Sunak press announcement tonight

He's trying to be the next prime minister I don't trust him an inch we need someone who isn't a millionaire in that position

@Whitwavemark2

^So the loans to energy companies will in theory take £200 frame everyone’s bill.

Those on prepayment meters - the least well off - will increase the most by 54%.

The government has already reduced the poorest income by taking away the £20 U/c, as well as the NI rise in April. Inflation went up by 5.4%.

The money the government is pouring into the massive energy suppliers, it is ridiculous.

That vast quantity should be put into home heating payments and other channels for the very poorest.

Another suggestion is council tax rebates for those in band A-C.^

Apparently, even if you don't want or need the £200 energy 'loan', there's no way of opting out of it.

If you're living at home with family or are in rented accommodation where your rent includes utilities, you personally aren't going to get this loan (your parents/landlord are getting it) but if at some point in the next 5yrs you move and become responsible for paying your own utilities, you'll be paying the £40/yr loan repayments without receiving the loan in the first place - this IMO is totally unfair, why should someone have to pay back a loan they've never received?

Those on UC haven't lost £20/wk, it was given to them on a 'temporary basis', it was never implied that it would be a permanent thing.

The 'poorest' who received it weren't necessarily the poorest, those of us on other DWP benefits that haven't yet been migrated over to UC didn't get that £20/wk and there is currently a case in court which is trying to argue that we (especially the disabled) should have received it too. Why should the disabled have to go to court to get treated fairly?

Sunak and Martin Lewis said last night that inflation is running at over 7%, so why are DWP benefits only increasing by 3.1% in April? I know Sunak said we all need to accept that belts will be a little tighter this year but when one is reliant on those benefits which don't give any wriggle room in one's weekly budget in the first place, how on earth are we meant to tighten our belts even further? My gas and electricity payments already eat up over 15% of my benefits (before the April increase).

Sunak said that the Warm Homes Discount will increase to £150 (currently £140) for next winter... wow! It needs to double not just add £10.

Regarding the council tax discount of £150, for those of us on the aforementioned benefits, our council tax is paid direct to the council as part of these benefits, so we won't see a penny of this discount, it'll be just a bit less that the DWP will have to pay us.

In actual fact, my 3.1% benefit increase due in April is approx £5/wk, then if you subtract the money the DWP will be saving on my council tax (a little under £3/wk), they'll only be paying an increase of approx 1.9%.

I believe some of the oil companies have had record profits but are not being asked to help .

France has capped energy bill rises at 4%. In the UK,
@RishiSunak
has green lit a 54% price hike.

The living standards crisis is the price the Tories are making the public to pay to fuel a boomtime for a tiny handful of energy corporation shareholders.

growstuff

Maggiemaybe

It looks like this has all been worked out on a fag packet and a couple of drip mats during a long night at the pub. It’s convoluted and unfair, and is going to prove a costly nightmare to administer.

Surely it’s not beyond the wit of our leaders to target whatever support is available straight at those on the lowest incomes, who are suffering so much hardship?

It seems like local councils are being set up to be the fall guys. They've had their funding cut over the last decade and this won't compensate.

Councils already have very little remaining after they have fulfilled statutory obligations. Hence the closure of libraries and support services. They are being turned into administrative bodies for sorting out what the government allows them to spend, which makes a nonsense of local democracy.

Exactly

Maggiemaybe

It looks like this has all been worked out on a fag packet and a couple of drip mats during a long night at the pub. It’s convoluted and unfair, and is going to prove a costly nightmare to administer.

Surely it’s not beyond the wit of our leaders to target whatever support is available straight at those on the lowest incomes, who are suffering so much hardship?

It seems like local councils are being set up to be the fall guys. They've had their funding cut over the last decade and this won't compensate.

Councils already have very little remaining after they have fulfilled statutory obligations. Hence the closure of libraries and support services. They are being turned into administrative bodies for sorting out what the government allows them to spend, which makes a nonsense of local democracy.

Lincslass

Whitewavemark2

What they should be doing is pursuing renewables like mad.

If they had done so we would not be so reliant on gas and at Putins mercy.

We are not reliant on Russia for gas
www.carbonbrief.org/factcheck-less-than-1-per-cent-uk-gas-supplies-come-from-russia

Thanks for posting that Lincslass. The UK won't run short of gas, but I guess the issue is that global prices have responded to market forces caused mainly by Russia.

It looks like this has all been worked out on a fag packet and a couple of drip mats during a long night at the pub. It’s convoluted and unfair, and is going to prove a costly nightmare to administer.

Surely it’s not beyond the wit of our leaders to target whatever support is available straight at those on the lowest incomes, who are suffering so much hardship?

Thanks Growstuff. Will await with interest to see what the Scottish Government will give us.

Whitewavemark2

What they should be doing is pursuing renewables like mad.

If they had done so we would not be so reliant on gas and at Putins mercy.

We are not reliant on Russia for gas
www.carbonbrief.org/factcheck-less-than-1-per-cent-uk-gas-supplies-come-from-russia

Here's some info:

assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1052320/Energy_Intervention_factsheet.pdf

Whitewavemark2

I wonder if I could refuse it?

I suppose I could return it to my energy supplier - Shell - who has just made squillions profit - but that means it would just sit in their vast coffers for 5 years.

Apparently, the standing charge will be increased to cover the loans, so you might as well accept it because you'll end up paying it back anyway.

Riverwalk

Why are councils having to deal with this?

I'm wondering why the energy price-cap can't be kept in place for longer.

Twenty eight energy companies went bust in 2021 - surely that's a sign that there are far too many of them. Let a few more go bust. After all most are just distributors and not actually involved in exploration, infrastructure, etc.

I guess the argument is that these schemes target the poorest and most vulnerable. However, they won't compensate for the rise in NICs and cost of living (especially basic foodstuffs) increases, which are hitting the poorest most.

Does anyone know if the rates rebate will apply in Scotland?

Why are councils having to deal with this?

I'm wondering why the energy price-cap can't be kept in place for longer.

Twenty eight energy companies went bust in 2021 - surely that's a sign that there are far too many of them. Let a few more go bust. After all most are just distributors and not actually involved in exploration, infrastructure, etc.

rosie1959

growstuff

The current Band A rate for my area is £1231.78. A single occupant receives a 25% discount, so pays 75% = £923.83 The minimum rate for people receiving Local council tax support is 12.5%. The figures for different authorities vary. 12.5% of £923.83 = £115.47, which is less than £150.

Thank you for the information Growstuff I did not realise discount on rates could be that much. Apparently local councils are to be given a fund to help those who pay little or no council tax

There's a difference between a council tax discount and Local Council Tax Support, which is means tested. Pensioners receiving guaranteed Pension Credit almost certainly receive some degree of support.

Apparently, over 2.5 million people receive some support with council tax, so £140 million won't go very far. In any case, the amount councils received to support people on low incomes was reduced by 50% between 2013 and 2020.

Last night Sunak gave the bankers a £1bn a year tax cut.

Monbiot

growstuff

The current Band A rate for my area is £1231.78. A single occupant receives a 25% discount, so pays 75% = £923.83 The minimum rate for people receiving Local council tax support is 12.5%. The figures for different authorities vary. 12.5% of £923.83 = £115.47, which is less than £150.

Thank you for the information Growstuff I did not realise discount on rates could be that much. Apparently local councils are to be given a fund to help those who pay little or no council tax

Really the best thing to do with the rebate is to use it to repay the rebate.

I always worry when government push the problem onto councils. It nearly always means cuts elsewhere.

GrannyGravy13

Whitewavemark2

Oh and for those who do not know there will be many thousands if not millions who do not pay a penny in council tax because they are on such a low income. My mum was one of them.

People like her will suffer dreadfully. The older you get, the colder you get and need a higher temperature to survive.

Goodness knows what those poor souls are going to do.

Die I suppose

According to Martin Lewis there was a a discretionary fund for people who may not be covered by the £150 on council tax and on lower incomes. A £140 million fund via local councils.

There are also proposed changes to the Warn Home Discount.

About flipping time! The Warm Home Discount varies between energy suppliers. There's a "core" group, but eligibility criteria are harsh. Not only that, but the energy suppliers have a capped fund and if their money has run out by the time you apply, it's just tough luck.

GrannyGravy13

Whitewavemark2

Oh and for those who do not know there will be many thousands if not millions who do not pay a penny in council tax because they are on such a low income. My mum was one of them.

People like her will suffer dreadfully. The older you get, the colder you get and need a higher temperature to survive.

Goodness knows what those poor souls are going to do.

Die I suppose

According to Martin Lewis there was a a discretionary fund for people who may not be covered by the £150 on council tax and on lower incomes. A £140 million fund via local councils.

There are also proposed changes to the Warn Home Discount.

Hmmm ... I don't know how many people pay no or very low council tax, but I wouldn't mind betting it's more than a million.

£140 million divided by a million = £140. Is this £140m new money or recycling of old money which is already given in discretionary funds to councils?

*Warn obviously should be Warm

*there was should be there is

Whitewavemark2

Oh and for those who do not know there will be many thousands if not millions who do not pay a penny in council tax because they are on such a low income. My mum was one of them.

People like her will suffer dreadfully. The older you get, the colder you get and need a higher temperature to survive.

Goodness knows what those poor souls are going to do.

Die I suppose

According to Martin Lewis there was a a discretionary fund for people who may not be covered by the £150 on council tax and on lower incomes. A £140 million fund via local councils.

There are also proposed changes to the Warn Home Discount.

… latest Monetary Policy Report predicted post-tax incomes would fall 2% this year, after taking into account the rising cost of living.

the biggest fall in take-home pay since records began in 1990

growstuff

Whitewavemark2

I wonder if I could refuse it?

I suppose I could return it to my energy supplier - Shell - who has just made squillions profit - but that means it would just sit in their vast coffers for 5 years.

Interest rates will inevitably rise over the next year. Stick it in a savings account, if you don't need it.

Doesn’t help my annoyance though!