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Households already owe £1.3bn to energy suppliers – even before winter bill hikes set in | UK News

Millions of UK homes are already in debt over their energy bills – with £1.3 billion owed, even before bills are set to soar by more than 80%.

The overall debt bill is already three times higher than it was a year ago, according to analysts at Uswitch, and it seems likely it will grow further over the winter.

Six million homes across the UK owe an average of £206 to their energy provider, according to a survey from the company. In April, the same average debt was £188.

Normally at this time of year, bill payers have accrued a ‘float’ over the warmer months, to help even out the increased bills during the winter.

Regulator Ofgem is expected to raise the price cap on energy bills to £3,582 per year for the average household in Great Britain from the beginning of October, according to a new forecast.

Analysts at Cornwall Insight have predicted further rises, to £4,266 in January and then £4,427 from the start of April.

“Energy debt has hit an all-time high with the worst possible timing, turning this winter’s energy price hike into a deeply precarious situation for many households,” said Justina Miltienyte, head of policy at Uswitch.

“This is an alarming situation, as summer is traditionally a time when households are using less power for heating, which helps bill payers to build up energy credit ahead of the winter.”

Energy bills have become the major focus of the Tory leadership campaign.

Candidates Rishi Sunak and Liz Truss take part in the BBC Conservative party leadership debate at Victoria Hall in Hanley, Stoke-on-Trent, Britain, July 25, 2022. Jacob King/Pool via REUTERS
Image:
Sunak and Truss have been told to cooperate over dealing with the energy bill crisis

On Tuesday, Money Saving Expert’s Martin Lewis called on Liz Truss and Rishi Sunak to bury their differences to tackle the problem together, warning the country was facing a “national cataclysm”.

He said the “zombie government needs to wake up sooner than 5 September”, when the new Tory leader and prime minister will be announced, as the new bill predictions are “unaffordable for millions”.

Tony Danker, head of the CBI, also called for both to get in a room together to sort the issue out.

Uswitch’s survey showed eight million households have no credit balances, meaning they have no cushion against the winter misery.

Nearly one in five people (18%) said they are worried about their supplier forcing them to take a prepayment meter if they fall behind on bills, although 38% said they did not know their supplier could do this.

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“If you are behind on your bill payments, or your energy account is going into debt, speak to your provider as soon as possible,” Ms Miltienyte said.

“They should be able to help you find a solution, such as working out a more affordable payment plan. You may also find you are eligible for additional support, such as hardship funds and other energy help schemes.

“The government also needs to take energy debt seriously ahead of the winter – and a greater support package for vulnerable households needs to be agreed as a priority.”

Hampshire residents feeling brunt of tinder-dry heatwave conditions | UK News

In Hampshire, locals and businesses are feeling the brunt of the tinder-dry conditions last month’s heatwave left behind.

While they’ve been adapting to the parched conditions, there’s growing concerns over the heatwave arriving this week.

We visited Odiham, one of Britain’s driest villages, where residents haven’t seen a drop of rain in the last month.

Driving through the area, it’s clear just how parched it is – each corner brings more dry and shrivelled foliage and shrubs.

These conditions are something Odiham and Greywell Cricket Club are getting increasingly worried about.

They currently spend anywhere up to five hours watering their pitch everyday – if they don’t, it’s just not safe for play to go ahead.

With an upcoming tournament on Saturday – when temperatures are expected to peak – it’s all hands on deck to make sure the wicket remains green.

Are they worried about a hosepipe ban?

At the moment they aren’t affected, but if rules around these are made more stringent, they fear they may face a situation where they have to make cutbacks.

They currently spend anywhere up to five hours watering their pitch everyday, if they don't, it's just not safe for play to go ahead

Four miles away, there’s yet another business feeling the strain.

Based in Ewshot, Peacocks Nursery is struggling to keep up with the hot weather.

Peacocks Nursery is struggling to keep up with the hot weather
Image:
Peacocks Nursery is struggling to keep up with the hot weather

Keeping their plants alive is essential to business, but it’s a mammoth operation keeping them watered.

The plants are based around three greenhouses, and manager Rachel tells me after getting through each one, they need watering again within an hour.

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Water chiefs are preparing for drought

It means they’ve got more hands on deck, from morning through to evening, to ensure that business can keep ticking.

But they have major concerns around this heatwave.

They say temperatures in the area are forecast to be higher than those that were seen in July.

On top of that, with the extreme heat being more prolonged than last month, they think this heatwave could be even more costly.

Felixstowe port strike to go ahead after talks break down | Business News

An eight-day strike at the UK’s biggest container port will go ahead after talks between bosses and unions broke down.

More than 1,900 members of Unite will strike from Sunday 21 August until Monday 29 August, unhappy with the 7% pay rise offered by Felixstowe Dock and Railway Company following a 1.4% increase last year.

A spokesman for the port authority said: “We are disappointed and regret that, despite our best efforts, we have still been unable to reach an agreement with the hourly branch of Unite.

“During talks yesterday the port further improved its position, offering a £500 lump sum in addition to 7%.

“The staff branch of Unite and the Police Federation of Felixstowe Dock and Railway Company have agreed to put a similar offer to their members.

“In contrast, the hourly branch of Unite has again rejected the port’s improved position and refused to put it to its members.

“We urge them to consult their members on the latest offer as soon as possible. There will be no winners from a strike which will only result in their members losing money they would otherwise have earned.

“Our focus has been to find a solution that works for our employees and protects the future success of the port. The union has rejected the company’s offer to meet again.”

Read more:
Who is going on strike this month and when

Unite national officer Robert Morton said: “Felixstowe docks is massively profitable. In 2020 alone, it raked in £61m in pre-tax profits and paid dividends of £99m.

“It can afford to put forward a reasonable pay offer to our members but once again has chosen not to.

“That decision was driven by greed not need. Unite’s door remains open for further talks but strike action will go ahead unless the company tables an offer that our members can accept.”

Almost half of the UK’s container traffic comes through Felixstowe and Unite said the action would hit supply chains, the logistics and haulage sectors, as well as international maritime trade.

It is the latest round of industrial action by workers pushing for pay to keep up with the rising cost of living.

Retail sales boosted by warm weather but inflation worries loom | Business News

The summer heatwave prompted shoppers to spend more on summer clothes, picnic food and air conditioning in July, according to the latest figures.

The British Retail Consortium said the value of total sales was 2.3% higher last month than it was in July 2021 – good news for retailers after falls in each of the previous three months.

Like-for-like sales were up 1.6% after four months of falls.

But the figures are not adjusted for inflation and the consortium said they represented a fall in volume terms.

Inflation hit a 40-year high of 9.4% in June, and July’s figures will be revealed later this month.

Helen Dickinson, chief executive of the BRC, said that, with inflation over 9%, many retailers were still contending with falling sales volumes during what “remains an incredibly difficult trading period”.

“Consumer confidence remains weak, and the rise in interest rates coupled with talk of recession will do little to improve the situation,” she added.

Overall sales of non-food items, such as homeware, declined by 2% in the latest quarter.

Read more:
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Two indicators slowdown already under way after Bank of England warns of 15-month recession

Sales of non-food products from stores were up 2% in the three-month period, but online sales were down 3.9%, reversing the trend seen during the COVID-19 lockdowns.

Paul Martin, UK head of retail at KPMG, said: “The summer could be the lull before the storm with conditions set to get tougher as consumers arrive back from summer breaks to holiday credit card bills, another energy price hike and rising interest rates.

“With stronger cost-of-living headwinds on the horizon, consumers will have to prioritise essentials, and discretionary product spending will come under pressure.”

Consumer spending was up 7.7% in July compared to a year earlier, figures from Barclaycard showed, boosted by sales of clothing, beauty products and staycations.

But it also included a 44% leap in spending on utilities and a 30% leap in fuel.

Households are cutting back on overseas travel and dining out but Barclaycard said that its survey showed confidence in household finances.

Some 66% of survey respondents said they felt confident about their household finances, compared to 59% in June.

Jose Carvalho, head of consumer products at Barclaycard, said: “This shows that, faced with difficult circumstances, many are finding ways to budget and manage their finances successfully, to cope with ongoing inflationary pressures.”

Ozzy Osbourne stuns crowd in surprise Commonwealth Games appearance | UK News

Rock legend Ozzy Osbourne made a surprise appearance onstage in his home city of Birmingham to close out the 2022 Commonwealth Games – just weeks after undergoing “life-altering” surgery.

The Aston-born musician, 73, was joined by members of his band Black Sabbath for the firework-fuelled performance of their hit song Paranoid.

“Come on, let’s go crazy,” Osbourne told crowd, as the band played the famous chords to Iron Man.

Wrapping up the short performance, he added: “Thank you, good night, you are the best, God bless you all – Birmingham forever.”

Osbourne was diagnosed with Parkinson’s disease in 2019.

And in June he was discharged from a Los Angeles hospital after undergoing what his wife Sharon called “a major operation” that would “determine the rest of his life”.

The rocker has also been dealing with the impact of a 2003 quad biking accident.

More on Commonwealth Games 2022

Earlier in the ceremony, notorious fictional crime gang the Peaky Blinders took centre stage as part of a celebration of the musical heritage of the West Midlands.

Ozzy Osbourne performs on stage during the Closing Ceremony for the 2022 Commonwealth Games at the Alexander Stadium in Birmingham

The international competition came to an end on Monday night after 11 days of sporting action.

The ceremony, held at the Alexander Stadium in Birmingham, saw performances from artists including UB40, Beverley Knight, Dexys Midnight Runners, Goldie, The Selecter and Jorja Smith.

Mercury Prize-nominee Laura Mvula, 36, also gave a special performance of a newly commissioned track inspired by Nick Cave’s Red Right Hand, the theme song to Peaky Blinders.

2022 has seen the most successful Commonwealth Games ever for the home nations, with a combined total of 275 medals, including 85 golds.

England led the way with 57 golds, behind only Australia in the medal table, and 176 in total, while Northern Ireland set national records and Scotland and Wales also thrived.

Fireworks go off as Ozzy Osbourne performs on stage during the Closing Ceremony for the 2022 Commonwealth Games at the Alexander Stadium in Birmingham

The Duke of Wessex officially closed the ceremony, saying: “Every four years, we endeavour to come together to celebrate our Commonwealth through sport.

“Thanks to the manner, style and enthusiasm with which you have competed, officiated, supported, organised and volunteered, you have, once again, brought the spirit and values of the Commonwealth to life.

“You have inspired us and hopefully future generations. You have also demonstrated what unites us. Thank you, Birmingham.”

Pensioner Shelagh Robertson on trial over careless driving death of five-month-old Louis Thorold ‘had undiagnosed Alzheimer’s’ | UK News

A pensioner accused of causing the death of a baby boy by careless driving will say she had undiagnosed Alzheimer’s disease at the time and will mount a defence of insanity, a court has heard.

Shelagh Robertson, 75, was driving home from shopping at Tesco when she turned into the path of an oncoming van on the A10 at Waterbeach in Cambridgeshire on 22 January last year, forcing the van on to the pavement, Cambridge Crown Court heard.

The van hit five-month-old Louis Thorold and his mother Rachael Thorold, killing him and throwing Mrs Thorold into the air and causing her serious injuries.

Another driver who witnessed the crash, Kaye Lewis, said in a statement read in court that the van driver was “fighting the steering wheel but the van just kept going towards the pavement”.

She said she remembered seeing the “absolute terror” on Mrs Thorold’s face when she saw the van before she was “thrown 15ft in the air then landed”.

“I saw the pram just disintegrate into pieces and go under the van,” she added.

Robertson, of Stables Yard, Waterbeach, denies causing the baby boy’s death by careless driving.

James Leonard, defending, told the court it was “agreed by any reasonable objective test the way Mrs Robertson drove on the day of the accident fell below the standard to be expected from a reasonable, competent driver”.

“The issue in this case is whether or not Mrs Robertson was suffering from insanity as it’s recognised by law,” he said.

“The defence case is that Mrs Robertson had undiagnosed atypical Alzheimer’s disease both before the accident and on the day, and that’s what will lead to the conclusion that the defence of insanity is made out.”

Shelagh Robertson arrives at Cambridge Crown Court where she is charged with causing the death of five-month-old Louis Thorold by careless driving following a crash on the A10 in Waterbeach, Cambridgeshire on January 22, 2021. Picture date: Monday August 8, 2022.
Image:
Robertson arrives at Cambridge Crown Court

Mark Bishop, the judge, told the jury of nine women and three men that for a defence of insanity to succeed they must be persuaded Robertson was suffering from atypical Alzheimer’s disease at the time of the crash and that “as a result of that disease she experienced disrupted thinking”.

He said the disrupted thinking could either be that as she drove the car she “didn’t know what she was doing” or that she “didn’t know that what she was doing was wrong by the standards of reasonable people”.

David Matthew, for the prosecution, said Robertson had turned right and driven her Mazda 2 car into the path of an oncoming Renault van that was travelling south along the A10 at the junction with Car Dyke Road.

“The impact forced the van on to the pavement,” he said.

“Walking along the pavement towards the van were Rachael Thorold and pushing in front of her five-month-old son Louis in a pushchair.

“The van went over them.”

Chris and Rachael Thorold, parents of baby Louis, arrive at Cambridge Crown Court, where Shelagh Robertson, is charged with causing death by careless driving, following the death of five-month-old Louis Thorold
Image:
Chris and Rachael Thorold, parents of baby Louis, arrive at court

Mr Matthew said the van was driven by delivery driver Andrew Freestone, whom he described as a “careful and professional driver”.

He said the incident was captured by dashcam footage and Mr Freestone was driving “properly, sensibly and within the speed limit”, which at the time was 50mph.

Mr Matthew said Mr Freestone “tried to steer to his right” to avoid a collision.

“He saw the pushchair, heard thumps, saw the woman with the pushchair go up in the air,” he said.

He said of Robertson: “Obviously a competent and careful driver doesn’t drive into the path of oncoming traffic which has the right of way without looking.”

Mr Matthew said a witness had spoken to Robertson after the crash as she sat in the back of another car and that she told them: “I just didn’t see him coming.”

Another witness described Robertson as “alert, agile” and “able to scoot across the Mazda and leave by the passenger door” after the crash.

Louis was pronounced dead on arrival at hospital, Mr Matthew said.

PC Matthew Bill, of Cambridgeshire Police, said Mr Freestone had “less than half a second” to react to the car pulling out of a filter lane and across his path.

The trial, which is due to last less than a week, continues.

Boris Johnson will not intervene in cost of living crisis as that is ‘for future prime minister’ | Politics News

Downing Street has rejected calls for Boris Johnson to summon an emergency COBRA meeting to deal with the cost of living crisis.

Gordon Brown, the former Labour prime minister, has called for Mr Johnson to meet with his two potential successors and thrash out a financial package of measures before energy bills soar in October.

He said people will go cold and hungry this winter if urgent action isn’t taken now, telling Sky News he was seeing poverty in his hometown in Fife “that I did not expect to see ever again in my lifetime“.

Politics Hub: Brown slams ‘vacuum’ at heart of government

But the prime minister’s spokesman said that although the government recognises the challenges facing struggling households, “by convention it is not for this prime minister to make major fiscal interventions during this period. It will be for a future prime minister.”

He also defended Mr Johnson for going on holiday as the Bank of England warned of a looming recession, saying the public understand it’s “not unusual for ministers to take time off during recess”.

Mr Johnson and Chancellor Nadhim Zahawi faced criticism for being missing in action amid grim forecasts that the UK is heading for the worst financial crisis since the 2008 crash, with interests rates soaring to their highest level in 27 years.

The PM’s spokesperson said Mr Johnson – who is now back in No 10 after his holiday in Slovenia – had spoken to Mr Zahawi while on his break to discuss measures that will be coming in this year.

He suggested Mr Johnson had no plans to sit down with Liz Truss or Rishi Sunak, saying: “Both candidates have spoken about new things they would introduce.”

(left to right) Prime Minister Boris Johnson, Chancellor of the Exchequer Nadhim Zahawi, and Work and Pensions Secretary Therese Coffey, during a Cabinet meeting at 10 Downing Street, London. Picture date: Tuesday July 19, 2022.
Image:
Boris Johnson and Nadhim Zahawi have been criticised for doing nothing in the face of a grim economic forecast

Ms Truss has pledged to reverse the national insurance tax rise immediately if she becomes prime minister, while Mr Sunak has promised a VAT cut on energy bills.

Neither have ruled out further direct support for families struggling with mounting energy bills, which are expected to climb to nearly £4,000 a year from January as gas prices continue to push upward.

However, Mr Brown said new measures cannot wait as he criticised their “obsession” with tax cuts.

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Mr Brown set out his own vision for dealing with the cost of living crisis, including changing the windfall tax, a cap on energy bills and reforming the benefits system.

He branded the Tory party’s windfall tax “stupid”, claiming the opt-outs included in the tax brought forward when Mr Sunak was chancellor reduced the value of the tax from £15bn to £5bn.

Ms Truss and Mr Sunak continue to clash over their plans for the economy.

Mr Sunak launched a fresh attack on his opponent’s plan for tax cuts in an emergency budget, describing it as a “big bung” for large businesses and the better-off that would do little to help those most in need over the coming winter.

Northern Ireland Secretary Brandon Lewis – who is backing Ms Truss, the foreign secretary – said they would look to do “whatever we can” to help people under pressure from rising inflation.

“She’s willing to do more to help people but her focus is around doing it in a way that puts more money in people’s pockets, creating a high-growth economy with higher wages, more people in work,” he said.

“So rather than having handouts, what we do is have a low-tax economy that’s driving growth and therefore with people having more money in their pockets, they’re better placed to deal with some of the challenges that we see.”

Commonwealth Games 2022: England’s women miss out on dramatic 4x400m relay gold after disqualification | UK News

England’s women missed out on a 4x400m Commonwealth relay gold which ended with a dramatic photo finish.

Victoria Ohuruogu, Jodie Williams, Ama Pipi and Jessie Knight appeared to have secured victory by a thousandth of a second ahead of Canada in the final event at the Alexander Stadium in Birmingham on Sunday.

But while the crowd erupted in celebration, officials were examining footage of the race and spotted a lane infringement.

Williams and Ohuruogu stepped out of their lane during the handover for the second leg.

England's Jodie Williams steps out of lane during the race

Team England Athletics did not appeal the decision.

After reviewing the footage they said that there was an acceptance that an appeal would have had no grounds.

As a result, Canada were upgraded to the gold medal, Jamaica took silver and Team Scotland won the bronze.

More on Commonwealth Games 2022

It meant heartbreak for the English quartet, who went from pure elation following Knight’s incredible dip on the line, to despair.

That news marked the end of day 10 of the competition.

There are 12 further medals to be won on the final day of the Games on Monday and the closing ceremony will round things off in the evening.

650 children – mostly black boys – strip-searched by Met Police in just two years, with some as young as 10 | UK News

Children are being strip-searched by the Metropolitan Police without an appropriate adult present in almost a quarter of cases, with black boys disproportionately targeted, new data shows.

The research, published by the children’s commissioner for England, revealed that officers from the force conducted intrusive searches on 650 young people aged 10 to 17 between 2018 and 2020.

It was commissioned following the case of Child Q – a 15-year-old black girl who was strip-searched at her school in east London without an appropriate adult present. She was wrongly suspected of carrying cannabis.

Children’s Commissioner Dame Rachel de Souza said that the case had been wrongly described as “a one-off”.

She explained: “In a strip search, your most intimate parts are searched. For any child, that’s going to be traumatic and concerning.”

It is a legal requirement for an appropriate adult to be present, except in urgent situations.

Of the 650 who were searched over the three years, 19 in every 20 were boys and 58% were described by the officer as being black.

More on Metropolitan Police

Katrina Ffrench, the founder director of Unjust UK, said she was “incredibly horrified” by the figures.

She added: “The numbers are so high because they demonstrate that there’s an issue within the Metropolitan Police and its treatment of black communities across London.

“Unfortunately, young black children are not afforded innocence and the same rights as their white peers.”

In 2018, more than two-thirds of those strip-searched without anyone else present were black boys.

Solicitor Kevin Donoghue has represented children elsewhere in the country who have been through the experience.

“The fallout for these children is very significant,” he said. “The common features and expressions given to me in handling these cases are one of personal intrusion.

“There is a violation by police officers which is very severely felt and one of personal integrity and their bodily autonomy which has been invaded and it is an event which cannot be undone.

“An apology is not enough. Compensation is not enough.”

In the Child Q case, four officers are being investigated for gross misconduct and a serious case review has been carried out.

The Metropolitan Police said in a statement that it is “progressing at pace” to ensure children subject to intrusive searches are dealt with respectfully.

And new measures have been introduced requiring an inspector to give authority before a search takes place.

It added: “We have ensured our officers and staff have a refreshed understanding of the policy for conducting a ‘further search’, particularly around the requirement for an appropriate adult to be present.

“We have also given officers advice around dealing with schools, ensuring that children are treated as children and considering safeguarding for those under 18.”

In more than half of all child strip searches, no further action was taken.

It’s left the Children’s Commissioner questioning why so many are carried out in the first place.

She’s also concerned about “holes in the data” recorded by the Met Police.

“For about one in five of the strip-searched, they can’t even tell me where they took place, so the data collection needs to be better.”

Cost of living: People fear ‘awful winter’ as bills continue to rise | UK News

If people are struggling to pay their bills now – during a hot summer – how much worse will it be in the winter when homes need to be heated?

From the stories Sky News viewers have been telling, it is clear that as soon as temperatures begin to drop, the crisis will worsen significantly.

After bills, one viewer said he and his partner are left with “£3 for three weeks to live on”.

Another said he and his family are reducing the amount of food they buy, not travelling to see family members, and limiting the children to one hour on the TV or computer.

Keith Ashworth, 66, from Nottingham, is fuelling his years old Land Rover with vegetable oil because diesel is so expensive.

“I was hoping to go part-time fairly soon – but I don’t think that’s going to happen. I’m working really just to make ends meet,” he said.

At the end of the month, there is “very little left – sometimes nothing left”.

He and his husband Daryl are collecting “scraps of wood” to use in their wood burner in the winter and considering selling the static caravan they own in the Peak District where they go for a break.

“There’s no light at the end of the tunnel – it’s just going up and up and up,” Keith added.

Daryl and Keith Ashworth say they are 'counting the pennies'
Image:
Daryl and Keith Ashworth are ‘counting the pennies’

Tracey Blanc, from Clitheroe, emailed about how her energy costs had risen ten-fold in a month. She sent a copy of her bill showing £58 was taken by direct debit on 1 July, while on 1 August it was £611.

Viewer Melanie texted about her hours at work, which had been reduced, and said as she was also unable to find a new lodger, she had ended up draining her savings.

She is now working three jobs, including nights and weekends.

“It’s going to be an awful winter,” Susan Pilkington said.

‘I’ve never been more afraid in my life’

A carer who has been unable to work for eight years, Susan, said she has “never been more afraid in (her) life”.

Her energy bills have “doubled” and she has asked her supplier to remove her gas meter because she “can’t afford the standing charge never mind the gas itself”.

Read more:
Sixteen million people cut back on food and essentials
Child poverty in key worker households is increasing, study suggests

Viewer Simon texted to say he wants to take his children on holiday, but only has 52p left in his account.

Kev, 50, texted to say he lives alone in a one-bedroom flat and claims Universal Credit.

“I’ve had to stop paying my water bill and TV licence just to survive,” he said.

“All my money is for rent and electricity bill.”

Glenn took aim at fuel and utility companies making large profits, saying the cost of living crisis is being driven by “greed and bonuses”.

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Julie Martinez emailed to say she works as a health care assistant on a psychiatric ward doing 13-hour shifts and is getting into debt on her credit card for using the money to pay for her petrol to get to work.

“I have no money left over at the end of the month, and I am struggling to feed myself,” she said.

“I feed my dog before I feed me.

“I feel at breaking point. Something has to give or people are going to end up homeless.”