Quids in! 28

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Quids in!

The UK’s Number 1 Money Magazine | ISSUE 28 Autumn 2015 www.quidsinmagazine.com

s g O ’ D life

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INSIDE!

Advice on: ✔ Spending ✔ Saving ✔ Borrowing ✔ Earning

WIN AN IPAD! Our crossword prize worth £269

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Top Tips for keeping a pet on a budget

B ROA D B A N

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e best How to get th re deals out the

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THE ANTI-AUSTERITY BRIGADE:

YOUR MONEY

EASY LASAGNE Our simple cookery course continues

meet the party leaders who dare to think different

BE INFORMED

TAKE CONTROL

Apple A 16GB i worth in iPad m69 p8 £2

When the kids are ill, we know there’s a GP to sort them out and we don’t need to think of the cost. But when it’s a poorly pooch or puss, it can trigger a minor panic about the pound signs. It makes you realise what we have in the NHS. It’s the same with the benefits system that we pay into while we’re in a job. It’s good to know the safety net is there for when we find ourselves out of work, or out of health, but the system is changing and it’s worth knowing how it works. We know the rules are changing so it’s harder to make a claim, but how many people realise that we’ll need to be able to use a computer to do it?

This issue is all about not taking these things for granted; the winds of change are blowing through everything.

We have to be informed if we want to take control… as it says on our front cover.

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NO GUARANTEES

A new form of lending is sweeping the UK Recent research published by Citizen’s Advice shows a growing epidemic of guarantor loans: loans where one person guarantees another’s loan @quidsinmagazine

Jeff Editor

editor@quidsinmagazine.com

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In this issue…

It sounds perfectly reasonable, and more than one company pitches it as a return to good old-fashioned borrowing based on common sense, but guarantor loans can ruin people’s lives.

The idea’s simple enough. You may not have a good enough credit score to get a loan, but you might know someone who does. So you ask them to ‘guarantee’ the loan. That means that if you can’t keep up your payments the loan company will instead ask your ‘guarantor’ for the money.

And it can go badly wrong. As one guarantor told Citizen’s Advice: “I foolishly

agreed to guarantee a loan to someone I thought I could trust completely. The payments were kept up for a few months and then she defaulted and I was forced, because of almost 50% interest charges, to remortgage and pay back the loan.”

In another case reported to Citizen’s Advice a woman who had left her marriage due to domestic abuse sought advice over a loan on which she was the guarantor for her husband. In some cases guarantor loan companies will even pursue the guarantor for money if the person who took out the loan dies.

Quids in! says. In an ideal world we’d tell everybody to steer clear of these types of loan all together.

If you are going to “I was forced guarantee a loan to remortgage though, make sure and pay back you could afford to pay it off yourself. the loan”

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Jeff’s top tip…

There’s a free online calculator that will help you work out which benefits you can claim. Just visit www. entitledto.co.uk to start…

THE

WIN!

Welcome

“The SNP’s priority is ending austerity”

“We’ve teamed up with The Dog’s Trust”

“Broadband is seen as a must-have”

Rocking the boat page 4

Top pet tips page 6

Getting online page 5

Quids in! magazine

Address 3 Monmouth Place, Bath, BA1 2AT. Tel 08456 8049 06 Editor Jeff Mitchell Email editor@quidsinmagazine.com Publisher Steve Faragher Email steve@socialpublishingproject.com Comms Officer Dan Fineman Email dan@ socialpublishingproject.com Advertising Opportunities Lisa Woodman Email lisa@ socialpublishingproject.com Copy Sales Rhiannon McNamara, Deborah Colvill Email rhiannon@socialpublishingproject.com, debbie@socialpublishingproject.com

Quids in! makes every effort to ensure content is correct at the time of going to print. Readers should take specialist advice where necessary. Quids in! has no political allegiances, and opinions expressed are not necessarily those of the publisher or editor. Any relationship with advertisers or sponsors is always on the understanding that we retain our editorial independence.

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Quids in! magazine is designed to help people understand and manage their money better. It is published quarterly by the Social Publishing Project, a social enterprise.

Quids in! magazine is supported by Aon and Aviva. Aon arranges home contents insurance with Aviva for tenants of social and council housing. Ask your landlord if they have a scheme in place.

BUZZ

The latest news affecting you and your finances

Win up to £300 cash with our reader survey next issue

In our last issue, we asked readers to tell us how they’re faring money-wise, right now. You didn’t let us down. Nearly 2,000 people gave up their time to tell us their stories.

And we have to say it’s a tough picture we’re getting. Once our resident boffins have analysed all the data we’ll have a clearer picture, but the bad news is that things seem to be getting tighter for all of us.

Working 35% retired 19%

using a food bank already 8% Might need to in the future 19%

struggling to keep up with payments on things you owe 39%

Feeling frightened, anxious or depressed about money 47%

Finding it hard to pay the bills 50%

Benefit claimants facing bigger council tax bills 55%

not meeting up with friends and family to save money 49%

Benefit claimants with benefits cut

51%

Going without food to make ends meet

using payday loans cheque cashing services, store cards, catalogues and doorstep loans 28%

36%

Video of the issue

@quidsinmagazine

My husband managed twice to drop his mobile into water, my daughter dropped hers down the loo and once forgot to take it out of her pocket and it got washed in the washing machine, and the other evening my son accidently knocked a cup of tea over his friend’s phone. None of the phones would work after their soaking, but after submerging them into a bag of raw rice for twenty four hours they all worked perfectly. Trudy Simpson

Amount guarantor will have to pay if the borrower can’t keep up payments

SPOTTED OUR QIMAG.UK LINKS?

You can follow up what you read in Quids in! by turning to the internet.

Simply type the qimag.uk/link (as it appears in the story) into the web address bar on your browser and press 'enter'. Check out our Animal Antics playlist at qimag.uk/qipop1

EMILY BLAND

Excellent advice and help to make a budgetyou can stick to. Could change your life qimag.uk/qi28tips

JOIN THE CONVERSATION… PHONE-TASTIC TIP

£ALL OF IT

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Citizen’s Advice highlight story of disabled boy who had benefits withdrawn becasue he was in hospital

49.9%

Typical APR. That means that if we borrow £100 for 3 years we’ll have to pay back £175.66

The number of Quids in! readers struggling with bills is about the same as a city the size of Norwich or Northampton.

Quids in!

£7,000 BENEFIT STING

Amount one person and her guarantor paid back on a £3,000 loan

However, if our findings reflect the lives of all social housing tenants, we’re talking about huge money worries faced by a population the size of Greater Manchester TWICE OVER.

What a tweet!

Taking money from disabled children in hospital isn’t right. http://buff.ly/1TqJ1Qq #Together4HumanRights

£6,945.27

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We took the results around the country telling landlords and support agencies what our readers need. We also published a paper to give policy makers the low down.

The survey will be available er read in it survey report tog online as well as on eth er... paper. If you don’t receive the survey, QuIdS IN reAderS Are... or Quids in!, in three months’ time, you’ll still be able to enter at www. quidsinmagazine. com and be in with WhAt ALL thIS MeANS a chance of winning that top prize.

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Two years ago Quids in! readers responded in their hundreds to tell us all about their finances.

More than half our readers told us their mental health was suffering, and one in three said they felt physically ill, because of money worries. Things were worst for working age people not in full-time jobs. Almost half of them skipped meals and three in five turned off the heating despite being cold.

566%

Increase in complaints about guarantor noans received by Citizen’s Advice this year

GET IN IT TO WIN IT The third biennial Quids in! reader survey is announced with cash prizes! @quidsinmagazine

NUMBER CRUNCHED GUARANTOR LOANS

WIN £50

POST The Editor, Quids In! 3 Monmouth Place, Bath BA1 2AT EMAIL editor@quidsinmagazine.com TWEET @quidsinmagazine.com

Have you got something you want to tell us, or a money-saving hint or tip to share?

Each issue we’ll send £50 to our best letter writer, emailer or tweeter! Don’t forget to include your name and address.

Quids in! | 3

G N I K C O R AUSTERITY SPECIAL

THE BOAT E

L P M A S WHAT IS ‘AU STE RITY’, I ANYWAY?

To bring the nation’s books into balance, we were all asked to tighten our belts. But as things improve, how long before we all feel the benefit? And is there an alternative to austerity? n the run up to this year’s General Election, three voices came together to speak out against austerity.

Considered outsiders by many, they lined up alongside the Tories, Labour and LibDems. Natalie Bennett, Leanne Wood and Nicola Sturgeon not only challenged economic policy but ignored

A saving or act of selfdenial, especially in respect of something regarded as a luxury; thrift imposed as government policy

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“The SNP's priority is ending austerity, and the damage it does to people's lives"

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[Encarta Dictionary] “For me, austerity means making the poor and the disadvantaged pay for the greed and fraud of the bankers by cutting back essential services like children’s centres, mental health care and youth services,” Natalie Bennett, leader of the Green Party tells Quids in! “Austerity is simply inhumane and an abuse of the vulnerable.”

Back in 2010, we were warned that some hardship was needed to get the country back on track. But five years later, benefits continue to be cut and services that many people on low incomes depend upon are being streamlined or moved online to save money. Many still need to budget carefully, find help for debt and seek out a foodbank to keep the family fed.

When will it end?

“The economy has been choked by the austerity experiment"

political differences to speak with one voice on the subject.

The Scottish Parliament has long opposed the extent of cuts imposed by Westminster. In a letter to party leaders across Scotland, the First Minister told them: “The Scottish Government has set out the case for an alternative to the UK

Leanne Wood (leader of Wales’ Plaid Cymru)

Nicola Sturgeon (Scottish First Minister and leader of the Scottish Nationalist Party)

How austerity make the book aimed to help s balance: ¬ VAT in

creased from 17.5% to 20% ¬ Benefit caps introduced so no-one can clai the average U m more than K earnings ¬ Deductions from Housing Benefit for ho bedrooms (the mes with unus 'Bedroom Tax' ed ) ¬ Child Trust Fund and the Health in Preg both ended nancy Grant

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Government’s austerity programme...

I firmly believe that this would be a fairer and more effective approach to take.”

“The SNP's priority is ending austerity, and the damage it does to people's lives,” Nicola Sturgeon said in May, vowing to fight Government cuts “at every turn”.

This approach is echoed by Leanne

“For me, austerity means making the poor and the disadvantaged pay for the greed and fraud of the bankers" Natalie Bennett, (leader of the Green Party)

any money at all (as benefit sanctions Wood, leader of Wales' Plaid Cymru, who leave so many now).” also rejects the imposing of austerity One positive feature of UC is that on Wales by the UK government: “The it should make claimants starting work economy has been choked by the austerity better off. Nicola Sturgeon argues it must experiment," Leanne said. "The UK is ensure it doesn’t give with one hand and the only major economy where the gap take away with the other. Earnings will not between rich and poor is widening. The be wiped out by deductions from benefits, poorest ten per cent have borne the brunt for example, but she is counting the cost for harsh cuts.” to claimants of cuts to tax credits. “There One way the Government is trying to are some really difficult trade-offs in all reduce costs is through programmes like of this,” she has said.

Universal Credit (UC) that aim to simplify It’s a complex system. Jobseekers are the benefits system. Although it is only advised to find a ‘better off calculator’ and slowly rolling out across the UK, it will budget around what they will bring home. affect most working age people on lower It seems austerity is not going away incomes, like many renting council and any time soon. After all, the government housing association homes. Landlords are is confident it has been working. Its plan worried changes like monthly payments was to spend less public money and let in arrears – which will include housing the business markets sort themselves benefit – will push claimants into debt. out and, according to news reports, there Of the small number of tenants who are now more jobs, which the government have been moved to UC, one landlord hopes means more people off benefits was shocked to find all of them fell into and paying tax. rental arrears. A third of them were facing For the female leaders of the three eviction. Five times as many claimants are anti-austerity parties, there is a wind of struggling with their rent once they move change in politics now and they want to onto UC. make their opposition known.

“Universal Credit is frightening for “Politics really is changing,” potential recipients, social says Natalie Bennett, pointing landlords, and whole Quids in! s to the 1.1 million votes for communities,” says ays…

Whether or not we the Greens in the general Natalie Bennett. agree that we’re 'all in it togethe election and the success “What we call r', if we’re strugglin g to make ends mee of the SNP in Scotland or worrie for instead is a t d ab benefits, th out changes to as evidence. “People are ‘citizens’ income’ e best help get is self we can -help. If w looking for new solutions, that would be paid e’re sinkin we need to g, find expe to create a humane, to everyone, that rt support before we , drown alto caring, just, economically would end benefit gether.

Our Usefu l Numbers panel is and environmentally traps and ensure on page 8 . sustainable Britain.” no-one was left without

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Quids in! | 5

E U S IS R THE B ROADE tting online The essential Quids in! guide to ge

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Getting the best deal

S TOP 5 WAYS BROADBAND SAVES YOU MONEY

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1

Shopping Around

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Long Distance calls

It’s really easy to check online to see which shop has the item we want at the best price. And it works for holidays too! And utilities!

Programs such as Skype make it free and easy to stay in touch with our loved ones far away

3 You switch

It’s easy to set up a diary and switch gas, electricity, broadband and mobile phone deals when we’re online

4 You benefit

It’s so much easier to apply for benefits, and check which ones we should be getting

5 Work from home

No commuting, no pricey lunches, even if we can only do it from time to time it’ll save us cash

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It’s almost impossible for us to say what the best deal will be by the time you read this, our crystal ball isn’t quite that powerful! But if you head over to Martin Lewis’ moneysavingexpert website you’ll find all the latest cheap deals (see www. qimag.uk/msebroadband). At the time of writing this, for example, there’s a BT landline and broadband deal that costs just £200 for a whole 18 months, that’s only just over £11 per month.

of effort and some time you can easily t’s getting to the point where halve that. broadband is seen as a must-have.

And once you’ve signed up to a deal Leading online skills charity Go On you’ll need to keep a careful eye on when calculates that having broadband it runs out, and remember to switch has a value to a new user of over before the price goes up. Boring £1,000 per year. Having broadband and unfair, but it’s the way increases our earning power, the world works at the reduces our chance of Quids in! s ays…

As we rep moment. At least until orted last dying and makes us issue if yo only watc u h televisio the government feel part of a modern n catch up services su using passes laws with society. Not only ch as BBC iPlayer yo u don’t ne ed to buy TV licenc teeth to stop that, but with the a e. The gov ernment moving to companies tempting introduction of is close this ‘loophole but it will ’, take them us with great deals Universal Credit some tim do it. In th e to e meantim then sneakily putting everyone of working e if you’re strugglin g to afford broadban the price up when they age will have to be why not d d itch the T V licence run out.

So put it in your online if we need to to pay for it? diary, and make a switch claim any benefits. So when you need to. here’s Quids in!’s quick guide to broadband, to help us get online, or save us money if we already are.

Getting online isn’t difficult, but it can seem expensive. Like other major There are g ood deals to utilities today such as gas and electric, be had with companies su ch as Virgin you’ll need to shop around to get the , Talk Talk an Sky with lin d e rental, bro best deal. If you don’t you can easily ad band and TV all in on e monthly p find yourself paying over the odds, ayment. Mak sure to che e ck that they with some standard broadband are worthw before sign h ile ing up to a lo deals coming to over £400/year by ng contract and remem ber you can the time you’ve counted line rental. haggle..

We say that’s too much. With a bit

Packages

It’s aS DOG’ LIFE LE

P M SA

Bowie was the sta r of Channel 4 documentary ‘Do gs on the Dole’ which looked at th e work of the Do g’s Trust with people on a lower incom e

The problems of looking after a pet on a low income were highlighted on the Channel 4 documentary Dogs on the Dole. We’ve teamed up with The Dogs Trust, the experts behind the programme, to offer you our top 10 tips for keeping a pet on a budget.

1

Whip ’em out

Neutering a cat or dog will save us money in the long run. These days there’s no guarantee that we’ll be able to sell pups and so we may be left with even more hungry mouths to feed. It’s our top tip for a good reason

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Let them eat cake

Not reallly, though Bowie did have a fondness for toffee sponge cake with pink custard before he went on a diet. What we can do is swap expensive treats with bits of chopped up veg or the occasional spoonful of boiled pasta or bit of toast

3Be inventive

Dogs love playing games, but you don’t need to spend a fortune on costly toys.

Fill an old box with shredded paper and hidetreats inside (warning: messy!) or get hold of an old tire and put treats inside it

4Direct whine

If our dog strays we could be facing a hefty bill from the dog warden. But we can get our dog microchipped by Dogs Trust (or the local council) for just a few pounds.

Won’t get lost again

7Groom groom

If we get the kind of dog that needs expensive care, brushing their hair once a day will increase the amount of time needed between expensive salon visits

Whether a cat or a dog, our pet doesn’t care if it’s sleeping in some kind of designer dog den or not: so why not buy a cheap duvet when they’re on sale and let Fido nestle down on that

Help me!

And if all else fails, and we realise we need some help looking after our pets, there are all kinds of lovely people who would give us a hand…

THE DOGS TRUST

For help with all things doggy, from neutering to basic support www.dogstrust.org.uk or call 0207 837 0006

PDSA

8Staycation

If you can’t afford a vet and are on benefits, the People’s Dispensary for Sick Animals may be able to help , and they’re nationwide. www.pdsa.org.uk or call 0800 731 2502

9Bowled over

Again can help with vet treatment if you can’t afford it for dogs, cats, rabb its and even horses www.bluecross.org.uk or call 019 93 822651

When we’re going away on holiday, rather than opting for expensive kennels or a cattery for our loved one, we could get together with other owners and take it in turns to pet-sit

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Pet insurance. Dull but important.

Few of us can afford the bills if our pet suddenly becomes really ill, and neither can we just let them suffer

5Doggie doovs

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Make with the microchip

Our pets don’t care what they eat out of, so we could use an old plate or bowl, or even just pile the food onto a wipe clean table mat rather than buying a special bowl

Say aaaaah

We can look after our pet’s teeth by brushing them regularly, or providing them with dry dog biscuits to chew on.

THE BLUE CROSS

CAT PROTECTION

Help when your dog isn’t a dog. Cats Protection can help pay for neuteri ng. www.cats.org.uk or call 03000 12 12 12, selecting option 2 (lines open from 9.30am-1pm)

RSPCA

Provide low cost treatment to peo ple on low incomes across the country www.rspca.org.uk or call 0300 123 4555

Quids in! | 7

Odds & Ends

The page that has all the bits that don’t fit anywhere else!

PRIZE CROSSWORD

Win a £269 Apple iPad mini

WIN!

To enter the draw simply complete the crossword and pop it in the post to us. Don’t forget to include your name and address. Send your completed crossword to Apple iPad mini, Quids in!, 3 Monmouth Place, Bath BA1 2AT. Or you can enter by taking a pic of your completed crossword and sending it to editor@quidsinmagazine. com. Closing Date 31st November 2015. See www. quidsinmagazine.com for terms and conditions.

ACROSS 1 Young sheep (4) 4 Drug or idiot (4) 8 Fish eggs (3) 9 Go backwards (7) 10 Synthetic fibre/fabric (5) 12 Call: heads or _____ (5)

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Disabilit y Benefits Centre (✆ 0345 605 6055) and for Child Benefit and tax credits call Inland Revenue (✆ 0845 300 3900).

• Council Tax and Housing Benefit is dealt with by your local council.

• Pensioners should call the Pensions Service (✆ 0800 99 12340).

• Free benefits calculator www.entitledto.co.uk

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DOWN 2 Chopper (3) 3 Aristocrat, as in The Red _____ (5) 4 Bed quilt (5) 5 Space for stationary cars (7) 6 Police baton (9)

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You can find these on the beach (9) Snakes and _______ (7) Secret agents (5) One who purchases (5) Short sleep (3)

THE QUIDS IN!

SIMPLE COOKING COURSE

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DEBT ADVICE Get in touch with any of the organisations below to get CREDIT UNIONS free advice and help. fornotare Credit unions • National Debtline profit organisations that ✆ 0808 808 4000 , unts acco bank ide prov www.nationaldebtline.

They loans and savings. co.uk may help people the banks • StepChange Debt Charity l loca your nd fi won’t. To ✆ 0800 138 1111 credit union call ✆ 0161 www.stepchange.org 832 3694 or visit www.

Offers free debt .uk. n.co unio edit findyourcr management plans, debt advice and more.

S EFIT BEN • Citizens Advice and t men • For unemploy www.citizensadvice.org. work-related benefits talk uk. In Wales call ✆ 08444 .

Plus e entr to Jobc 77 20 20 England call ✆ or ies • People with disabilit 08444 111 444 carers should contact the

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Conceals (5) Military brass instrument (5) Extreme fatness (7) Nothing, eg as a football score (3) 18 Requests (4) 19 Ready to harvest or eat (4)

✆ QUIDS IN! USEFUL NUMBERS LOAN SHARKS The National Illegal Money Lending Team tackles loan sharks. To report a loan shark anonymously you can call them 365 days a year on ✆ 0300 555 2222, text LOAN SHARK and your details to 60003 or email them at reportaloanshark@ stoploansharks.gov.uk.

In Wales call ✆ 0300 123 3311or send an email to imlu@cardiff.gov.uk

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One lucky winner will get their hands on a stunning Apple iPad mini worth £269. Compact and beautiful, the Apple iPad mini is the perfect tablet

HOW TO ENTER

1

3. Lasagne

SERVES

For our third recipe in the series 6-8 we’re going to combine our previous two and make something magical, COSTS Lasagne! Almost everybody loves £4.80 this rich, meaty dish with its unctuous sauce, it’s a real treat. To find the recipes for tomato sauce and white sauce either look out your last two copies of Quids in! or visit qimag.uk/simplecookingcourse minced beef until brown. Mix in the INGREDIENTS tomato sauce. Leave to cool.

3. Get a square ovenproof dish.

• Quids in! tomato sauce Put a thin layer of white sauce on • Quids in! white sauce the bottom, then a layer of lasagne • 500g minced beef sheets on top. Then a layer of the • 1tbsp oil beef and tomato, then lasagne • 1 pack lasagne sheets sheets, white sauce, lasagne sheets, • 100g grated cheddar cheese beef and tomato, lasagne and METHOD finish with white sauce on the top.

Sprinkle cheese on top and bake in 1. Make tomato sauce and white oven for 30 minutes. sauce. Turn your oven on to 200 degrees Celsius.

Visit www.quidsinmagazine.com 2. Heat a large frying pan on a high for more recipes and cooking ideas heat. Add the oil and then fry the