Cost of living crisis – it’s time to take action, says teachers’ union

Rocketing fuel and energy bills, forecasts of double-digit inflation, and rising interest rates mean misery for many families. And unless there is urgent action from Government, the situation is only going to get worse (writes NASUWT’s Dr. PATRICK ROACH).

Teachers and schools leaders do not need to be reminded of the stark effects of this crisis on their pupils and in their own lives. 

They see it every day in their schools and in their classrooms. 

Children whose parents find themselves in insecure jobs and are struggling to make ends meet. Many relying on food banks and struggling to pay their bills. Hungry pupils can’t concentrate on their learning and the knock-on effects on behaviour are making a challenging job even more stressful. 

Schools are struggling as they find themselves taking on more to try and support children, work which was often supported by local authorities but is no longer provided due to austerity. 

Teaching has become even more challenging because of deep cuts to school budgets, the loss of vital support for children and families and a crisis of teacher and headteacher recruitment and retention. 

Despite ministers’ promises to protect education, in the last decade education spending has fallen by 10%. And the salaries of teachers has fallen too – across the board, teachers’ pay has been slashed by at least 19% since 2010. 

Many teachers are relying on credit cards, overdrafts and some are even using the same foodbanks their pupils’ families rely on as well. Around one in ten teachers work second jobs and many more are worried about their financial situation. 

And in addition to the cost of living crisis, there is a wellbeing crisis caused by extreme workload pressures. 

However, at the Department for Education, ministers are presiding over a system where teachers and headteachers are at breaking point. Unless action is taken now, a desperate situation is set to become even worse. 

Already, one in three student teachers choose not to enter the profession after they’ve qualified because of the stress of the job and 40% of new teachers leave within five years. 

The latest data from our own ‘Big Question’ survey found that two-thirds of teachers are seriously considering quitting the profession – citing workload, wellbeing and pay as key reasons. 

More headteachers are leaving and fewer and fewer teachers are wanting to take their place. 

Perhaps not surprisingly, nine in ten teachers we surveyed report that their job has adversely impacted their mental health in the last year and a disturbing 3% have self-harmed and are experiencing a severe mental health crisis because of the job. 

And on top of that we have the growing problem of Long Covid which is a ticking time-bomb in our schools. 

That’s why the NASUWT is calling for A Better Deal For Teachers on workload, wellbeing and pay. 

As part of our campaign, we’re calling on the Government to recognise that a world-class education system needs highly motivated teachers working in world-class schools and colleges. 

To that end, we want to see: 

  • a substantial real-terms pay rise for every teacher,  
  • an enforceable contractual working time limit for teachers,  
  • the right to switch off and disconnect from work at the end of the day and at weekends,  
  • the ending of fire and rehire practices, 
  • banning zero-hours contracts,  
  • equal rights for supply teachers  
  • scrapping the link between performance and teachers’ pay,  
  • and safer workplaces underpinned by safe and respectful working practices. 

We will be highlighting these demands at the national demonstration that takes place in London on 18th June, where teachers and workers from across the public and private sectors will be demanding action on the cost of living crisis, a decent pay rise for workers and a better deal for all working people. 

It’s time for the Government to understand that the situation needs to change. Teachers are demanding change and so are parents and the general public.  

Spread the word: be there on June 18th – join us, join in, and help win a better deal for teachers. 

More information about the national demonstration can be found here. 

Rent in Scotland is increasing at £41 per month

Rental growth to highs not seen since the Global Financial Crisis

  • 6% strong annual rental growth in Scotland.
  • The proportion of gross earnings used for rent falls to 17.3% for dual renters in Edinburgh.
  • Rental demand is strongest in London, Scotland and Wales with demand levels more than 65% above the five-year average. London’s market is also one of the most constrained when it comes to stock levels, with homes available to rent at just over half the 5-year average, creating the conditions for the sharp rises in rents.
  • Average UK annual rental growth has reached a 14 year high (+11%), with rents increasing to £995 in Q1 2021, an extra £88 a month compared to the start of the pandemic 
  • On average, UK tenants are staying in their rental properties for an extra five months compared to five years ago, with the average tenancy length up to 75 weeks, from 51 weeks at the start of 2017. 

The highest rental growth since the Global Financial Crisis, coupled with the cost of living crisis, is putting increased pressure on renters – according to Zoopla, the UK’s leading property destination, in its quarterly Rental Market Report. 

Higher rents and cost of living magnify  pressures faced by renters

Average UK annual rental growth has reached a 14 year high (+11%), with rents increasing to £995 in Q1 2021. This represents an increase of £88 a month compared to the start of the pandemic and follows a strong bounce back from 

last year, when average UK rents were down by more than 1%, despite wage growth peaking at 8.8% last summer. 

For renters, this has led to a significant increase in the proportion of gross income spent on rent, particularly in London where it has risen to a significant 52% for a single earner (a level not seen since March 2020).

This falls to 26% for sharers and means that a new let agreed for an average rental property in London will cost more than £20,000 in rent over the next 12 months – putting significant pressure on renters already dealing with the backdrop of the cost of living crisis.

In the UK as a whole, the average rent now accounts for over a third of gross income (37%) for a single earner. Around a third of renters live alone, according to the English Housing Survey. 

There’s also been a strong bounce back in rental growth in London from falls of 10% seen last year. Average annual rental growth in the capital rose to 15% at the end of Q1 – driven by demand for flats from students, office workers and international demand. 

Demand for rental property continues to outpace supply across the country, pushing up rents, although the rate of rental growth will slow through the second half of the year  

Stock constraints leading to longer tenancies

With renters facing increased pressure on their disposable income – there’s been a marked increase in tenants deciding to stay in their rental property for longer. 

On average, UK tenants are staying in their rental properties for an extra 5 months compared to five years ago, with the average tenancy length up to 75 weeks, from 51 weeks at the start of 2017. 

Interestingly, this trend has extended beyond lockdowns when the ability to move was hampered and indicates that landlords with tenants in situ may not be raising rents at the same rate as rental growth.

Rental demand is strongest in Scotland, Wales and London, with demand levels more than 65% above the five-year average. London’s market is also one of the most constrained when it comes to stock levels, with homes available to rent at just over half the 5-year average, creating the conditions for the sharp rises in rents. 

Rental markets remain highly localised

The rental market remains highly localised, with the most affordable rental markets for dual earners located in more rural areas including Great Yarmouth in the East of England, South Somerset in the South West and North East Lincolnshire in Yorkshire & the Humber. In these markets, average rents account for up to 15% of joint gross income.

In London, Bromley is the most affordable rental market, where average rents account for 19% of joint gross income. In the North West, Copeland, a local authority on the edge of the Lake District, encompassing the towns of Whitehaven and Cleator Moor is the most affordable rental market. 

Gráinne Gilmore, Head of Research at Zoopla comments: “UK rental growth is being driven by high rental demand and limited supply, trends that are more pronounced in city centres.  The surge of post-pandemic pent-up rental demand will normalise through Q2 and Q3 however, which means rental growth levels will start to ease. 

“Affordability considerations will also start to put a limit on further rental growth although this may occur at different times depending on location. Rents are likely to continue rising for longer in areas which have the most constrained stock levels – currently London, Scotland and the South West.” 

Gareth Atkins, Managing Director, Lettings at Foxtons comments:  “The tenancy renewal numbers we have seen so far in 2022 are unprecedented. Steadily increasing demand, severely limited stock and a swift rise in rental prices are all compelling reasons to renew – and renters are responding.

“Through Foxtons renewals department, we have seen a 29% rise in renewals year-on-year vs 2021. Renters are also choosing longer tenancies to avoid a market in flux; our deal length for renewals has gone up 9% in 2022, reaching an average tenancy of 15.7 months.” 

https://www.foxtons.co.uk/

Civil Service job cuts: Union responds

NATIONAL STRIKE ‘VERY MUCH ON THE TABLE’

PCS has warned of the consequences for everyone who relies on public services of Boris Johnson’s plans to cut up to 91,000 civil service jobs to tackle the cost-of-living crisis.

It is understood the prime minister wants to see civil service staffing levels cut to 2016 levels.

PCS General Secretary Mark Serwotka condemned the plans and said: “Cuts have consequences.

Not just on those whose jobs are being sacrificed to throw red meat to the dwindling number of Conservative voters, but on everyone who relies on the services our members provide. 

“The government complains about longer delays for passports and driving licences at the same time as sacking the people who are working so hard to clear the backlog. 

Let’s be clear, this is not about efficiency. This is about the prime minister trying to create a smokescreen to detract from his utter shambles of a government. 

“He has chosen to cause our cost-of-living crisis and is desperate to point the blame somewhere – and he has chosen to point the finger at hard working PCS members who kept the country running throughout the pandemic. 

“Our members will not be the scapegoats for a failing government. We have our conference in 10 days’ time: taking national strike action is very much on the table.” 

Charity offers fuel grant to ex-miners

A CHARITY is offering a £200 grant to former coal miners to help them cope with the rise in fuel costs in 2022.

CISWO – the coal mining charity – has launched the scheme to provide some support towards combatting the huge hike in the energy price cap which came into effect in April.

The one-off grant will be available to former coal miners, or their partners or widows, who are identified as being particularly vulnerable due to being on a low income, live in their own home and are responsible for paying for energy costs.

It is also only available to those former mineworkers who have ten years’ service in the industry or those whose last place of work was in the industry. Only one grant is available per household.

The price rises will see millions of people having to pay around £700 more each year to heat their homes.

And with former miners often suffering from health issues, poor mobility and managing on low incomes, they may be disproportionately impacted by the changes.

Nicola Didlock, Chief Executive at CISWO, said: “We are very aware that many of our beneficiaries are vulnerable and susceptible to the cold, especially those on low incomes and trying to cope with ill-health, mobility issues and older properties to maintain.

“We want to ensure that those individuals are identified and supported to keep warm and healthy, particularly during the colder months as the energy price rise begins to impact those most affected.”

CISWO’s Personal Welfare team will be identifying people in need and supporting them to get the help they are entitled to. As well as the CISWO grant, they will help people to obtain other financial aid and subsidies from the government.

The team will also be on hand to provide information about other support on offer from CISWO for former coal miners and their dependants, including:

  • Confidential home visiting service
  • Advocacy, information, advice and guidance
  • Emotional support
  • Benefit applications
  • Access to mobility equipment
  • Reducing loneliness and isolation
  • Access to holidays and convalescence

For more information about claiming the £200 CISWO grant, visit:

www.ciswo.org.uk 

or call 01506 635 550.

Other countries are helping families with energy costs: why can’t we?

Governments across the world are raising wages, cutting tax and announcing hefty financial aid packages for people and workplaces affected by the energy crisis (writes TUC’s NINA REECE):

Last month, the Chancellor Rishi Sunak announced a package of support that he claimed would help UK workers and businesses survive crippling energy costs. But it failed to boost pay, raise benefits or help low-income households.

War in Ukraine is exposing the cracks in a global energy system that privileges profit over people and the climate and is too reliant on international trade in fossil fuels. The result is a massive increase in energy costs that is hurling people into poverty while energy companies announce another year of eye-watering profit.

But the Conservative government’s decision not to help the people or sectors most affected by the energy crisis is the exception, not the rule. Here is how other governments across Europe are providing support.

Germany

In Germany, €16billion (£13.4billion) has been made available to ease the burden of rising costs. The support package includes a €9 pass for commuters, giving them a month’s unlimited use of public transport. Making public transport more accessible in the UK is key to reaching our emissions targets. 

There is a one-off €300 tax cut for individuals, extra discounts for low-income families and fuel taxes will be cut for three months, with the price per litre cut by €0.30 for petrol and €0.14 for diesel. 

Importantly, this package includes a commitment to reducing German reliance on gas, oil and fossil fuels long term. 

Germany is also set to raise the national minimum wage by 15 per cent, benefitting nearly 6.2 million low-paid workers – two thirds of them women – giving Germany the second-highest minimum wage in Europe. The rise, agreed as part of the coalition deal, will also cover self-employed and flexible workers.

Nordic countries

A six million Swedish kronor (£473m) pot was set aside by the Swedish government to soften the impact of soaring bills. This may not sound like a lot, but with population that is fraction of that of the UK – it is significant. The government has also issued winter bill subsidies of up to 6000 kronor (£488) for 1.8m households from winter into 2022.

The Norwegian government’s package of measures to help households totals more than eight billion kronor (£664m). In January, Norway even committed to covering 80 per cent of electricity costs for a short period whenever the rate for electricity is above 70 Norwegian øre (6p) per kilowatt-hour.

France

President Macron is targeting energy companies.

EDF, the state energy provider, will charge electricity at below market rate and will take an €8.4bn financial hit. It has also been ordered to sell nuclear power to rivals at below current market rate as its reactors generate 70% of the country’s electricity.

This month, the CEO of Total Energie has also announced a freeze on dividends. In the UK, despite massive profits, no caps or restrictions have been placed on the Big Six energy providers.

The French government has also cut electricity taxes in a bid to slow the increase to bills. While here in the UK, gaps in the Chancellor’s support package means the energy crisis will hit the poorest families the hardest, in France 5.8million low-income households were given a €100 payment for energy bills in January this year.

Spain

The Spanish government’s €16billion response to the energy crisis is the most comprehensive. The focus is on curbing profits and protecting jobs.

Some €2billion will be raised from a windfall tax on energy providers. €500million in subsidies will be provided for electricity-intensive industries and companies that receive this aid won’t be able to dismiss staff to balance out their rising energy costs.

€10billion of state loans will also be given to companies in other industries who are forced to spend more on energy. There is protection for truckers and professional drivers with €450million in direct aid for transport professionals.

And for families and individuals, a fuel sales subsidy of €1.4billion will reduce prices by €0.20 a litre, making a full tank about €9 cheaper, far better than Rishi Sunak’s 5p cut to fuel duty which would take just £2.25 off the cost of a full tank.

These responses from other countries show that our government can do more to help families and industries survive what the Governor of the Bank of England calls a ‘historic shock’ to our living standards. Households currently face an annual energy bill of £2000 and prices are to rise again in October.

That’s why the TUC is calling for an Emergency Budget: Rishi Sunak must come back and provide a proper package of support for families.

Sign petition to demand action from Rishi SunakRishi Sunak must come back to parliament and present an Emergency Budget. We need a proper package of economic support for families.

Sign petition

Tackling the cost of living crisis

Support is being expanded to improve the energy efficiency of homes and tackle energy costs.  

In response to the cost of living crisis, three key Scottish Government energy efficiency and heat programmes will be boosted from April.

These include:

  • Expanding the Home Energy Scotland (HES) advice service, which provides free, impartial advice available to all households in Scotland on making homes warmer, greener and easier to heat. Capacity will be increased by 20% to support an extra 12,000 households a year, whilst a service offering bespoke advice to the most vulnerable households will be doubled.
  • Widening the eligibility criteria of the Scottish Government’s flagship Warmer Homes Scotland fuel poverty programme to include more groups within the 60 – 75 years age range.
  • Increasing the level of funding individual fuel poor households could benefit from through the local authority-led Area Based Schemes.

More than £160 million of funding is being invested this year to help make Scotland’s homes and buildings warmer and more efficient, supporting efforts to tackle fuel poverty whilst helping householders manage their energy bills and reduce carbon emissions.

Zero Carbon Buildings Minister Patrick Harvie said: “Everyone needs a safe, warm place to call home. I am acutely aware that soaring energy prices will be causing many people to worry about the cost of their fuel bills and it is vital that people struggling with energy bills get the information and support they need, while governments step up with appropriate actions.

“We are using all powers and resources available to us to support people through the cost of living crisis and the Scottish Budget last month included a package of measures to provide immediate help with rising bills. At the same time, powers relating to energy markets remain reserved and we have repeatedly called for the UK Government to urgently take further, tangible actions to support households.

“However, immediate help also has to go side by side with longer term action. Investing in energy efficiency is the best buffer against the ebb and flow of global energy prices.  That is why we are boosting energy efficiency programmes today and over the whole parliamentary term.”

Householders can access free and impartial support through Home Energy Scotland to improve the energy efficiency of their homes.

Home Energy Scotland can be contacted on their freephone number 0808 808 2282 or via the Home Energy Scotland website

Top tips to combat Cost of Living Crisis

PRACTICAL POINTERS TO HELP BATTEN DOWN THE HATCHES AGAINST SPIRALLING ENERGY COSTS

The last two years has created the perfect storm for cost-of-living problems across the UK and it’s speculated that things could get worse by April. 

As many households struggle to reach the first payday since before Christmas, we explore the measures households can take now to help make things more manageable.

New research shows that lower income households in the UK may have to spend half their income on energy. The industry regulator, Ofgem, has also announced that it will increase price caps in April, painting a bleak picture for some consumers.

UK households should double check they’ve made use of all the help available this winter such as:

·        Government schemes: research government schemes like the Winter Fuel Payment which provides £100 to £300 to help pay heating bills. Customers are eligible for the scheme if they were born on or before 26 September 1955.* Be aware that the government is also exploring options such as making payments to energy suppliers to soften the blow to consumers.

·        Switch providers: according to Ofgem, households can save around £360 every year. Switching provider doesn’t just help save money, it can also allow consumers to seek out more environmentally friendly suppliers and those with better customer service. 

·        Tax relief: check out the tax relief option, which allows anyone working at home on a regular basis to claim relief on gas and electricity bills – as well as metered water and business phone calls. HMRC are offering relief worth £312 per year with no need to provide receipts or factor in any complicated calculations. 

·        Discounts and efficiency checks:  use energy efficient lightbulbs – a relatively inexpensive solution which helps to reduce costs over a long period of time.  Also, look out for schemes such as the Warm Home Discount that provide a one off discount of £140 off the winter electricity bill between September and March.**

Greg Wilson, Founder of energy comparison website Quotezone.co.uk, comments: “Given the upcoming rise in energy price caps in April, it’s important that people get on the front foot and look for ways to save.

“If you’re eligible, making use of the government’s schemes to help with the cost of energy bills is a good start. There are many schemes out there, including the Warm Home Discount and Winter Fuel Payments scheme, that should make bills a little easier to pay. These schemes are targeted to both the elderly and those on a low-income, providing support to the most vulnerable demographics.

“But there are also many other ways to tackle increasing energy cost – one of the most effective ways is to switch provider, a process which has never been easier. By choosing an Ofgem-accredited comparison site, consumers can get an understanding of what’s on offer across a range of energy suppliers – instantly providing an overview of more competitive prices.”

Quotezone.co.uk is one of the leading price comparison websites in the UK, helping over 3 million users find more competitive deals.

Cost of Living Crisis: Join the protests!

Prices are rising but people are fighting back!

The cost of living crisis is going to cause hardship for millions of people. Huge rises in energy prices will see oil companies make vast profits whilst people struggle to heat their homes.

Protests will take place across the UK this weekend.

Speakers from lots of organisations making demands for a fairer society.

Join an event near you!

📅Sat 12 Feb 1pm

📍Glasgow: facebook.com/events/1545395552527681

📍Edinburgh: facebook.com/events/628238008287873

Funeral director’s Pay What You Can offer to bereaved families

The new year has got off to a bad start, and everyone has felt the negative effects of the recent restrictions caused by the rise of the Omicron variant. Plus the cost of basic household bills are rising. So, for those from low-income families who experience a bereavement, life must seem especially difficult.

So, a charity-owned funeral director has responded to the current Covid and cost of living crisis by offering pay-what-you can funerals for Lothian residents who have lost someone for the remainder of January.

2021 was a tough year for many. It also started with severe Covid restrictions which disproportionately affected low-income workers. Later in the year, it was announced that the £20 uplift in Universal Credit was to be removed, affecting over 450,000 Scottish households.

And this year, hard-up families face a rise in energy prices and inflation, leading to what has been described as “a cost-of-living crisis”. So, not surprisingly, 2022 may be looking very bleak for some Scottish families.

John Halliday, Co-Founder of Caledonia Cremation today announces a scheme to support bereaved people experiencing hardship this January: “Caledonia Cremation is not a traditional funeral director. When we launched in 2018, we became Scotland’s only social-enterprise funeral director. That means our first concern is people and not profits.

“I see all around that this pandemic has made rich people richer and poorer people poorer. I strongly feel it is up to society to do our bit now in helping those worst affected, however we can.

“People need better food, cheaper housing, catch-up education and help back into work. We can’t do all those things, but what we can do something about the cost of funerals.

“Sadly, it is a fact of life that everyone needs a funeral. But for some people their funeral is the most expensive purchase they ever make. The average cost of a basic funeral is over four thousand pounds.

So, our contribution is this – we’ve decided to remove all our fees and just let bereaved families pay-what- you-can during this pandemic recovery period.

“There is no means testing, we trust people to know what they can and cannot afford.

“No one anywhere has ever done this before, so we are learning as we go.

“If someone wants to know the usual price, we can tell them. If generous people want to add more towards our fundraising to tackle the root causes of poverty, that is fantastic. But if all they can find to cover the funeral is a few hundred pounds, that’s absolutely fine too.

“No one should judge your worth based on the size of your savings.

“We hope everyone has a happy and healthy 2022, but if the unthinkable happens, then please know you are not alone – we are here and will do everything we can to support you throughout your loss.”