Cost of Living crisis

Miliband urges energy watchdog to act as typical bill could rise by more than £100 a year

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https://www.theguardian.com/money/2025/feb/18/miliband-urges-energy-watchdog-to-act-as-typical-bill-could-rise-by-more-than-100-a-year

Ed Miliband, the energy secretary, has asked Ofgem to crack down on inaccurate and large bills. Photograph: Ina Fassbender/AFP/Getty Images

Exclusive: Whitehall source expects bills in England, Scotland and Wales to rise by about £9 a month over the next three months

Ed Miliband has urged the energy watchdog to take swift action as it emerged that the typical energy bill could soar by more than £100 a year amid a rise in global gas prices.

A Whitehall source said they expected bills in England, Scotland and Wales to increase by about £9 a month over the next three months in another challenge to government plans to tackle the cost of living.

They blamed volatile global gas prices linked to the end of the transit deal that enabled gas to flow to Europe, through Ukraine, from Russia.

Miliband, the energy secretary, has written an urgent letter to Ofgem, saying the price rise means the energy regulator must move faster to protect consumers.

This month, gas prices hit a two-year high, exacerbated by the lack of gas storage in Britain and Europe, combined with colder weather though prices have begun to stabilise. Cornwall Insight, a consultancy which produces closely watched forecasts for the energy price cap, is set to release its latest forecast on Tuesday.

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Poorest UK households pay rising share of income on council tax, study finds

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https://www.theguardian.com/business/2025/feb/17/uk-poorest-households-income-share-council-tax-resolution-foundation

The poorest fifth of households paid 4.8% of their income on council tax or domestic rates in 2020-21, up from 2.9% in 2002-03. Photograph: Martin Godwin/The Guardian

Resolution Foundation report says failure to reform has ‘slowly recreated the issues that undid the poll tax’

Britain’s poorest households are paying an increasing share of their income on council tax, according to new analysis that likened it to the poll tax that contributed to the downfall of Margaret Thatcher.

The poorest fifth of households paid 4.8% of their income on council tax in England, Wales and Scotland and on domestic rates in Northern Ireland in the 2020-21 financial year, up from 2.9% in 2002-3, according to research by the Resolution Foundation.

Council taxes are one of the few levies on wealth in the UK, with different systems applied in each of the four countries.

However, they are seen by economists as deeply flawed, not least because the tax in England and Scotland is levied based on the value of properties in 1991, despite huge changes in the spread of wealth over the past three decades. Wales has updated its system to use 2003 valuations, while Scotland raised the rates on higher-banded properties in 2017. Northern Ireland still has a system of domestic rates, which predates council tax.

Highlighting the “regressive” nature of the tax, meaning poorer households pay more of their income towards it than richer ones, the Resolution Foundation said the failure to reform council tax had made it progressively worse.

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Article continues at https://www.theguardian.com/business/2025/feb/17/uk-poorest-households-income-share-council-tax-resolution-foundation

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Calls mount for public ownership of Thames Water as it launches ‘blatantly greedy’ bid to hike bills

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https://morningstaronline.co.uk/article/calls-mount-public-ownership-thames-water-it-launches-blatantly-greedy-bid-hike-bills

GREED: Thames Water’s chief executive Chris Weston defended bosses getting £770,000 in bonuses

CAMPAIGNERS mounted further calls for Thames Water to be permanently brought into public ownership today [Friday] after the firm launched a “blatantly greedy and desperate bid” to hike bills yet again.

The firm has already been allowed to increase bills by 35 per cent over the next five years by regulator Ofwat.

Thames Water originally lobbied for a 59 per cent increase and is now asking the Competition and Markets Authority to review the decision.

On the verge of financial collapse, Thames Water sits on £19 billion of debts.

Despite this, it paid out £158.3 million in dividends last March, and attempted to award its CEO and CFO £770,000 in bonuses using customer money before being blocked by Ofwat.

Thames Water is currently waiting for a court decision on whether it will be allowed a £3.3bn creditor bailout to avoid falling into special administration at the end of March.

The loan will cost a mammoth £800m in interest and fees alone, which campaign group We Own It argues will add an extra £250 a year to household bills.

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https://morningstaronline.co.uk/article/calls-mount-public-ownership-thames-water-it-launches-blatantly-greedy-bid-hike-bills

Continue ReadingCalls mount for public ownership of Thames Water as it launches ‘blatantly greedy’ bid to hike bills

Activists occupy consultancy firm over renewal of Drax subsidies

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https://morningstaronline.co.uk/article/activists-occupy-consultancy-firm-over-renewal-drax-subsidies

Emissions from the Drax plant near Selby on a winter’s day

ACIVISTS occupied the London offices of a lobbyist for Drax power plant today, protesting against the government’s decision to bankroll Britain’s top carbon emitter.

Labour announced yesterday that it will provide subsidies to the wood-burning power plant for at least four more years.

The plant has received billions from taxpayers because it is classed as a source of renewable energy, a claim long disputed by campaigners as it emits the largest amount of carbon in Britain.

Drax has also been fined £25 million by Ofgem for misreporting where its wood is sourced from after a BBC investigation found that it had used wood from environmentally important forests in Canada.

This morning, 20 activists from Axe Drax occupied the offices of 5654 & Company, a corporate affairs consultancy they say lobbies for the power station, with staff forced to leave for the day as a result, according to the campaign group.

Rosie, who only shared her first name, from Axe Drax said: “The decision to back Drax is a disaster for the climate and our energy bills.

“Funding the biggest carbon emitter in the UK in the name of green energy is insane.

“It is time for Labour to dump Drax and their lobbyists, not double down support.

“We are sick of their unaccountable power, while millions of us have our bills hiked.”

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Continue ReadingActivists occupy consultancy firm over renewal of Drax subsidies

‘Workers are  being employed as indentured labour’

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https://morningstaronline.co.uk/article/workers-are-being-employed-as-indentured-labour

Staff on a NHS hospital ward at Ealing Hospital in London, January 18, 2023

Damning report finds migrant workers propping up Britain’s crumbling care system are trapped in awful working conditions

CAMPAIGNERS demanded reform today after a damning report laid bare shocking conditions facing migrant workers propping up Britain’s crumbling care system.

Unison surveyed more than 3,000 people who came to Britain on health and care worker visas to tackle shortages in the sector.

It found that nearly a quarter had paid fees to an employer or an intermediary upfront in return for a job — with dozens handing over more than £20,000.

Many workers, who are from countries including Nigeria, Zimbabwe and Zambia as well as India and the Philippines, were given no shifts when they arrived, or not the number promised.

Around 18 per cent said employers had deducted money from their salaries since arriving, with firms claiming the fees were for expenses such as training and administration.

Pay issues impacted three in 10 migrant care staff, with problems including unpaid travel time between care visits and no sick pay.

More than a quarter were paid below the legal minimum wage of £11.44 an hour.

In one shocking testimony, a worker reported having to sleep on the streets because their employer did not pay them for shadowing other colleagues.

And 9 per cent described the accommodation they were provided with as poor or very poor.

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Public Services International care organiser Huma Haq said the findings reflect a broader global crisis in care: “The exploitation of migrant care workers in the UK is not an isolated incident but a symptom of a broken system globally where governments have increasingly privatised and underfunded essential care services.

“Governments must step up and take responsibility for providing quality public care services.”

Original article is at https://morningstaronline.co.uk/article/workers-are-being-employed-as-indentured-labour

Continue Reading‘Workers are  being employed as indentured labour’