UK Government Borrowing Surges on Record February Energy Bills Support
The Office for National Statistics has reported that public borrowing in the UK reached its highest-ever February-level due to substantial spending on energy support schemes.
The government borrowed £16.7 billion in February alone, up £9.7 billion on last year.
The unexpected rise was largely due to government support and funding for energy bills support, which has now reached about £34 billion since it was put in place last October to help households and businesses cope with high gas and electricity bills.
Universal Credit leaves UK family with tenner to live on
A mother-of-three has spoken about the constant struggle she faces relying on Universal credit to keep her family fed and warm.
Paris Cambridge, 29, and her husband have been impacted by the Cost of Living crisis, leaving them struggling at times.
The family could be down to their "last tenner" when hit with an unexpected bill.
UK Government delays decision on state pension age rise
The UK Government has reportedly postponed plans to increase the state pension age until after the next general election due to fears of a backlash from middle-aged voters.
The state pension age, which is currently 66, was due to rise to 68 between 2037-2039.
However, concerns about UK life expectancy rates have made the government pause the decision.
The tax rules for pensions have also been relaxed for wealthy individuals by Chancellor Jeremy Hunt, which has created concerns about fairness among taxpayers.
Labour urges MPs to reject government's pensions tax plan
Labour has criticised Chancellor Jeremy Hunt's pensions tax overhaul, calling it "the wrong priority, at the wrong time, for the wrong people".
The change removes the tax-free limit on pensions savings, leading to concerns that it will primarily benefit the wealthy.
Critics of the move warn that it will incentivise pension savers to put more of their retirement benefits into risky investments.
The change leads the way among several controversial elements of Mr Hunt's budget, which has already faced significant criticism.
Even the most doting mother thinks: What if?
Honestly, who would be a mother? This might seem a clanger of a question to ask today of all days, as British mothers eat their one breakfast in bed of the year, supermarket-bought daffodils lying damply on the duvet, dutiful-but-adoring cards from childr
Keir Starmer pledges to scrap tax benefits of his own pension
Sir Keir Starmer has been accused of hypocrisy after revelations about his tax-free pension deal.
He has been accused of benefiting from a generous "tax-unregistered" scheme from his time as director of public prosecutions (DPP).
In response, Starmer has pledged to scrap tax benefits of his own pension after describing plans to scrap lifetime pensions savings as hurting "ordinary workers".
Various media sources have characterised Starmer's position in different ways.
UK workers face £11,000 annual wage loss due to 15-year stagnation
UK workers have encountered wage stagnation that has persisted for 15 years, resulting in an £11,000 yearly loss for every employee.
A recent report from the Resolution Foundation suggests that the average worker has experienced a loss of thousands of pounds yearly since 2008.
The Foundation also discovered that the UK has trailed behind similar economies, such as Germany.
Meanwhile, the Treasury argues that the British economy is more resistant than previously anticipated.
UK households struggle with soaring energy bills as government prepares support plan
As energy prices continue to rise, millions of UK households are struggling to keep up with their bills.
However, government support measures such as the Energy Price Guarantee and the Warm Home Discount are in place to assist those in need.
It can be difficult to keep track of the various initiatives and their deadlines.
Nuclear power plants face perilous situations due to geopolitical tensions
Several international developments related to nuclear power plants have emerged this week amidst rising geopolitical tensions.
Europe's largest nuclear power plant, Zaporizhzhia in Ukraine, remains perilous after a Russian missile strike disconnected the plant from the grid.
The plant operates the pumps that circulate water to cool reactors and pools holding nuclear fuel, and it currently relies on a single backup power line that remains disconnected and under repair.
Meanwhile, campaigners have claimed that the UK government's backing of the Sizewell C nuclear power plant plan was 'unlawful' due to its failure to assess possible environmental impacts.
Former Russian President Dmitry Medvedev suggested that the West will attempt to break Russia up into smaller and weaker states and noted that he saw no prospects for reviving Russia's ties with the West in the near future.
Council tax average bills to hit £2,065 in April with £99 rise - in your area
Households in England will see their bills rise on April 1 as most cash-strapped local authorities announce plans to hike council tax to the maximum level to plug black holes in their finances
Boris Johnson's era comes to an end
The Mirror article characterizes the Boris era as divisive and negative, and claims that the country is better off without it.
UK Housing Market Shows Signs of Stabilization
The UK housing market has shown signs of stabilizing this month according to reports by Rightmove and financial news outlets.
Despite higher mortgage rates and economic uncertainty, the average asking price for homes on the market rose by 0.8% in March to £365,357, reflecting a more stable market than expected.
According to Rightmove, the market is recovering from a spike in borrowing costs at the end of last year, caused by policies put forward by former Prime Minister Liz Truss and Chancellor Kwasi Kwarteng.
Financial news outlet, The Guardian, highlights that UK's underwhelming economic performance and historically high mortgage rates have prompted forecasts of a 10% fall in prices this year, though this does not seem to be reflected in the March figures.
Bank of England Raises Interest Rates to 4.25%
The Bank of England has raised interest rates to 4.25% from 4% after policymakers on the Bank's nine-strong Monetary Policy Committee (MPC) voted seven to two for the quarter point rise following a surprise jump in inflation last month.
The decision marks the 11th time in a row the Bank has hiked interest rates.
The body also gave a surprise upgrade to its forecast for the UK economy, stating slight growth in the second quarter of the year, predicted to decline by 0.4% last month.
The head of the Bank, Andrew Bailey, urged businesses to understand that raising prices will lead to the need for further interest rate hikes.
Chancellor Jeremy Hunt supported the Bank's move.
Derby named as headquarters of Great British Railways
The UK government has confirmed that Derby will be the headquarters of the Great British Railways (GBR) public sector body, which will take over the rail infrastructure, procure passenger services and set most fares and timetables.
The Department for Transport announced that Derby was chosen after winning a public vote and a government assessment process against five other shortlisted locations in the Midlands and northern England.
Kwasi Kwarteng praises Jeremy Hunt's "good" Spring Budget but criticizes corporation tax hike
Kwasi Kwarteng, former chancellor, commented on Jeremy Hunt's Spring Budget saying that he had delivered a "good job" but criticized the increase in corporation tax although he had been sacked for this same reason earlier.
While The Independent sees Kwarteng as advocating for faster tax cuts along with criticizing the increase in corporation tax, The Guardian argues that the newly appointed Chancellor was not able to make up for the years of underinvestment due to a decade of austerity.
The Telegraph agrees with Kwarteng's opinion on the Spring Budget being good but highlights the corporation tax hike and how he and Liz Truss "got it wrong" earlier.
Keir Starmer's Pension Worth Up to £700k Not Subject to Normal Tax Rules
Labour leader Sir Keir Starmer has a unique pension worth up to £700,000, which is not affected by normal tax rules.
The special pension fund was designed for him when he was the Director of Public Prosecutions (DPP), working in a similar way to judges' pensions, which means any money accrued in the fund does not count for the lifetime allowance on pension savings.
Last week, chancellor Jeremy Hunt abolished the lifetime allowance on pensions, which previously stood at £1,073,100.
NHS Offers 18% Pay Rise to End Strikes
NHS staff have been offered a pay increase of up to 18% as part of a £2.5bn package aimed at ending strikes.
The deal would provide a minimum 5% increase for the next financial year, with a 10.4% rise for the lowest paid staff.
The package would also include one-off bonus payments of between £1,600 and £3,800 for the current financial year.
The deal has already been backed by both unions and ministers.
Ageing population and healthcare innovation drive up costs
The BBC News warns of the difficult years ahead for public finances as the ageing population will demand greater healthcare services, which will become ever cleverer and more expensive.
The birth rate remains low with fewer people coming into the workforce to generate taxation revenue plummeting, making it harder to pay for the increased demand.
£14bn needed to fix poor condition and potholes on UK roads
A new report suggests shortfalls in council pothole repair budgets in England and Wales have reached a record high, with the gap between what local authorities received and what they would need to keep roads to their own target conditions costing £1.3bn.
The Annual Local Authority Road Maintenance (ALARM) survey by the Asphalt Industry Alliance (AIA) says nearly 37,000 miles of road - almost one in five - are in poor condition and have less than five years of life remaining.
The one-time cost of bringing all local roads up to scratch is estimated at £14bn and would take 11 years to complete.
Jeremy Hunt’s pensions tax break benefits high-paid employees in the finance industry as well as doctors
The British government is under renewed pressure over the £1bn pensions tax break scheme because of increasing concerns that it will largely profit high-paid savers, with about 20% of those likely to benefit being in the finance industry.
The scheme, which deletes the £1.1m limit of tax-free lifetime allowance on pensions, was designed to reduce NHS waiting lists by encouraging senior medical staff to continue working rather than retire.
However, critics argue that there is little evidence that the measure would increase staff, and that the government is prioritizing the highest-paid workers.
UK Pensions tax cut 'will keep senior doctors and police officers at work'
The tax-free limit on pension savings has been abolished by Chancellor Jeremy Hunt; the previous cap was £1.07m on pensions savings.
This move is claimed to encourage senior doctors, teachers and police officers to work longer, which will help tackle waiting lists and crime rates.
Senior Cabinet Officer, Oliver Dowden, defended the decision and has suggested that this action will provide positive impacts on the economy.
It is estimated that this could increase the workforce by 15,000 people in the public sector over the next five years.
Home Secretary’s plan to deport migrants to Rwanda to restart this summer
Home Secretary Suella Braverman's plan to deport migrants to Rwanda has been reported by several newspapers.
Though no migrants have been relocated to the country since the deal was signed in April 2020, Braverman reportedly plans to get flights up and running by this summer.
The story has caused controversy, with some organisations calling the policy "inhumane" and "outrageous.
" Braverman has argued that the policy is "firm but fair."
UK Government's decision to scrap work assessment test met with mixed reactions
The UK Government has announced its decision to abolish the Workplace Capability Assessment (WCA), referring to it as a "cruel" test that diminished the dignity of the disabled community.
However, the government's efforts to simultaneously offer support for people who have health conditions or disabilities has been met with a mixed reaction.
While the government's vision to "focus on what people can do" and "support people into work" has been applauded, some remain concerned that the new changes may have adverse effects.
UK economy to perform worst in G20 apart from Russia, OECD reports
The Organisation for Economic Co-operation and Development (OECD) has warned that the UK economy will be the only nation within the G20 to experience shrinkage this year, with Brexit concerns and high inflation to blame.
Its half-yearly outlook predicted the economy would contract by 0.2% in 2022, before growing by 0.9% in 2023—the worst forecast of any G20 country except for Russia.
The report attributed Germany's 0.3% contraction this year to dependence on Russian gas and global raw material shortages, with the country expected to follow UK growth figures with 0.3% next year.
Mexico, Indonesia, South Korea, the US and the European Union are all forecast to outstrip the UK's economic recovery.
Rishi Sunak's shift in focus to tackle multiple issues
Chancellor Rishi Sunak has been tackling a range of issues affecting his premiership, including Brexit, migrant crossings, and strikes.
Talks with teachers are scheduled for today, and discussions with junior doctors are expected to take place next week, with a similar pay deal to that agreed with health unions yesterday being the focus of the talks.
However, there are concerns that the British Medical Association may not be willing to accept a compromise on the headline pay rise, given that they have suggested a 35% increase for members.
The situation with schools may also prove to be complex.