591\/"},"modified":"2025-06-21T13:08:13","modified_gmt":"2025-06-21T13:08:13","slug":"the-ten-ways-to-protect-your-money-from-a-disaster-as-the-threat-of-nuclear-war-looms-and-cyberattacks-soar-experts-reveal-the-life-saving-ways-every-family-can-keep-their-cash-safe","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/uk\/202591\/","title":{"rendered":"The ten ways to protect your money from a disaster: As the threat of nuclear war looms and cyberattacks soar, experts reveal the life-saving ways every family can keep their cash safe"},"content":{"rendered":"

In an increasingly fraught world, threats to the security of our finances are coming from all sides.<\/p>\n

The prospect of war between the US and Iran, paired with growing domestic concerns, means you\u2019d be forgiven for worrying about how it might affect you.<\/p>\n

Geopolitical conflict now often coincides with another threat: cyber attacks. Our personal and financial data are a battleground. A recent spate of high-profile cases suggests threats are a lot closer to home than we care to imagine.<\/p>\n

Chancellor Rachel Reeves laid out plans in her Spending Review for so-called \u2018securonomics\u2019 \u2013 in other words, reshaping the economy to ensure Britain is \u2018less exposed to global shocks\u2019. But in an uncertain world, individuals need to do the same.<\/p>\n

Here experts share their essential checklist for getting your finances in order, so you are better protected against these growing threats.<\/p>\n

\"Chancellor <\/p>\n

Chancellor Rachel Reeves laid out plans in her Spending Review to ensure Britain is \u2018less exposed to global shocks\u2019, and individuals should do the same<\/p>\n

Set up a second or back-up\u00a0bank account<\/p>\n

Banking systems failures are a growing issue, with as many as 158 incidents recorded between January 2023 and February this year. Barclays suffered an IT outage in January which prevented payments being made to and from bank accounts for three days, including the day when self-assessment tax returns were due.<\/p>\n

So it\u2019s well worth having a second account that contains some emergency money to ensure you always have access to funds.<\/p>\n

App-based banks such as Monzo and Starling can be opened with just a few clicks on a smartphone and a simple ID check.<\/p>\n

Opt for a fixed-term savings account<\/p>\n

Fears are growing that inflation<\/a> could remain elevated for longer or even continue to rise as a result of conflict in the Middle East and Donald Trump\u2019s trade tariffs.<\/p>\n

That means it is increasingly difficult to protect your savings from inflation by keeping it in an easy-access account.<\/p>\n

Since the start of May, the average easy-access savings rate has fallen from 2.79 per cent to 2.72 per cent, and the average Isa<\/a> rate from 3.03 per cent to 2.98 per cent, according to rates scrutineer Moneyfacts. However, fixed-rate accounts offer a better shield.<\/p>\n

Castle Trust Bank offers 4.26 per cent in its one-year cash Isa<\/a> fix.<\/p>\n

And the best fixed-rates for three and five-year accounts are from Hodge Bank at 4.2 per cent and 4.21 per cent, respectively.<\/p>\n

\u2018In this sort of environment, it pays to fix,\u2019 says Claire Jones of savings platform Flagstone.<\/p>\n

\u2018Putting a significant proportion of your spare cash into one or more fixed-term accounts is an effective way to shield your money against falling rates.\u2019<\/p>\n

But make sure that you don\u2019t lock up cash that you might need \u2013 as many accounts don\u2019t allow you to access funds before the date of maturity.<\/p>\n

\u00a0<\/p>\n

\"The <\/p>\n

The prospect of war between the US and Iran paired with growing domestic concerns means there are threats to Britons’ finances from all sides<\/p>\n

Start building an emergency fund<\/p>\n

An emergency fund is key to prepare for unexpected expenses or in case your income is suddenly threatened.<\/p>\n

Experts suggest having between three to six months of your essential outgoings in an easily accessible savings account.<\/p>\n

Ian Cook, chartered financial planner at Quilter Cheviot, says: \u2018We always encourage people to have an emergency fund, so if there\u2019s a short-term problem, like the boiler breaks, there\u2019s money that can be easily accessible that will pay those costs quite easily.\u2019<\/p>\n

Keep cash to carry in your wallet<\/p>\n

Having more than one bank account will protect you in case of an outage, but it may be worth considering what would happen if several banks were hit at once.<\/p>\n

A recent report by the Treasury Committee urged the Government to consider \u2018the value of physical cash in emergency preparedness\u2019 in the event of a cyber attack or systems failure.<\/p>\n

\u2018This may include recommending that cash is held by individuals<\/p>\n

in case of emergency, and considering what role cash distribution might play in a severe payment systems outage,\u2019 wrote the committee.<\/p>\n

Most experts advise against hoarding cash, but will suggest having some to hand if the worst happens \u2013 for example, \u00a350 in your wallet or \u00a3100 tucked away in a drawer at home.\u00a0<\/p>\n

Protect the banking apps on your phone<\/p>\n

If your smartphone is stolen, you could be giving criminals access to all of your financial accounts \u2013 unless you have good protections in place.<\/p>\n

When you save banking information and apps on to your handset, make sure you enable all of the security features available.<\/p>\n

For example, ensure that you have a PIN code or use face ID to open banking apps. And never use the same pin or code for your apps as the one you have to unlock your smartphone.<\/p>\n

You\u2019ll need to add further security to protect yourself if your phone is stolen while it is unlocked, though.<\/p>\n

Robert Pritchard, founder of The Cyber Security Expert, says: \u2018iPhones have something called stolen device protection and Android have something similar.<\/p>\n

\u2018It means that if people steal your phone, criminals cannot change the settings on it. It gives you the chance to get back to your home, or to sign into your account from another device, and lock your phone.\u2019<\/p>\n

For our full guide on securing your financial information on your phone go to: thisismoney.co.uk\/phoneprotect<\/a>.<\/p>\n

Enable two-factor authentication<\/p>\n

Cybersecurity experts emphasise the need to enable two-factor authentication (2FA) on important applications, such as banking and email apps.<\/p>\n

This is a method of logging in to an account that requires you to prove your identity in two ways. For instance, you may have to enter a password and then input a code that has been sent to your phone.<\/p>\n

The UK\u2019s National Cyber Security Centre say it is \u2018one of the most effective ways to protect your online accounts from cyber-criminals\u2019.<\/p>\n

It helps to keep hackers out of your accounts, even if they know your passwords. It is especially important for your email, says Pritchard: \u2018Make sure your email is kept secure because that is a way people could reset passwords and access other services.\u2019<\/p>\n

\"Scammers <\/p>\n

Scammers are preying on people\u2019s fears over global instability and the growing threat of fraud<\/p>\n

Use unique passwords for different logins<\/p>\n

There is a reason we\u2019re told to set up strong and unique passwords for each of our accounts.<\/p>\n

Marijus Briedis, chief technology officer at Nord Security, says: \u2018Never reuse passwords across accounts \u2013 if one gets leaked, everything becomes vulnerable.\u2019<\/p>\n

If you don\u2019t want to forget your details, consider having variants of similar passwords and ensure your email login is different from every other account.<\/p>\n

Pritchard says: \u2018I recommend people use password managers. If you don\u2019t want to do that, it\u2019s OK to write passwords down, safely stored. The modus operandi of hackers is not breaking into your house and getting passwords.\u2019<\/p>\n

Be cautious with any unexpected contact<\/p>\n

Scammers are preying on people\u2019s fears over global instability and the growing threat of fraud. Be on your guard and make sure that by trying to protect your finances you are not opening the door to scammers.<\/p>\n

You should treat all emails and phone calls with suspicion, and don\u2019t click on any links in an email, text message or on social media unless you are sure it\u2019s legitimate.<\/p>\n

Hackers can spoof phone numbers to make it appear as if your investment provider is calling you, and they might even have your personal details.<\/p>\n

If someone calls you claiming to be from your bank, verify their identity using a trusted method. Banks such as Starling and Monzo now offer features in their app that tell you whether you are on the phone to one of their team.<\/p>\n

Ian Cook, from Quilter Cheviot, adds: \u2018Fraudsters are increasingly preying on people\u2019s fears or financial hopes during times of global tension.<\/p>\n

\u2018You might receive a message promising a \u201csafe haven\u201d investment in response to political instability or economic sanctions.<\/p>\n

\u2018These scams are polished and persuasive, but the same warnings apply \u2013 unexpected contact, pressure to act quickly, and promises that feel too good to be true.\u2019<\/p>\n

Diversify your investment portfolio<\/p>\n

With so many geopolitical concerns weighing heavily on markets, it can be hard for investors to know where to turn. In this climate, the key is not to rely too much on any one asset class so you\u2019re not overexposed if it suffers a fall in value.<\/p>\n

Dan Coatsworth, an investment analyst at AJ Bell, says: \u2018Being diversified means spreading your risks across different sectors, geographies and asset classes. Ideally you want the component parts of your portfolio to move in different ways and not together.<\/p>\n

\u2018If something is doing badly, hopefully another part is doing well, and that helps to provide a smoother ride.\u2019<\/p>\n

You may also need to think about currency risk in the current market conditions. Investors who hold a high proportion of shares in US companies, for example, may find they have become very exposed to the US dollar. It has been fine for many years, but as the value of the dollar has fallen against sterling this could hurt your investments.<\/p>\n

Jason Hollands, managing director of Evelyn Partners, says: \u2018Currency risk is often overlooked. A decade of strong performance from the dollar may have served them well, but the tables have turned this year, with the dollar declining circa -7.5 per cent versus the pound, wiping out small underlying gains from investing in the US stock market.<\/p>\n

\u2018Investors could reduce risk by shifting some of their US holdings into funds which hedge the currency exposure back to pounds.\u2019<\/p>\n

To find funds that hedge currency exposure, look for share classes with \u2018h\u2019 or \u2018hedged\u2019 at the end of their name, followed by \u2018GBP\u2019. An example is the iShares Core S&P 500 UCITS ETF Hedged GBP, This is a fund that tracks the S&P 500, which hedges currency exposure back in British pounds.<\/p>\n

Start investing in cybersecurity stocks<\/p>\n

With these new dangers and threats, opportunities may appear for bold investors.<\/p>\n

As more and more cyber attacks are thrust into the spotlight, such as the hit on Marks & Spencer and Co-op, many could be tempted to invest in cybersecurity stocks.<\/p>\n

Darius McDermott, managing director of Fund Calibre, says: \u2018Given the fundamental shift in international relations, we can only see defence spending going one way over the next few years.<\/p>\n

\u2018Cybersecurity is a critical element of this story, with cyberwarfare having significant implications for national security and economic stability, as well as consumers and businesses.<\/p>\n

\u2018We think this trade is still just getting started.\u2019<\/p>\n

The ISE Cyber Security UCITS Index, designed to track 35 cybersecurity companies, has returned 10.65 per cent year-to-date. Over five years it has returned 73.78 per cent and, over the decade, 228 per cent.<\/p>\n

Investors could opt for technology funds for exposure to cybersecurity companies, or low-cost specialist exchange-traded funds (ETFs) that focus on the sector.<\/p>\n

Hollands says: \u2018Cybersecurity companies are typically well represented in technology funds, with the Allianz Global Technology Trust \u2013 our top tech fund pick \u2013 owning the likes of CrowdStrike, one of the largest cybersecurity firms, as a top ten holding.\u2019<\/p>\n

If you\u2019re looking for a more targeted approach, Hollands recommends specialist ETFs, including the Rize Cybersecurity & Data Privacy UCITS ETF and the WisdomTree Cybersecurity UCITS ETF.<\/p>\n","protected":false},"excerpt":{"rendered":"In an increasingly fraught world, threats to the security of our finances are coming from all sides. The…\n","protected":false},"author":2,"featured_media":202592,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3093],"tags":[51,474,1232,2499,1283,16,15],"class_list":{"0":"post-202591","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-personal-finance","8":"tag-business","9":"tag-finance","10":"tag-money","11":"tag-personal-finance","12":"tag-thisismoney","13":"tag-uk","14":"tag-united-kingdom"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@uk\/114721515501958103","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/202591","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/comments?post=202591"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/202591\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media\/202592"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media?parent=202591"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/categories?post=202591"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/tags?post=202591"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}