Need to know basis
đź’ˇ Energy bills fears. Ofgem is expected to announce a new price cap on Friday, with predictions suggesting energy bills will fall to an average of ÂŁ1,823 a year from October. In theory, this means our bills should drop.
But there are concerns – the End Fuel Poverty Coalition said bills are still “dangerously high” and National Energy Action have warned it will leave 6.3 million UK households trapped in poverty. And then bills are expected to rise to an annual average of £1,979.76 from January.
New research out this morning from the Resolution Foundation reveals more than one in three households in England (that’s 7.2 million) will face higher energy bills this winter than last. The price per unit of energy is falling, but this will be offset by a rise in the daily standing charge. And last year’s energy rebate – a discount on our bills – is not being repeated.
It comes after a survey from Which? found that people living in 13 million British homes did not turn on their heating when cold last winter. That’s almost half of all households. There continue to be calls for a social tariff on energy to protect people from fuel poverty.
🧸 Invisible children. This is powerful from Keith Cooper at Inside Housing about how poor conditions in temporary accommodation are damaging children’s lives – but the true scale of the impact remains largely unrecorded. Campaigners want a “shift in policy and practice”.
It comes as new research reveals the UK’s poorest families have faced a “frightening” collapse in living standards over the past year. Around 120,000 children are reportedly living in deprivation. Charities are calling for a child poverty strategy. Read more in The Guardian.
⏰ Childcare clock. You have just a week left to apply for the government’s 30 hours free childcare scheme if your child is three to four years old. By 2025, most working families with kids under the age of five will be eligible. But there are continuing concerns that the government is not doing enough.
My colleague Evie spoke to single mother Sandrine Mpongo who wanted to go back to work, but the cost of childcare left her unemployed for two years – the average cost in 2023 of putting a child into a nursery part-time is just under £8,000. It was only with the help of Big Issue Recruit that she was able to find flexible work. “The juggle is real,” indeed.
Tory MPs this week accused Labour of plotting a “war on hard-working parents” with their childcare plans, according to The Telegraph. Quick note: “hard-working parents” in this case translates to those earning £60,000 and above – Labour is reportedly considering changing the 30 hours free childcare policy so that the highest earners get fewer hours and more help can be targeted to those on the lowest incomes.
đź’° Due a pay rise? Inflation might have slowed to 6.8% last month, but workers are continuing to feel the pinch as prices keep rising. So the big question: can you ask your boss for a pay rise? And how much should your wage go up to keep up with inflation? My colleague Evie answers your burning questions.
â›˝ Petrol price panic. The average cost of petrol has risen above 150p per litre for the first time since the start of this year, according to reports. If you are looking to save money on petrol, this BBC article busts myths about whether switching off the air conditioning or changing your tyre pressure could help.
đź‘® Police perks. Shoplifting is on the rise because people are so desperate and cannot afford food in the cost of living crisis. So Waitrose has taken the decision to offer police officers free coffees and discounted food to deter shoplifters... some might call it an "unusual tactic".
⚠️ DWP given warning. An equality watchdog has warned the Department for Work and Pensions that urgent reform is needed to its disability benefits system. I also wrote about how people with Parkinson’s are more likely to have their claim mistakenly rejected – with Phil Bungay, who has Parkinson’s, telling me the process made him feel like a criminal.
🏥 Health risk. Organisations representing hundreds of thousands of healthcare professionals have written a letter to the Prime Minister warning that so many people are routinely sacrificing essentials that it poses a serious risk to the nation’s health.
The NHS Confederation, British Medical Association and others are joining the Joseph Rowntree Foundation, Trussell Trust and other organisations in calling on the government to implement an “essentials guarantee” – so that everyone has the basics they need to live at the very least.
🏠Cheaper to rent. The rise in mortgage rates means – for the first time since 2010 – it is now cheaper to rent a home than to buy one. That’s according to property website Zoopla, who said the average UK rent is now £1,163 while the average mortgage is £1,285. But the good news is, Halifax says it's more affordable to buy a home now than it was a year ago, at least.
📚 Getting results. Students have been doing their sums over whether university makes financial sense after receiving their A Level results last week, according to the BBC. We’ve got a guide for helping students save money in the cost of living crisis here.
💠Cost of Gen Z dreams. This is an interesting (if depressing) read in The Times about whether a group of twenty-somethings will ever be able to afford their dream lives. It’s all exceptionally conventional stuff: living in a nice area in a city, a house with a garden and kids… but even that is out of reach.
