Cost of living - latest: Brits warned they won't save money this winter; those with credit advised to call energy suppliers (2023)

center point
  • New energy price cap set at £2,074 from July
  • What should you do now?
  • Jeremy Hunt won't rule out further energy aid
  • Bill payers warned they won't be saving money this winter
  • Rate forecasts have risen sharply in recent days|Ed Conway explains why and what it means
  • Who benefits from rising food prices?
  • Your dilemma:I'm paying off my dad's mortgage, how will I be officially included?
  • Budget Mom:save for your kids|Can Subscribing to Food Save You Money?|holiday expenses|Best Broadband Deals
  • Live reporting by Jess Sharp and Katie Williams


What is the impact of the new energy price limit on electric vehicle owners?

As we reported, a reduction in energy price caps was announced today, effective July 1.

This means the average household in England, Wales and Scotland will see their bill cut by £426.

So what does this mean for electric car owners, who will undoubtedly consume more power.

Well, the £1,206 reduction from £3,280 to £2,074 is good news for electric car drivers as it means anyone under standard domestic energy tariffs will pay less than £20 for a typical family car at home full charge.

Those with specific electricity rates and benefiting from cheap low-cost prices continue to benefit from better rates.

But for those who go beyond the range of their vehicles and rely on fast and ultra-fast chargers, the cost is much higher, RAC spokesman Rod Dennis said.

These charging points are subject to 20% VAT - 15% higher than the VAT on household electricity.

It is important to remember that energy price caps do not determine the maximum amount households will pay for their energy, but instead set a limit on how much a provider can charge per meter. per unit of gas or electricity, so people who consume more energy will pay more.


Octopus Energy to resume Saving Sessions program this winter

Smart meter customers using Octopus Energy are ready to save electricity again this winter.

The company plans to bring back its Saving Sessions program, which lets households switch from incandescent lights to candles to save on energy bills, in the winter of 2022-2023.

The program rewards customers for every unit of energy saved during peak periods.

Octopus said the program diverted 1.86 GWh (gigawatt-hours) of energy demand over 13 sessions — the equivalent of stopping 2 million washing machines.

Nearly 700,000 smart meter customers took part, donating £5.3 million. Paid to participants during the program.

It said the proceeds of more than £170,000 were donated by customers to an emergency fund set up by Octopus for struggling families.

The news comes after regulator Ofgem announced it would reduce energy price caps on household bills from July.

Octopus founder Greg Jackson said the move guaranteed that falling global energy costs would be passed on to consumers.

"But the cost is still double what it was before the crisis," he added.

"We will do everything we can to help our customers through this crisis and hope the government will continue to help those most in need."


Summer warns of 'travel chaos' as Edinburgh Airport staff strike again

Passengers could face "travel chaos" through the summer after workers at Edinburgh Airport voted to strike to resolve a wage dispute, unions have warned.

Unite voted to fire about 275 workers, including members who worked in security, terminal operations and search areas.

It said 85 per cent supported the union's action in response to a turnout of 75 per cent, and it is now calling on airport bosses to make a better offer to avoid "travel chaos" in the summer.

Read more from ourScottish journalist Jenness Mitchellshe...


Soft drink factory workers strike for wages

Hundreds of workers at a soda factory are on strike over wages.

United members at the Coca-Cola Europe Pacific Partner (CCEP) site in Wakefield will go on a series of strikes starting June 8.

Workers voted overwhelmingly for the union to take action on a wage proposal the union said was worth an average of 6 percent.

The 14-day strike will include three 48-hour strikes and two 96-hour strikes over a two-week period.

"Coca Cola Europacific Partners makes billions, but it drives down the wages of the workers who make them," said Unite secretary general Sharon Graham.


How new energy price caps will affect our bills

The pressure on energy prices will ease from July onwards, when we expect to see a difference in how much we pay to keep homes running.zaken correspondent Paul Kelsoparticipate.

Wholesale energy prices started to rise in late 2021, exacerbated by Russia's invasion of Ukraine last February.

High energy costs have made fuel deprivation a "mainstream experience" and "stretched the budgets of millions of households", Kelso said, despite the government mitigating the impact through the winter months through energy subsidy schemes.

But what happens in July?

Kelso explained that the cost for suppliers to procure energy has fallen to the lowest level since 2021, but customers won’t feel the reduction until this summer as companies pre-order supply.

While prices have stabilized, bills are still more than double what they were two years ago, he added.

Check out Kelso's full explanation of what today's energy price cap announcement means for our bills here...  


Heathrow security staff launch new pay strike

Security staff at Heathrow Airport have begun a three-day strike today over a pay dispute.

Unite members have launched 15 days of union action, including over the busy Easter period.

Heathrow said it had contingency plans in place to keep the airport open and operating normally, adding that passengers could expect a "smooth" flight.

Heathrow chief executive John Holland-Kaye said: "Passengers need not worry about Unite strikes during the holidays."

“These walkouts are simply unnecessary. When I talk to colleagues, the overwhelming message is that they just want to vote for our wage proposal, and Unite doesn’t allow that.”

Unite said security staff at Heathrow were paid less than those at other major airports in London and the South East.


Fuel prices drop this month - here's how much you'll spend at the pump

Fuel prices fell again last week after falling below 145p for the first time in 18 months.

According to RAC Fuel Watch, the average price of a liter of unleaded petrol is now 143.35p, down from 146.89p last month.

This means a typical 55-litre family car will now cost £78.84 to fill up.

Diesel prices were at 154.31p a liter, down from 161.06p in April, meaning a full tank of fuel for a similarly sized car would cost £84.87.

While prices have fallen steadily, RAC spokesman Rod Dennis said petrol costs "are likely to hit rock bottom in the coming weeks".

Saudi Arabia and other OPEC+ producers plan to cut oil output to about 1.16 million barrels per day, which Dennis said could raise gasoline prices "slightly".

For diesel, despite being cheaper wholesale than unleaded, it remained "overpriced" nationwide, he said.

Wholesale prices for both fuels are about the same as in previous months, but gasoline prices have risen to at least 5 cents a liter. Lift.


Smaller lenders are raising mortgages due to rate concerns

UK borrowing costs have risen in the past 48 hours, forcing smaller UK mortgage lenders to temporarily withdraw deals and review offers to new clients.

UK government bonds rose sharply yesterday and today (the most since last year's disastrous mini-budget) after inflation data showed that price increases were not slowing as quickly as hoped - leading to predictions that interest rates would have to rise again.

Central banks raise interest rates so people have less money to spend and more to save, which tends to keep inflation in check.

As Ed Conway explained in our post, with interest rates at 6.43, bank rates could peak at 5.5% this year - last week's forecast was 4.75%.

Now Reuters reports that at least seven smaller banks have withdrawn products or announced price reviews this week.

These lenders are primarily focused on the buy-to-let market — and none of them are big high street banks.


Auto production rises for third straight month

New data showed auto production rose for a third straight month as inventory shortages continued to ease.

A total of 66,527 vehicles were produced in April, nearly 6,000 more than a year earlier, according to the Society of Motor Manufacturers and Traders (SMMT).

Exports boosted production, which rose 14.7 percent to 54,820 vehicles, and more than four-fifths of the cars produced in the country are sold abroad.

The EU remains the most important global market, accounting for 58% of all exports, followed by the US, China and Australia.

Hybrid electric vehicles (HEV), plug-in hybrid electric vehicles (PHEV) and battery electric vehicles (BEV) account for more than one-third of total production.


Savings Offer of the Week

Geldfeitenvergelijken.nlExpert Rachel Springall reveals her savings deals of the week.

Chip - Instant Access Powered by ClearBank

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Minimum account opening amount: £1

Investec Bank plc – 1 Year Fixed Rate Savings

"With a payout ratio of 5.00%, this transaction enhances its industry standing among its peers and could be an attractive option for savers looking to lock up funds for a year for guaranteed returns."

Minimum account opening amount: £5,000

UBL UK – 1 Year Fixed Rate Cash ISA

“With a 4.35% payment at maturity, savers may find this an attractive option if they have not yet drawn on their ISA credit, but they should be happy with their initial investment as further increases are not allowed.”

Minimum account opening amount: £2,000

Gatehouse Bank - Easy Access Cash ISA

Savers looking for the flexibility to use ISA cash may find Gatehouse Bank's recent rate hike attractive. The deal now pays an expected win rate of 3.55%, boosting its place on the industry's top rate chart. The account provides monthly expected profits. Profit opportunities This can be attractive to savers looking to increase their income. "

Minimum account opening amount: £1

NatWest - 2 Year Fixed Rate ISA No. 323

"This week, NatWest raised rates on its 2-year fixed-rate ISA, now paying 4.50%. The deal stands out more prominently in its industry than its peers, and is likely to appeal to savers who plan to be able to use their tax-free ISA benefits. Savers who want to save money before 2025 can add more funds by a certain date, which may be interesting for those who have extra funds to invest or transfer.”

Minimum account opening amount: £1,000

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