Overview

• Fred Harrington says a cash reserve of £200-£400 covers three to five days of essentials such as food, fuel and urgent medications
• Most home contents insurance policies only reimburse £200-£500 for stolen cash, leaving any excess unprotected
• Cash stored at home has no FSCS coverage and is vulnerable to theft, fire and flood if hidden in obvious locations
• Keeping more than £10,000 in unexplained cash at home can trigger HMRC or law enforcement scrutiny under the Proceeds of Crime Act
• Experts recommend stashing emergency funds in inconspicuous spots to make the money “boring and invisible” to burglars