Financial matters

[SteveH]

Budget: Pensions to get boost as tax-free limit to rise

The chancellor could also increase the ?40,000 annual cap on tax-free contributions to pensions, to ?60,000.

It is expected millions could benefit from the rise, including those who have worked in the public sector for many years. There has been a particular focus on doctors and consultants - some of whom have retired early or reduced hours for pension tax reasons as the NHS has become increasingly stretched.

cont https://www.bbc.co.uk/news/business-64949083

[SteveH]

What Spring Budget 2023 means for people and businesses in Wales
From alcohol duty to investments - these were the big announcements today

The main announcements     cont https://www.dailypost.co.uk/news/north-wales-news/what-spring-budget-2023-means-26480853

[SteveH]

Broadband firms urged to cancel ?excessive? mid-contract price hikes for vulnerable customers
Consumer watchdog Which? is calling on telecom companies to allow all customers to leave without penalty if they face mid-contract price rises

Less than two weeks before mid-contract price increases are set to take effect, broadband companies are being urged to cancel these "exorbitant" rises for vulnerable customers.

Starting from April, millions of broadband and mobile phone customers will face monthly bill hikes of at least 14 per cent. Typically, providers link their annual price increases to the consumer price index (CPI) or the retail price index (RPI), which have been recorded at 10.5 per cent and 13.4 per cent, respectively.

BT, EE, Plusnet, and Vodafone broadband contracts allow for price increases of CPI plus 3.9 per cent, while TalkTalk permits CPI plus 3.7 per cent and Shell Energy can add CPI plus 3 per cent. While Sky and Virgin Media contracts allow for mid-contract price hikes, they do not specify a pricing formula in the same manner as their competitors.

cont https://www.inyourarea.co.uk/news/broadband-firms-urged-to-cancel-exorbitant-mid-contract-price-hikes-for-vulnerable-customers/

[SteveH]

UK economy: When are you going to feel better off?

How politicians answer that big question sets the terms for the next election. The response is certainly not this week.

Prime Minister Rishi Sunak might have told MPs "we are halving inflation" but repeating that political slogan in the Commons doesn't make it true. In fact he was wrong - just as economic sages were mistaken.

Prices went up faster in February than in January - which came as a surprise to the experts. Interest rates edged up too and will make rent, mortgages and credit more expensive.

The message to workers, firms and families this week is bleak - your costs are going up but don't ask for a pay rise and don't put your prices up if you're a business.

cont https://www.bbc.co.uk/news/uk-politics-65075966

[SteveH]

Low-income households will receive the next set of cost-of-living payments between 25 April and 17 May, the Department for Work and Pensions (DWP) says.

The ?900 cash support for over eight million means-tested benefits claimants includes people on Universal Credit, Pension Credit and tax credits.

It will go directly to bank accounts in three payments, the DWP said.

More than six million people with disabilities will get an extra ?150.

Separately, over eight million pensioners will receive an extra ?300.

The three payments of up to ?900 will vary depending on eligibility.

It follows the two payments totalling ?650 which have already been made to more than eight million low-income households.

The first instalment of ?326 was paid between 14 and 31 July. The second instalment of ?324 should have reached those eligible by the end of December.

The payment reference on the recipients' bank accounts was their national insurance number, followed by "DWP COLP", as will be the case for the new payments.

cont https://www.bbc.co.uk/news/business-65066972

[SteveH]

Energy bills are higher in north Wales than anywhere else in the UK, according to a charity.

It comes as upcoming changes to how energy bills are paid in April could leave 7.5 million UK households in fuel poverty, said National Energy Action.

Its head in Wales said fixed daily charges in north Wales were over ?120 more a year than for those in the East Midlands, England.

Regulator Ofgem said it would keep standing charges under review.

A rise to standing charges for customers on prepayment meters and the end of energy bills support scheme payments means some lower income families' energy bills could rise by 40%.

Ben Saltmarsh, head of Wales at National Energy Action, told BBC Radio Wales Breakfast: "Energy standing charges are set to increase to a new record high, in fact in north Wales higher than anywhere else in Great Britain.

"Standing charges for pre-paid customers, often those on some of the lowest incomes and already in debt to their supplier, will hit over ?350 a year for duel fuel householders in south Wales."

cont https://www.bbc.co.uk/news/uk-wales-65134988

[SteveH]

Amid the ongoing disputes, strikes and financial struggles, Royal Mail has said that it will be increasing stamp prices from tomorrow, 3 April. The price of a first-class stamp will cost above ?1 for the first time in history, with its new 15p hike pushing its price to ?1.20p.

Similarly, second-class stamps will be 7p more expensive and cost 75p going forward. The delivery giant said the increases were necessary to ensure that their universal system, that delivers letters to any distance for the same cost, ?remains sustainable?.

cont https://www.dailypost.co.uk/news/cost-of-living/royal-mail-hikes-first-class-26615181

[SteveH]

Map of DWP cost of living payment shows how many in North Wales will get ?301 boost - including 15k in Conwy
Millions of struggling families and individuals will be entitled to the latest round of financial help from the Government

Over 15,000 households in Conwy will be entitled to the money

cont https://www.dailypost.co.uk/news/cost-of-living/map-dwp-cost-living-payment-26699101?IYA-reg=49560bcd-5a9c-47f0-8fc5-ba2e71710589

[Ian]

Millions of struggling families and individuals will be entitled to the latest round of financial help from the Government

Over 15,000 households in Conwy will be entitled to the money

If ever we needed a starker example of the difference between Tory and Labour behaviour it's this. The families will need to jump through hoops to 'prove' they qualify, yet Sir David Green, the Serious Fraud Office (SFO) director from 2012 to 2018, said, when referring to the worryingly high levels of Covid fraud during the government's early rush to look after their supporters, there had been warning signs that should have been picked up.

Parliament?s spending watchdog estimates fraud and error were likely to have cost the UK government as much as 16bn across the various Covid loan schemes, including those for small businesses.

[SteveH]

UK inflation: Food prices rise at fastest rate for 45 years

Soaring prices for bread, cereal and chocolate meant the cost of living rose more than expected last month.

Inflation, which measures the rate of price rises, fell to 10.1% in the year to March from 10.4% in February.

It was widely expected to fall below 10%, but food prices continued to soar, rising at their fastest rate in 45 years.

Falling inflation doesn't mean prices are falling, but just that the rate of price rises is slowing.

Grant Fitzner, chief economist for the Office for National Statistics, which provides the figures, said globally food prices were falling, but that had not yet led to price cuts.

"There's been some strong upward movement in food prices and you would expect to see that reflected in supermarkets but we're not there yet," he told BBC Radio 4's Today Programme.

cont https://www.bbc.co.uk/news/business-65312127

[SteveH]

Bumper BP profits of 4bn in three months spark criticism
Oil and gas giant BP has reported another set of strong results as energy prices remain high.

Profits hit $5bn (?4bn) in the first three months of the year, although this was down from $6.2bn last year with oil prices having fallen from the peak seen after Russia's invasion of Ukraine.

Bumper profits from energy firms have led to calls for them to pay more tax with households facing high bills.

cont https://www.bbc.co.uk/news/business-65453952


Food shop costs 'should start' to fall in next few months
The cost of a food shop "should start" to come down in the next few months, the body which represents UK supermarkets has claimed.

Supermarkets will start passing on cost savings for milk and other dairy goods due to cuts in wholesale prices, the British Retail Consortium (BRC) said.

It comes as new figures from the trade body revealed food prices were up 15.7% last month compared to April in 2022.

Last week, Sainsbury's rejected suggestions that prices were too high.

The denial came after questions over why a drop in the cost of wholesale food prices globally had not yet led to falls in the prices charged by UK supermarkets.

Helen Dickinson, chief executive of the BRC, said customers should "start to see food prices come down in the coming months as the cut to wholesale prices and other cost pressures filter through".

cont https://www.bbc.co.uk/news/business-65448642

[SteveH]

The increasing trend of banks moving online and closing branches is leaving older customers stranded, warns a charity.

While banks argue that the majority of customers are satisfied with digital banking, Age UK has revealed otherwise. According to them, one-third of individuals over the age of 65 either lack the necessary skills, do not trust online banking, or prefer face-to-face transactions.

In a recent survey commissioned by Age UK and conducted by Ipsos, involving over 1,000 individuals aged 65 and over across Britain in March and April, it was discovered that approximately 31 per cent of older individuals with a bank account expressed discomfort with online banking. The survey also revealed that nearly 39 per cent of older adults are not using online platforms to manage their finances.

cont https://www.inyourarea.co.uk/news/almost-third-of-over-65s-prefer-traditional-banking-over-online/

[SteveH]

Strikes and the cost of living weigh on UK growth

The UK grew only weakly in the first three months of the year with the economy hit by strikes, cost of living pressures and wet weather.

The economy grew by just 0.1% between January and March, figures showed, and it remains smaller than levels seen before the Covid pandemic.

The UK is also lagging behind growth seen in other major economies.

On Thursday, the Bank of England said it was more optimistic about prospects, and the UK would avoid a recession.

Its comments came after the Bank increased interest rates to 4.5% from 4.25% as part of its continued attempt to slow soaring price rises.

The ONS figures showed that while the economy grew slightly over the first three months of 2023, in March it contracted by 0.3%, with car sales and the retail sector having a bad month.

The economy is still 0.5% smaller than pre-pandemic levels, the ONS said.

cont https://www.bbc.co.uk/news/business-65562888

[SteveH]

Prices doubled in a year for some meat, yoghurt and veg says Which?
The consumer expert has urged the Prime Minister to intervene on behalf of struggling consumers as food inflation remains at 'shockingly high levels'

It has now urged Prime Minister Rishi Sunak to intervene on behalf of struggling consumers as its latest data shows food inflation remaining at ?shockingly high levels?. The figures come ahead of Tuesday?s Downing Street Farm to Fork Summit.

The meeting is bringing together farmers? representatives and food and retail trade bodies along with supermarket chiefs. The goal is to talk about the Government?s goal of boosting cooperation across the supply chain, the sector?s resilience and rampant food inflation.

cont https://www.walesonline.co.uk/news/cost-of-living/prices-doubled-year-meat-yoghurt-26919471?IYA-reg=49560bcd-5a9c-47f0-8fc5-ba2e71710589

[Robert2020]

Just another raise to deal with...but Conwy's 10% rate rise is just the beginning of more council tax increases... The Welsh government are currently doing a revaluation of all domestic properties in Wales....

https://www.bbc.co.uk/news/uk-wales-politics-65413210

I'm sure my home will cost even more in council tax from 2025 and conwy council will be looking to spend it on projects which we can all live without.