Michael Lewis calls for substanstial government intervention to help people deal with costs
Consumers will have to cope with extraordinarily high fuel bills for at least another 18 months, the boss of Britain’s biggest energy supplier has said.
Michael Lewis, the chief executive of E.ON UK, called for “very substantial” government intervention to help people with escalating fuel bills, one of the biggest factors in the cost-of-living crisis.
Continue reading...Analysis: UK among hardest-hit countries thanks to perfect storm of war in Ukraine, Covid and Brexit
Britain’s inflation rate has soared to the highest level since the early 1980s. After a record increase in gas and electricity bills in April, inflation is the highest in the G7. Having reached 9% last month, it is above the 8.3% rate in the US and Germany’s reading of 7.4%. Japan, an economy characterised by low inflation for decades thanks to an ageing population, has the lowest rate at 1.2%.
Here are some of the reasons why prices are rising faster in the UK than in other major economies.
Continue reading...Conservative MPs to urge chancellor to tackle inflation with VAT cuts, energy bill support and improved benefits
Tory MPs are piling pressure on Rishi Sunak to take decisive action to deal with the cost of living crisis with measures such as cutting VAT, increasing energy bill support and raising benefits, as inflation is forecast to top 9% on Wednesday.
A string of Conservatives from across different wings of the party called on the chancellor to intervene within weeks, amid dire economic predictions about the squeeze on households.
Continue reading...Spate of self-disconnections reflects rising costs, punitive debt collection and disproportionately high charges, says charity
A food bank charity has called for the energy watchdog to intervene after a spate of reports of penniless families self-disconnecting from their gas and electricity, leaving them unable to wash clothes, use cookers or even switch on lights.
Feeding Britain said people on low incomes who used prepayment energy meters were increasingly being pushed into destitution by rising costs, punitive debt collection rules and disproportionately high standing charges.
Continue reading...Dame Sharon White follows Tesco chief in urging UK government to help with rising energy and grocery bills
The boss of John Lewis has urged the governmentto intervene with a financial package of support to protect families from the cost of living crisis on the same scale as it did to help the nation deal with the Covid pandemic.
Dame Sharon White, a former second permanent secretary at the Treasury, said the government needed to act urgently as families struggle to pay utility and food costs as energy bills and inflation soars.
Continue reading...Macmillan survey suggests hundreds of thousands of people with cancer struggling to make ends meet
Hundreds of thousands of cancer patients are putting their lives at risk by cutting back on meals, heating and other essentials as a result of the cost of living crisis, a charity has said.
Macmillan Cancer Support said it was “hugely concerning” that large numbers of people living with the disease were having to resort to drastic cost-cutting measures to make ends meet.
Continue reading...ONS says a quarter of households in survey are struggling to pay bills such as fuel and food
Almost 90% of British households reported an increase in their cost of living last month as they were hit by escalating fuel, food and borrowing costs.
Heaping further pressure on Rishi Sunak to increase his support for those on low and middle incomes, the Office for National Statistics said a quarter of all those in its survey were struggling to pay their bills and 17% had turned to loans or borrowing on credit cards to make ends meet.
Continue reading...Ed Miliband says move will ease energy price crisis and reduce dependence on Russian gas
Labour has said it would insulate 2m houses within a year to slash bills and reduce reliance on Russian gas, accusing Boris Johnson of a “shameful” failure to stop Britain’s homes leaking heat.
The government put major nuclear and onshore wind projects at the heart of its energy security strategy announced earlier this month, but faced criticism for failing to include any new measures on insulation despite the UK having some of the draughtiest housing in Europe.
Continue reading...Serious health and safety risks costing NHS £340m a year, public accounts committee report finds
More than one in eight privately rented homes in England pose a serious threat to people’s health and safety, costing the NHS about £340m a year, according to a report from a committee of MPs.
It also uncovered evidence of unlawful discrimination, with an estimated one in four landlords unwilling to let to non-British passport holders.
Continue reading...Pressure for more support for households and businesses after consumer prices rise 6.2%
Business live updates: jobless rate drops and wage squeeze continues
Britain’s cost of living crisis moved into its fourth consecutive month in February despite a jump in wages and a fall in unemployment to just 3.8%, its lowest level since 1974.
The Office for National Statistics said average earnings growth of 5.4%, including bonuses, failed to keep pace with a 6.2% rise in the consumer prices index in February, while for those who missed out on a bonus the situation was even worse after average wages increased by only 4%.
Continue reading...Money saving expert says UK government must do more to ensure people can heat homes and have enough food
Britain’s self-titled money saving expert Martin Lewis has warned that civil unrest over rising energy bills “isn’t far away”, as he repeated his call for more government intervention to protect people.
Lewis said he was the most scared he has been for people’s finances since he founded his popular website in 2003. It has traditionally offered advice on which bank accounts or phone providers may be cost-effective, and has been a regular port of call for people looking to switch energy provider and save money.
Continue reading...Britons face a shock as household costs soar – and some unexpected items such as beer also go up
It’s been dubbed “bleak Friday” by some: pre-announced price rises for many household bills are to take effect on 1 April, adding to the misery for consumers who are already paying more for goods and food than this time last year.
Continue reading...Chancellor expected to announce fuel duty cut in package of measures to tackle cost of living crisis
Rishi Sunak will promise “security” to cash-strapped families as he announces a fresh package of measures to tackle the cost of living crisis on Wednesday, but will continue to underline the importance of fixing the public finances.
The chancellor has been under intense pressure to take action to help households with the rocketing cost of fuel and other essentials. The financial expert Martin Lewis told MPs on Tuesday that many households are facing a “fiscal punch in the face” when the energy price cap rises next month.
Continue reading...Hamptons expects sums to become 54% of post-tax income for average rented household in Great Britain
Tenants already struggling with the cost of living crisis typically face having to find an extra £1,000 this year to cover higher rent and essential bills, research shows.
The estate agent Hamptons said tenants’ finances faced a record squeeze as higher rents and energy bill increases combined to pile more pressure on households in Great Britain.
Continue reading...Japanese measures including turning down the heating and slower trains could ease pressure on British households, say experts
Britain could learn from Japan’s response to the Fukushima nuclear plant disaster by reducing energy consumption to deal with soaring global gas prices after the Russian invasion of Ukraine, academics have said.
Suggesting a coordinated response to record gas prices could help ease the pressure on households, experts told MPs on the Commons business committee that steps to reduce national demand for gas-fired power next winter could be deployed.
Continue reading...Analysis: whether tapping other suppliers or switching energy sources, there is no quick and easy option to loosen Putin’s economic grip
As Boris Johnson told parliament that Europe must wean itself off Russian gas – to loosen Vladimir Putin’s “grip on western politics” – the Nikolay Zubov tanker was making its way back from British waters to the port of Sabetta, in northern Siberia.
The 300m-long vessel had recently dropped off a consignment of liquefied natural gas (LNG) at the Isle of Grain terminal, in the Thames Estuary, operated by the National Grid.
Continue reading...Nearly two years after the first lockdown was implemented, legal restrictions related to coronavirus are finally being lifted. Here we chart what has changed in people’s lives
It’s nearly two years since the prime minister, Boris Johnson, announced the first national Covid lockdown and, for many Britons, life feels close to normal.
As of Thursday, there are no longer any restrictions in England – no legal requirement to wear masks or to self-isolate after a positive Covid test. But have our lives changed in other ways that will outlive the pandemic? Have our habits changed for good?
Continue reading...Feeling the chill? Get knitting, or make some soup, or tackle the dirty dishes, or …
Use natural materials to knit yourself a jumper – they are better for the planet and keep you warmer than artificial yarns. The beauty and benefits start almost as soon as you cast on, since the growing garment on your knees keeps you warm long before it’s ready to wear. Win-win! Carol Brook, West Yorkshire
Continue reading...International Energy Agency says pollution from power generation will worsen until alternatives are found
The global surge in demand for energy could spark another three years of market volatility and record power plant pollution unless countries make major changes to how they generate electricity, the world’s energy watchdog has warned.
The International Energy Agency recorded the steepest ever increase in electricity demand last year, which triggered blackouts in major economies and led to historic energy price highs and record emissions.
Continue reading...What to expect in the coming months, and what you can do to manage the costs
The UK’s energy crisis deepened last week after gas market prices surpassed the record highs set in October to reach a new all-time high of £4.50 per therm, about nine times higher than this time last year.
Continue reading...