Gransnet forums


Everything is going up except our income.

(236 Posts)
gillybob Wed 22-Mar-17 13:34:06

I take my dad shopping a couple of times a week. He tends to buy the exact same things on a weekly basis. For example;

A small chicken, loaf of his favourite seedy bread, a small tub of Lurpak, a small pack of mince, bananas etc.

We have noticed that the prices for these fairly basic items is rising at an alarming rate and added to recent council tax rises and (his)local authority rents etc. things are becoming very difficult for a lot of people.

I am not retired (probably never will due to changes in rules) but I haven't had a wage rise in over 5 years. My council tax has risen dramatically and I wonder how ordinary people are supposed to make ends meet?

I know they blame Brexit for rising supermarket prices and the increased cost of elderly social care for council tax rises, but I wonder are we all just being conned big style?

Norah Wed 22-Mar-17 13:56:21

I don't believe the minimal uptick in prices I see has anything to do with Brexit.

Rigby46 Wed 22-Mar-17 13:59:12

A good question gillybob. Re supermarket price rises - my dd says that she's also noticed for some things the price staying the same but the quantity decreasing. Exchange rate changes, because of Brexit, must play a part but we can't possibly know how much. Re council tax increases, it's not just social care it's also cuts in the grants that central government gives to local authorities - that helps central government to balance its books and throws the problem to local authorities. As council tax is an incredibly unfair tax that the better off benefit most from, it means the burden then falls on the not so well off. So I don't know about bring conned but we're certainly stuffed

Rigby46 Wed 22-Mar-17 14:03:40

Well Norah I don't know where you get that belief from - did you vote Leave btw? Anyway, read this

Jalima Wed 22-Mar-17 14:10:47

As council tax is an incredibly unfair tax that the better off benefit most from, it means the burden then falls on the not so well off.

I'm not sure how that works? We all receive the same level of services from the LA whether we use them or not:

social services.
roads and transport.
waste disposal.
economic development.
countywide planning and the environment.
protecting the public.

We all contribute according to the banding of our property and some people may have a large house in a higher band but be cash poor. Some better off people may educate their children privately but are still contributing to the education of children in the area.
Waste disposal has become something which may have to be paid for on top of council tax.
Better off people may be able to fund their own social care but will still be contributing to the general pot.

I am not sure what you mean really. confused

Norah Wed 22-Mar-17 14:15:07

Rigby46 I know I have not seen increase in Aldi or Tesco, yet.

No, I did not vote to leave, but if I was Scottish I would certainly want out, as soon as possible. We have a holiday home in up north near Scotland, the Scots have such a hard time economically. Fine in Bury, to us.

Norah Wed 22-Mar-17 14:20:29

I'm not given to agree here, Rigby46 "As council tax is an incredibly unfair tax that the better off benefit most from, it means the burden then falls on the not so well off." How do you feel the better off benefit most? The better off also pay more and receive the same or lesser services because they choose to use private services.

Rigby46 Wed 22-Mar-17 14:25:47

Council tax - amount paid ( unless on benefits) is the same regardless of how much income is coming into the house. How is that fair - DH and me have very good incomes and pay same council tax as much lower earning couple next door. Not fair. Also bands stop at H - not fair.

Jalima Wed 22-Mar-17 14:29:18

The Liberals wanted to introduce a local income tax instead and the poll tax was supposed to be fairer - but look what happened then!!

Jalima Wed 22-Mar-17 14:31:26

So do you think that a local income tax would be fairer?
Although it would probably cost more to administrate I think DH and I, as two pensioners, would welcome that. Unfortunately, it would work the same as the poll tax in that everyone who was working in a household would be expected to pay it.

gillybob Wed 22-Mar-17 14:36:22

The amount of council tax paid also depends on how it is set within the borough. I live in a poor area of the NE where the council has a huge demand on its services. I pay more than someone in a much higher band in Kensington. How can that be fair?

I have seen prices in the supermarkets (Asda, Morrisons and Tesco) rising steadily. The cost of cereals, butter etc. All creeping up slowly but surely.

Jalima Wed 22-Mar-17 14:40:08

Our council tax goes up to Band I here where the charges would be well over £3,000 per annum.

Highest council tax in the country is in Dorset:

Jalima Wed 22-Mar-17 14:41:55

I just checked ours and had assumed that council tax rates would be the same across the whole County but was surprised to find that they are not, they fluctuate quite a bit.

M0nica Wed 22-Mar-17 14:43:06

In leafy wealthy Oxfordshire we pay over £3,000 on a Band G property.

gillybob Wed 22-Mar-17 14:56:45

I don't think we have any band G properties in our borough M0nica! Have checked and we pay over £600 per year more than the same band in Kensington & Chelsea.

Norah Wed 22-Mar-17 15:07:36

Switching to income tax would be patently unfair. We pay much more now than we would on income, and we should pay as much as we do or higher to support services for everyone.

POGS Wed 22-Mar-17 15:17:59

We are perhaps very lucky to live so near to most of the main supermarkets and so far I can honestly say I have not noticed an increase in prices.

As for Council Tax I think it's inevitable if wages are to be paid and services maintained then Council Tax will go up .

My problem isn't the raise in Council Tax so much as it is the 'waste' by Councils that I deplore. Why put in speed humps at the expense of social care scenario.

gillybob Wed 22-Mar-17 15:38:02

Our council services are being cut to the bone and we are now having to pay for green bin collections (they haven't cut the free pilates sessions for council staff though). We have been hit with huge council tax increases. Our senior council officials are some of the highest paid in the country and they have just spent millions on modernising our town hall. The councillors have voted themselves a nice rise in their expenses too.

That aside, take just the price of butter in Asda. 2 for £5 last week. £3.25 each this week. DH's favourite cereal 3 boxes for £5 a month ago £2.67 a box this week. There are plenty other examples.

Norah Wed 22-Mar-17 15:43:16

Your Asda is certainly different than my shops, no discernible price increases. But I do stock up on offers. I find worrying about small bit of inflation tedious, food prices have been relatively stable for a few years and wages have gone up. So?

chelseababy Wed 22-Mar-17 15:54:16

Pensions will go up 2.5% in April won't they? The CPI was 2.3% so at least something is covered - for some.

gillybob Wed 22-Mar-17 15:59:19

Neither mine or my DH's wages have not gone up in over 5 years Norah !

The things that have gone up though are;

Gas, electric,fuel,bus fares,council tax, food,insurances, presciptions etc.

I (and many like me) are not in the position to be-able to "stock up". I tend to have to buy what I need weekly, as I am paid.

My dads local authority rent has also gone up quite considerably. Not sure how much his pension will have risen in order to pay the extra though.

gillybob Wed 22-Mar-17 16:00:45

Our council tax has gone up almost 6% ! Plus the £30 green bin charge.

gillybob Wed 22-Mar-17 16:01:27

I really pity the young ones.

Norah Wed 22-Mar-17 16:01:45

chelseababy, spot on! Lovely for us, not so much for those a wee bit younger with children to raise.

angelab Wed 22-Mar-17 16:04:12

Gov statements on changes in cost of living reflect what goes into the 'basket of goods':

" Both RPI and CPI measure inflation. Both of them do it by taking a basket of goods – food, clothes, petrol - looking at what they cost last year, looking at what they cost now, and finding the proportional difference.

But the CPI leaves the costs of your home out of the basket – so rises in mortgage payments, rents, and council tax, which in real life you pay, don’t get reflected in it. The RPI does take account of those costs."


So if you still have mortgage/rent, the CPI is misrepresentative, especially somewhere like Oxford.