8. Make your home pay for itself. If you’re struggling to keep up with the mortgage, bring in extra cash by renting out a spare room. You can make up to £4,250 a year tax-free by doing this.

Or just rent out your driveway by putting it on Parkatmyhouse.com. You could even make megabucks by offering it as a film set. Try registering with Lavishlocations.com.

9. Save on food bills. There are loads of ways of cutting down your food bill each week. Switch one meat dish per week to a vegetarian one that is cheaper. Get tips from Lovefoodhatewaste.com on how to make the most of what you’ve got.

Shop at street markets as they are generally 30% cheaper than supermarkets. Go down a brand with food in tins and jars - you won’t notice the difference with most of them.

10. Shop around to save. It goes without saying that you could save £100s on your insurance, utilities and other bills by using comparison sites before you sign-up.

Also, though, use sites like Pricerunner and Kelkoo to research gadgets like washing machines, TVs and lawnmowers. You can even save on removal costs by using the website Anyvan.com where ‘man-with-van’ operations and removals firms bid for your job.

Find bookeepers, lawyers and household helpers through Peopleperhour where all kinds of professionals bid for your work

11. Buy secondhand. Now that VAT is at 20% the best way to avoid the hike is to buy things secondhand, particularly big-ticket items like cars, furniture and electronics.

Use eBay, Gumtree, your local paper and family forums such as Mumsnet to buy things secondhand. Quite often, items just a few months old can be half price

12. Be green. Get into green living and you will definitely save money. Mend clothes and gadgets where you can rather than buying new ones.

Cut down on electricity, and your carbon footprint, by avoiding the tumble dryer and hanging clothes out to dry instead, using the ‘off’ switch when you’re not using electronic equipment and keeping the lid on pans when you cook.