Tag: cost of living crisis

RIPPED OFF: Drivers still paying too much for road fuel, says CMA

Increases in retail fuel margins cost drivers over £1.6bn in 2023

The Competition and Markets Authority (CMA) has published an update today on the widespread action it is taking to ensure that people can get the best possible choices and prices in the face of ongoing cost of living pressures.

New analysis highlights how the cost to drivers of weakened competition in the fuel sector persists, but competition in the groceries sector appears to be more effective in bearing down on retail margins.

Road Fuel 

In its third interim monitoring update, the CMA has found that:

  • Retailers’ fuel margins – the difference between what a retailer pays for its fuel and what it sells at – are still significantly above historic levels.
  • Supermarkets’ fuel margins are roughly double what they were in 2019.
  • The total cost to all drivers from the increase in retail fuel margins since 2019 was over £1.6bn in 2023 alone.
  • Competition among fuel retailers is failing consumers, just as it was in July last year when the CMA published its road fuel market study.

When the CMA published its road fuel market study report, it recommended that a smart data driven fuel finder scheme be set up to make prices available to motorists across the UK in real time, such as through map apps and sat-navs. This will be backed up with ongoing monitoring by the CMA to hold the sector to account. This scheme could save drivers up to £4.50 each time they fill up, as it would make it easier to find cheaper fuel in their area.

The CMA is currently monitoring developments in the fuel market using information provided voluntarily by fuel retailers. It has created a temporary price data-sharing scheme, and it is positive that some major players have started to integrate this into consumer-facing products, like apps. However, the current scheme covers only 40% of fuel retail sites and is not comprehensive enough to be utilised by map apps or sat-navs to bring accurate, live information to people – and this is what would have a substantial impact on the market.

The proposed introduction of the Digital Information and Smart Data Bill by the new government could provide the legislative basis to set up a compulsory and comprehensive scheme that would change this – which the CMA would welcome.

Legislation – which is needed to establish the scheme fully – may take time to come into force. So that motorists can start to benefit from quicker, easier access to fuel prices through everyday apps sooner, the CMA encourages the government to introduce an enhanced interim voluntary scheme that is as close to the final scheme as possible.

Richard Evans, head of technical services at webuyanycar comments: “Rising motoring costs are unsurprisingly taking a toll, as our research revealed 4 in 10 drivers (40%) trying to drive less as a result of expensive fuel. 

“As households unfortunately feel the pinch from rising costs across the board, there are a few things drivers can do to get the most out of their fuel. The more weight a car is carrying, the more fuel it will consume, so remove anything that isn’t needed.

“Driving habits have a huge impact on fuel consumption; making sure to accelerate gently and use the highest appropriate gear will help to use as little fuel as possible. And, keeping a car in good condition can also help to improve fuel consumption, as fuel won’t be wasted on broken parts.

“Amidst the fluctuation of fuel prices, it’s also important that drivers are aware of the cost to fill up and where they can get the best deal in their local area. Drivers can use our fuel cost calculator to estimate their weekly, monthly (and even annual) fuel spend.”

Groceries

Many households have been struggling to put food on the table. Last year the CMA launched a wide-ranging project looking at competition and prices in the groceries sector, to make sure that people can get the best deals possible when they are shopping for essentials.

Retailer profitability analysis

In the CMA’s review of the sector in July 2023, it did not find widespread evidence of weak competition: profit margins were historically low; consumers were switching to get the best deals; and the lowest-price retailers were gaining market share from others. But the CMA committed to have another look at this and monitor margins as costs came down. 

Overall, the updated retailer profitability analysis that the CMA has published today should provide shoppers with reassurance that competition in the groceries sector appears to be effective in bearing down on retail margins.

Grocery retailer revenues, profits and margins have increased slightly, in aggregate, in the most recent year (FY 2023/24), as inflation has eased. However, the CMA found that the average operating margin for grocery retailers was less than 3% last year, which remains below pre-pandemic levels. Overall, this does not give the CMA cause for concern about the general state of competition in the groceries sector.

Pricing  

The CMA has also been investigating a range of pricing issues, to help shoppers access clear and accurate pricing information:

  • When shoppers are looking for the best deal possible, they need to be able to easily compare the prices of similar items. Unit pricing can help with this, but a lack of consistency or accuracy can cause confusion. The CMA has identified a number of concerns with retailers’ unit pricing practices, some of which stem from the legislation itself – the Price Marking Order (PMO) 2004, which allows for inconsistences in retailers’ practices, including when products are on promotion. The CMA has recommended changes to the PMO and the Northern Ireland PMO which will help people access better information when they shop, and encourages the government to implement these changes.
  • Alongside this, the CMA has published guidance aimed at independent retailers to help them display clear and accurate prices in general.
  • Shoppers are looking for deals more than ever, and, increasingly, supermarkets offer special prices only for customers that use their loyalty schemes. The CMA has been assessing whether the savings on offer through loyalty schemes are genuine. The analysis – involving tens of thousands of loyalty price promotions – is ongoing, but the results to date suggest it is unlikely to identify widespread evidence of loyalty promotions that mislead shoppers. The CMA has commissioned a consumer survey to understand consumer attitudes and the impact of loyalty pricing on how we shop around and compare prices. The CMA will report on this work in November.

Infant formula

Infant formula is a vital part of the weekly shop for many parents and carers.

Through our review of the groceries sector, the CMA identified significant price rises for infant formula (over 25% between 2021-23) and launched a formal market study in February. Five months into the study, the CMA has concerns that the combined effect of the current regulatory framework, the behaviour of suppliers, and the needs and reactions of consumers buying formula, may be resulting in people paying more than they need to.

The CMA will publish an interim report in October setting out in full the concerns it has in this market and its provisional recommendations for action to improve it.

Sarah Cardell, Chief Executive of the CMA, said: “At a time when household budgets are under huge strain, it’s our job to make sure people can be confident they are getting good deals and that they are not being harmed by weak competition or unfair sales practices.

“Despite inflation falling to 2%, many people are still struggling to pay for everyday items – whether it’s filling up at the pump, buying groceries, feeding babies, treating ill pets, or having somewhere to live.

“Last year we found that competition in the road fuel market was failing consumers, and published proposals that would revitalise competition amongst fuel retailers. One year on and drivers are still paying too much.

“We want to work with government to put in place our recommendation of a real-time fuel finder scheme to kick-start competition among retailers. This will put the power in the hands of drivers who can compare fuel prices wherever they are, sparking greater competition.”

A full list of the CMA’s work to help tackle cost of living pressures – including any recommendations already made – can be found on its collection page.

Morrisons Gyle fights holiday hunger

Morrisons Gyle has announced that it will continue to support its local community by joining the national effort to help prevent holiday hunger this summer.

Morrisons Community Champion Tess at Edinburgh Gyle donated £200 to Community One Stops Shop and Space at The Broomhouse Hub to help towards their free breakfast and free lunch for kids, to support families and children in the community and to tackle holiday hunger this summer. 

It was our pleasure to donate £100 to our friends at Community One Stop Shop and £100 to Space at The Broomhouse Hub. Community One Stop Shop are offering free breakfast packs, and Space at The Broomhouse Hub are offering free lunches to children. Tess met with Willie from Community One Stop Shop on Monday to hand over the donations.

Morrisons stores across the country will support school holiday activity programmes – arranged by local schools, community groups and HAF (the Holiday Activities and Food Programme), by donating £100,000 of food across the UK this summer. 

To help those in need, Morrisons already has its in-store Food Bank ‘Pick Up Pack’ scheme which allows customers to purchase a bag filled with a mix of products which are distributed to local food banks and community organisations by the in-store Community Champions. 

To find out more about the work being done by your local Morrisons community champion please visit: https://www.facebook.com/GyleCommunityChampion/

Trust in politicians at an all-time low

Change of public mood creates challenge for the next government

The results of the latest British Social Attitudes (BSA) survey, published yesterday by the National Centre for Social Research (NatCen), reveal that there have been significant changes in the public mood since the last election in 2019.

As a result, the next government, whatever its partisan colour, will find itself with many policy and political challenges ahead.

Much of the change in the public mood has been occasioned by the fallout from the pandemic and the Russian-Ukraine war, including the impact on inequality, the health service, Brexit, and immigration.

At the same time, the experience of the last few years has served to undermine confidence in the country’s system of government.

Inequality, cost of living, and housing

Debates about inequality during the pandemic have seemingly created a public that is now more concerned about the level of poverty. At the same time, more people say they are ‘struggling’ on their current income.

  • 73% now believe there is ‘a great deal’ of poverty in Britain, up from 68% in 2019.
  • 70% say that their income has failed to keep up with prices over the last twelve months.
  • 26% say they are ‘struggling’ on their current income, compared with 17% in 2020.
  • However, the experience of living at home more during lockdown may explain why fewer people now support more houses being built in their neighbourhood, despite the difficulty that many currently have in finding affordable accommodation.
  • 41% support more houses being built in their local area, down from 57% in 2018.

The NHS and tax and spend

The post-pandemic growth in NHS waiting times have resulted in record levels of dissatisfaction with the health service. The same is true of social care, which also came under great pressure during the pandemic.

  • The proportion dissatisfied with the NHS is, at 52%, slightly more than double what it was in 2019 (25%).
  • As many as 57% are dissatisfied with the provision of social care, up 20 points on 2019 (37%).
  • Even though taxation is now at a record high, at present, at least, many people still seem to regard the state of the NHS as a more pressing problem than the level of taxes.
  • 46% say that, if forced to choose, the government should increase taxes and spend more on ‘health, education and social benefits’.
  • This is down somewhat on the 53% who expressed that view in 2019, but is still well above the 31% figure recorded in 2010 at the end of the last period of Labour government.

Brexit and immigration

Record levels of immigration since the pandemic have reversed a previous trend towards more liberal attitudes towards immigration. Together with doubts about the economic benefits of Brexit, they have also resulted in a change of attitudes to the EU.

  • In 2019, 47% said that migrants who come to Britain are good for the economy. This edged up further to 50% in 2021 but, in the most recent reading, this has fallen back to 39%.
  • 45% said in 2019 that migrants enrich Britain’s cultural life, while 48% did so in 2021. Now the figure is 38%.
  • In 2019, 51% thought that the economy would be worse off as a result of leaving the EU. Now 71% believe the economy is worse off as a result of Brexit.
  • Faced with a range of options for Britain’s relationship with the EU, in 2016, 41% said that Britain should be outside the EU, as did 36% in 2019. Now the figure stands at 24%.
  • Supporters and opponents of Brexit continue to have different political preferences. 45% of supporters think of themselves as a Conservative, while 49% of opponents identify as a Labour supporter.

Trust and confidence in government

Between them, these policy concerns, together with the political instability of the last couple of years, have undermined levels of trust and confidence in how Britain is governed, a change that has occasioned increased support for constitutional reform.

  • As many as 45% ‘almost never trust governments of any particular party to place the needs of the nation above the interests of their own political party’, up from 34% in 2019 and a record high.
  • After falling from 79% in 2019 to 61% the following year, once again 79% believe the present system of governing Britain is in need of ‘quite a lot’ or ‘a great deal’ of improvement.
  • A record high of 53% now say we should change the Commons voting system ‘to allow smaller parties to get a fairer share of MPs’. 60% of Labour supporters take this view, whereas 73% of Conservative supporters believe we should keep the current system ‘to produce effective government’.
  • A record low of 45% believe that England should be governed as now from Westminster rather than have regional assemblies (26%) or an English Parliament (23%).

Gillian Prior, Interim Chief Executive at the National Centre for Social Research (NatCen), says: “The last four years of parliament have left their imprint on public opinion.

“From the NHS to immigration, from inequality to tax and spend, people’s attitudes have been affected by the experience of a pandemic, a cost of living crisis, and political turmoil.

“The period has left them asking themselves just how well they are being governed. Irrespective of its partisan colour, the next government will have much to do if it is to meet people’s concerns about the many difficulties they feel the country has been facing.”

Highest ever number of grants paid to young carers

Eligible teens who haven’t applied urged not to miss out

The number of young carers getting a grant only available in Scotland has rocketed, figures released ahead of Carers Week show. 

Over 3,700 teens have received Young Carer Grant payments worth £1.4m in the last financial year, almost 60% more than the year before. 

The Scottish Government is urging even more young carers to apply and is asking family and friends to encourage them to check if they’re eligible. 

Young Carer Grant is available to anyone aged 16 – 18 who spends at least 16 hours a week on average caring for someone who gets a qualifying disability benefit. 

Young carers can offer vital support to family members, friends or relatives who have disabilities or long-term health conditions. This could include making meals, helping with housework, reminding them to take medication or providing emotional support.   

The £380 payment can be applied for once a year and spent on whatever the young person wants.   

Young Carer Grant was introduced by the Scottish Government in October 2019 to recognise the vital role unpaid young carers play and to help them access opportunities that are the norm for many other young people.  

Since then over 12,000 payments totalling £4 million have been made.  

Cabinet Secretary for Social Justice Shirley-Anne Somerville said:  “At the start of Carers Week, it’s heartening to see that more young carers than ever before are getting Young Carer Grant. 

“We introduced the payment in recognition of the vital role young carers play, and to provide money they can use to take part in activities enjoyed by others their age that they might miss out on otherwise.  

“I urge any young carer who is eligible for the grant but hasn’t applied in the past year to do so as soon as possible. 

“I would also ask the family members and friends of teenagers eligible to encourage them to apply as they may not be aware of the grant or even consider themselves to be a carer.” 

Young Carer Grant is a yearly payment of £383.75 for young carers in Scotland.  People can apply for Young Carer Grant online, via a paper application form or by calling Social Security Scotland free on 0800 182 2222.  

The latest Young Carer Grant statistics were published on 4 June. 

Politicians must urgently address “relentless reality” of hardship as 7 million households continue to go without essentials

📢 All political parties must explain how they will urgently tackle hardship this #GeneralElection, says the Joseph Rowntree Foundation. .

The latest findings from our cost-of-living survey, out today, found the number of households going without essentials hasn’t dropped below 7 million since May 2022. This is unacceptable.

Millions of low-income households are having to take drastic measures to cope with a crisis that is far from over:

-1.6 million households turned off their fridge or freezer

– 4.9 million households couldn’t replace worn out clothing

– 5 million households reduced showers

Meanwhile, party leaders remain silent on what they would do to address this in power. This should bring shame to a country as wealthy as ours.

🗳 Politicians must set out how they will bring an end to this relentless hardship. They need to tell us their immediate plan to help families who can’t afford life’s essentials – as well as their long-term strategy to tackle poverty.

Find out more about the relentless reality of years-long hardship for low-income families, here:

New research from the Joseph Rowntree Foundation (JRF) shows the relentless reality of years-long hardship for low-income families, with almost 5 million households finding themselves having to cut back on showers.

Those on the lowest incomes, over 5 million households, have continued to go hungry, skip meals and cut back on food. 

Carried out immediately before the general election was called, the latest data shows the number of low-income households who are going without essentials like food, adequate clothing and a warm home hasn’t fallen below 7 million since May 2022.

JRF is calling on the politicians to set out their plans to tackle ongoing hardship. It found the bottom 20% of low-income households are facing levels of hardship that refuse to budge and whose situation is no better compared to last year, despite some improvements to the economic situation for families higher up the income scale.  

Research from the Joseph Rowntree Foundation (JRF) finds that: 

  • 7 million low-income households (60%) were going without essentials in May this year. [3] [4] 
  • 5 million low-income households (42%) took fewer showers or baths due to cost during the cost-of-living crisis so far. 
  • 7 in 10 (71%) low-income households in the bottom 20% were going without essentials in May this year, the same as May last year.  

Families on low incomes say they are still taking the same drastic measures to try and save money that were widely reported at the height of the cost-of-living crisis.  

In May 2024, low-income households reported that they had taken the following measures through the cost-of-living crisis to cope, due to cost:  

  • 4.9 million couldn’t replace worn out or outgrown clothing (42%) 
  • 3.7 million sold their belongings (32%) 
  • 1.6 million turned off their fridge or freezer (13%) 
  • 6.8 million reduced their use of appliances (58%) 
  • 7.2 million heated their homes less than they needed to or less often (62%) 

Those with the least are struggling the most, with levels of hardship staying at stubbornly high levels. In the last 12 months, the proportion of households going hungry, cutting down on food or skipping meals in the previous 30 days has not budged for those in the bottom 20% of incomes. But there is a slight improvement for those in the bottom 20-40% of incomes. [5] 

Our social security system should act as a safety net for families who’ve fallen on hard times. However, 86% of low-income households who received Universal Credit were going without the essentials in May this year.

Rachelle Earwaker, Senior Economist at JRF, says: “The number of low-income families in our country who’ve been forced to choose which essentials to go without because they can’t afford them hasn’t fallen below seven million since May 2022. Despite inflation falling there has been no let up for the poorest families, who are just as likely to be going without food as last year.” 

“We need our politicians to set out how they will bring an end to this relentless reality of hardship in the general election campaign.

“Political leaders need to tell us what they will do straight away to help families who can’t afford life’s essentials, as well as their long-term plans to tackle poverty.”  

The Leith Collective aims to help the ‘cut-back kids’with free school uniform exchange

The kids may be counting down the days until school’s out for summer, but many parents are worried about making their money stretch in the coming months.

Whether it’s the cost of essential childcare or activities to keep the kids entertained, many are concerned they just won’t have enough to pay for school uniforms when the new academic year finally rolls around in August, so are having to make cut-backs in response.

And it’s understandable. The latest research shows parents spend an average of almost £300 per year on primary school uniforms and more than £400 per year on secondary school uniforms. And so, to help ease the pressure,

The Leith Collective is launching its free school uniform exchange on Saturday 1st June. 

The exchange will take place at all four of The Leith Collective stores – at Edinburgh’s Ocean Terminal and Fort Kinnaird, Glasgow Fort and their brand new store at Dundee’s Overgate. The Community Interest Company is calling on locals to donate good quality uniforms, shoes, schoolbags and lunchboxes to those in need. Items will be available for anyone to collect completely free of charge, no questions asked. 

The initiative is the brainchild of The Leith Collective founder, Sara Thomson, who has just returned from 10 Downing Street after receiving a personal invitation from the Secretary of State for Culture, Media and Sport.

This was Sara’s third visit to Downing Street, having previously been invited by Prime Minister Rishi Sunak and former Prime Minister Boris Johnson to discuss the positive impact of The Leith Collective’s important work on the community. 

Speaking ahead of the launch of the free school uniform exchange, Sara said; “The cost of living crisis is seemingly relentless, and there is now a generation of children growing up who have never known anything other than cut-backs and stressed out parents struggling to make ends meet.

“So, we’re taking action to help lighten the parent’s load by removing the expense of buying a new school uniform and helping the ‘cut-back kids’ get the best possible start to their education.”

Scottish Pet Food Banks suffer from huge drop in donations

Edinburgh Dog and Cat Home reports drop in donations has had a serious impact on pet owners

The pet food bank service which has been used as a lifeline by so many has been severely affected by the drop in donations it receives.

The Edinburgh Dog and Cat Home (the Home) works with 87 pet food bank providers across East and Central Scotland, providing meals to pet owners who would otherwise not be able to afford to feed their beloved pets.

Without food bank support from the Edinburgh Dog and Cat Home, some pet owners would be forced to surrender their beloved dog or cat. However, capacity at the Home itself is at a maximum and if even 1% of animals supported by foodbanks had been surrendered to the Home, they would be beyond capacity and be forced to turn them away.

In 2023 the Home was able to fulfil over 75% of pet food requests that they received, but that number has dropped to less than 50% since February 2024. The Home is now struggling to support the food banks with even the basic amount of cat and dog food that they require to support families in desperate need.

The demand for pet food bank support is growing so rapidly it is currently outstripping supply.  

Last year the Home provided 671,000 pet meals in total through emergency food packs accessed at the Home and through food banks – a staggering 104% increase on the number of meals they provided in 2022. In April 2024 alone the Home supplied 1,144 dogs with one week’s worth of dog food and 2,124 cats were supported with one week’s worth of cat food.

Jamie Simpson, Director of People and Services at Edinburgh Dog and Cat Home, said,“Our Pet Foodbanks are a lifeline for thousands of dog and cat owners across East & Central Scotland, who, without our support, may have to give up their loved pet.

“We rely solely on donations to provide food supplies and with the cost-of-living crisis, demand is increasing. The Home is now at a point in which our foodbank donations are critically low but demand for help is at a record high, so we are asking anyone who can to support us with a donation of dog or cat food, to help pet owners in need in the community and keep pets in loving homes.”

The cost of living crisis has put pressure on food banks to support growing numbers of communities who are not able to afford to feed their families and pets.

In 2023 the Edinburgh Cat and Dog Home supplied 86,779kg of pet food, 595,816 meals were distributed at pet food banks across East and Central Scotland, 753 dogs were helped through Emergency Food Packs (75% increase from 2022), and 798 cats were helped (an 8% increase from 2022).

Food bank provider, Marie Johnson from Broxburn’s The Larder, said, “A couple of years ago I used to go out once or twice a week to collect donations, now I’m going out every single day.

“As soon as I stack the shelves they are being emptied.”

Without food bank support from the Edinburgh Dog and Cat Home, some pet owners would be forced to surrender their beloved dog or cat, as this anonymous user explains: “I didn’t realise I could get help with dog food. I have been missing meals myself to make sure my two dogs were being fed, thanks to the Larder and the Dog and Cat Home, I can eat as well now.  

“Without the food provision support I would have to give up my two dogs which would be terrible – my pets are key to my mental and physical health and overall wellbeing.  I would like to say thank you for the pet food, I really don’t know what I would do without this service.”

The support of generous donors has kept Edinburgh Dog and Cat Home open for 140 years, giving animals a safe place to recover and find love and helping countless more pets through 87 foodbanks across East and Central Scotland. 

Twenty volunteers collect, organise and distribute donations to pet food bank locations across Scotland each week.

Please contact foodbanks@edch.or.uk if you would like to support the Edinburgh Dog and Cat Home by running a pet food drive at your place of work or community group, or if any pet food store/business would like to help with donations.

Nearly half of British adults expect fall in standard of living

  • Energy prices and cost-of-living crisis top list of financial concerns
  • Women are more concerned about external factors, such as a recession, impacting their finances
  • People plan to increase time spent reviewing their finances due to rising costs

Nearly half (46%) of UK adults are worried that their standard of living will fall over the next 12 months, reveals research conducted on behalf of Handelsbanken Wealth & Asset Management. 

Concern was highest among those in their 30s (55%), dropping to 38% of over 50’s – likely due to accumulated savings.

Despite recent declines, energy prices still top people’s biggest concerns on the factors threatening their living standard, along with the cost-of-living crisis and high prices caused by inflation.

External risks worry women more

Women are more concerned than men about most external risks to their finances, including inflation (79% versus 72%), rising interest rates (59% versus 52%) and a recession (83% versus 73%). However, men worry more about geopolitical instability (57% versus 50% women) and stock market volatility (42% versus 37% women), with the latter perhaps due to being more inclined to invest, the research also revealed.

Divided on death and divorce

Men are more concerned about losing wealth through divorce (24% versus 19%), whereas women are more likely to fear the financial impact of their partner or spouse dying (47% versus 42%).

Proportion of people concerned about various factors impacting their personal finances

FactorOverall proportion of individualsWomenMen
Energy prices78%80%74%
The cost-of-living crisis / recession78%83%73%
Inflation76%79%72%
A global economic downturn63%63%63%
Rising interest rates55%59%52%
Income tax increases54%56%53%
Geopolitical instability53%50%57%
Scams and frauds51%56%46%
Death of a partner / spouse45%47%43%
Stock market volatility40%42%37%

Time invested

The study showed that these concerns are changing how much time we spend reviewing our finances each month.

On average, consumers spend over six hours a month on their finances, with groceries and other household costs taking up the most time (52 minutes) followed by bank account management (48 minutes), and paying for holidays (42 minutes). Wealthier people with assets over £100k spend longer keeping their financial house in order, averaging eight hours a month. Men, meanwhile, typically spend around 20% longer than women.

A tougher financial climate means we expect to spend more time managing our finances overall, largely in response to dealing with rising costs and stubborn inflation (48%) and the need to save more money (41%).

When it comes to those looking to decrease their time investment, nearly a third (29%) said they plan to reduce the time spent looking at their financial affairs as it makes them feel too anxious.

This may go some way towards explaining the fact that a significant proportion of people don’t currently spend any time at all reviewing commitments such as their pensions (33%), insurance (31%) or investments (23%).

Alasdair Wild, Area Manager at Handelsbanken Wealth & Asset Management, said: “Dealing with the ongoing cost-of-living and keeping your finances in check can be a time-consuming process and a real challenge for most people given there only are so many hours in the day. 

“However, doing the bare minimum is unlikely to offer much protection in such a tough financial climate, and investing time to plan and manage your finances and, when required, bringing in external professional support, can make a real difference to protecting your standard of living.

“While avoiding the issue may provide temporary relief, it will only exacerbate problems down the line, so seeking support is key.”

Click here to view the full research report Gender and generation: unravelling the wealth gap.

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£30 million paid this year to help households with higher energy bills

Number of winter payments passes 400,000 mark 

 People in Scotland have received more than £30 million via two Scottish Government benefits to help them deal with increased energy costs this winter, new statistics have shown.   

Winter Heating Payment supports households on low incomes, including older people, disabled people and families with children under five.    

Child Winter Heating Payment helps families of the most severely disabled children and young people.     

The official figures show more than 400,000 Winter Heating Payments of £55.05 were issued between November last year and the end of March. More than 30,000 Child Winter Heating Payments of £235.70 were made in the same spell.    

Winter Heating Payment replaced the UK Government’s Cold Weather Payment in 2023. Most people getting it receive more money on average than via Cold Weather Payment. 

People receive Winter Heating Payment whatever the weather, unlike Cold Weather Payment when the temperature needs to drop to a specific level.  

Child Winter Payment, introduced in 2020, is not available anywhere else in the UK. There is also no cap on the number of children who can get it in the same family. 

 Cabinet Secretary for Social Justice, Shirley-Anne Somerville, said:   “The £30.2 million paid over the course of winter provides support to those who need it most. It is being paid quickly and effectively to help mitigate the worst of the cost of living crisis.  

“Winter Heating Payment guarantees those who qualify will get a payment every year – in contrast to the UK Government approach which needs the weather to be under a certain temperature for a sustained spell.    

“Both Winter Heating Payment and Child Winter Heating Payment have recently been increased in line with inflation which means we will be getting more money into people’s pockets in 2024/25. I am pleased that we are getting the vast majority of these payments to people in good time.   

“I urge anyone who is struggling during the cost-of-living crisis to visit the Scottish Government’s Cost of Living website for support and advice.”    

Only 10 days left to claim Pension Credit and secure £299 Cost of Living boost

  • DWP urges pensioners to act quickly and check if they are eligible for Pension Credit by 5 March 2024
  • Eligible people who claim by this date could secure additional £299 Cost of Living boost
  • Claiming the benefit could also open doors to additional help with housing costs, council tax, and heating bills

Hundreds of thousands of pensioners could pocket an extra £299 if they claim Pension Credit in the next 10 days.

Those who successfully apply for Pension Credit by 5 March could also secure a further £299 boost in the form of a Cost of Living payment thanks to backdating rules.

Pension Credit, which averages over £3,900 a year, is there to lend a hand with day-to-day expenses for those who have reached State Pension age and are on a low income.

Minister for Pensions Paul Maynard said: “We are committed to ensuring every pensioner receives the financial support available to them.

“Anyone who is unsure whether they or a loved one is entitled to Pension Credit should quickly check using our online Pension Credit calculator – it’s never been easier.

“Not only could this secure an extra £3,900 every year and unlock a whole host of other support, if successfully claimed by 5 March a further £299 Cost of Living boost is up for grabs.”

While around 1.4 million pensioners are already receiving Pension Credit, there are an estimated 880,000 households eligible for the support who are yet to claim it.

For single pensioners, Pension Credit guarantees a minimum weekly income of £201.05; for couples, it’s £306.85. Additional help is also available for those with disabilities or caring responsibilities.

And even small amounts of Pension Credit could open doors to further financial assistance, covering things like housing costs, council tax, and heating bills, as well as potentially the £299 backdated Cost of Living payment.

You can apply for Pension Credit over the phone, online, or by post. And for anyone unsure about eligibility or how much they might get, the online Pension Credit calculator tool can help.

The State Pension is due to rise by 8.5% in April 2024 – meaning the new full State Pension will be worth £221.20 per week. 

Applications for Pension Credit can be made: