Inflation destroys the buying power of those on fixed incomes. The poorest get hit the hardest. That’s People on the State Pension, people on Universal Credit, people on Working Tax Credit and people on Child Tax Credit. The headline figure of 10.1% as measured by the Consumer Prices Index is shocking, but don’t forget that inflation has been eating away at fixed incomes now for over twelve months, making the poorest even poorer. Many solutions have been mooted, such as “freeze energy prices”, and “universal assistance” with energy bills, but these are nothing more than weak and futile “schemes” designed to grandstand to the masses as in the twilight days of the Roman Empire. Sunak’s £400 “relief” pays £400 to the energy companies on behalf of every UK householder. People like Prince Charles and even Rishi Sunak have multiple properties and so get multiple £400 discounts on their energy bills. Sunak says “pay the cash to a charity”, but really, why not pay the money out using the existing benefits system? Too easy really for a towering intellect like Sunak.
Energy prices are contributing around 3% to the headline inflation rate, yet we hear of plans to give £26 billion directly to energy companies to freeze the price of a KWh of electricity at 29p. Obviously, Starmer and Ed Davey are way out of touch with poor folk in this country, because they obviously doesn’t know that 29p per KWh is unaffordable for those on fixed incomes. Why not give £29 billion to poor folk via the benefits system? Well, unfortunately, that idea comes with the risk that poor folk will buy food with their benefits and not pay their energy bills. Better that the poor skip a few meals rather than risk energy companies going bust. Why not call this policy “Heat not Eat”, it’s a very catchy soundbite, which is all most politicians care about these days. See you later, I’m just going to “eat out to help out”. Good luck if you’re on a fixed income, you’re going to need it.