The biggest issue is our cost of living challenge. Yes, many places in the world are facing inflation and fuel/energy concerns. It does seem, however, that the UK is particularly badly off. In case anyone is in any doubt, until announcements made in parliament yesterday, on October 1st, our energy bills were set to rise by some 80% on the already imposed 50-ish% that occurred in March. That was mooted to be followed, in January, with yet a further big hike. Yesterday, the new PM put a renewed 'cap' on the cost of energy for two years, which will mean instead of the projected £5750 annual outgoing (on average use), it will be kept to £2500. Those who are low-end users, like me, would never reach that average anyway, and obviously, there will be some households that use quite a bit more, but the point is that the cost per kWh is going to be stable in a way that it wasn't until yesterday and had us all planning to burn our furniture to keep warm this winter.
For low-enders, the huge bugbear has been the standing charges - the cost of having a physical connection and the meters that tell you how much you used. In February, historically the most expensive month being the coldest and meanest, my bill was appx £43. By April, when spring arrived, and the heating was off, my monthly bill shot up to nearly £60. I was using less light and gas, but the standing charge had all but doubled per diem. If Ms Truss had not made that announcement yesterday, then in October, I was looking at paying upwards of £70 even before adding on the actual usage costs. My pension is such that after paying insurance, television fees (remember that's compulsory here in the UK), phone/wifi and council tax/rates, leaving enough to hopefully cover the power utilities would have meant keeping my food/ancillaries budget to about £30/wk. Manageable, but then again, given how the price of food is rising... the one bright spot is that there has been an added benefit to all households of £66/month being provided to offset the costs. For low-enders, that will be a significant boost. I do welcome that assistance. In the spirit of transparency, it should also be said that I am blessed to have a fully paid-for home; with no mortgage or other loans. But my pension is not changing with the cost of living.
This is not to plead poor. It is to demonstrate that many thousands here, who in any other country might be considered really quite well off, are, by comparison within this economic centre, at real risk of fiscal difficulty. Hardship is relative to the society in which one lives.
Yesterday's move by the incoming handlers of the government was undoubtedly welcome but still has to be fine-tuned, and much more will need to be sorted for the long-term. This is not a long-term thinking group of well-off toffs. In fact, they are backwards thinking - the spectre of fracking has raised its hideous head once more. So while unquestionably relieved that there is an eleventh-hour move to bring some relief on energy costs, I find myself holding my breath as to what else has to suffer to cover it.
So yeah. A bit of a brain boiler of a post today, but it would otherwise have been another cop-out. Not my style, really. Challenges are there to be met!
Thanks for listening.
Yam, may it all work for the best. How appropriate your picture.
ReplyDeleteSorry about the lost of the queen. I feel sadness, even if we don't have monarchy.
ReplyDeleteCoffee is on and stay safe
we are sad too... and there is a feeling that more found an end than the life of a queen....
ReplyDeleteDear Yam-aunty - the silly part is that with all the infrastructure in place, the standing charges for electrical supply shouldn't need to escalate - just the electricity itself. It is frightening to think what energy will cost in the next 10 years. Here in Greece our 2-monthly bills are about Euro90 and that includes our property tax (the only way to get people to pay property tax was to link it to something they need, don't pay and your electricity gets disconnected.) Mind you we use neither aircon nor heating and have a sunpowered water heater which is all our hot wter for 9 months of the year. We will certainly have to rethink our life style when back in UK. xxx Mr T and F
ReplyDeleteHari OM
DeleteThat's exactly right, Tigger dear - and has been a big complaint point. There were no figures given out yesterday (a big event stopped any proper analysis), but the chances are that that seventy quid I mentioned will still manifest and who knows what the actual usage will turn out to be... sigh... Yxx
Hi Yam - it's a difficult time for so many and like you include me ... and now the new King will need to bring us all together somehow ... and thank goodness we've a change of Prime Minister ... at least the conversation is less bombastic and more down to earth. If the poor aren't properly looked after the people will insist they are ... take care - today will be interesting - with thoughts - Hilary
ReplyDeletePension is not keeping up with the CoL - this. So fed up of policymakers making policy for the affluent segments only.
ReplyDeleteThe Queen's passing feels momentous and a bit close somehow, no clue why. All the values she exemplified through her life are under assault worldwide. Take care.
I am sad to see the passing of your Queen and prayers for the new King to be able to do something to help with what you describe here. Sadly I doubt he will. We keep hoping our elected Presidents and congressman and senators will help and it gets worse and worse, the bills here are soaring higher and higher and we are, like you on a pension that is no where near a decent living wage with the inflation. I don't know how your pension compares to ours, but the only thing keeping us going is the fact there are two of us getting a check. the reason i was so upset about depleting our savings for the roof and repairs, is one of us will leave the other and the monthly drops to half. even with a home that is paid for, the expense is hight. our taxes are this year 1169.00 and if not paid they take the house. that means it is never paid for. our electric bill is 3 times what yours is, and ours is low compared to others. with only one check, the person left behind could not pay the 148.00 dollars a month for electric. I had no idea you are forced to pay the TV dollars.
ReplyDeletemy fears are the coming civil war that the USA is on the verge of, half the country agains the other half is already happening and getting more violent by the day. it is a sad world
Grocery shopping used to be fun...I love cooking and trying new recipes. Now I'm cooking more meals than can be used for two meals. Just this week store brand pasta went from 99 cents a 16 oz box to $1.39 a 16 oz box. This is a small item but if a standard pantry item is this expensive...proof positive of the crunch.
ReplyDeleteHugs
Cecilia
Prices are just out of control everywhere. It's got to get better soon! We were so sorry to hear about the Queen. She was a wonderful lady.
ReplyDeleteIt's so misguided and just plain ignorant to think that fracking can solve the nation's energy problems. Even leaving aside the climate change and environmental issues, there is the small matter of geology! I refer you to an article which, although five years old, is still relevant. Prof John Underhill, once a contemporary of mine at Bristol University, is one of the leading experts in UK and North Sea petroleum geology:
ReplyDeletehttps://www.theguardian.com/environment/2017/aug/17/uk-fracking-may-produce-less-fuel-than-claimed-says-geologist
Hari OM
DeleteYou preach to the converted! I was just astounded when I heard her actually mouth those words the other day... (there was the smallest of muttered caveats "where it is accepted" or something of the sort). Thanks for the link: reading that might need to be forwarded as reminder to dot gov dot UK!!! Now the gov get to shelve this again for the immediacy of other state matters... we traverse 'interesting times'. Yxx
You are good to share your circumstances, as many people have no understanding of what others face. It has been tough for so many, while CEOs get million dollar bonuses. I just shake my head.
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