Welcome to Breadline Britain

Welcome to Breadline Britain
from Gracie Samuels

With all the furore over energy prices and now water bills, it’s about time someone mentioned those who are forced to buy their energy through prepayment metering by the energy companies.

Often it is the weakest, the poorest and the most vulnerable in our society who are forced to purchase their energy like this. For example: The low-waged; the disabled; the elderly; the unemployed and single parents, those forced to live on benefits and also those “hardworking people” the prime minister talks so glibly about who are struggling with the soaring cost of living. These are the people who are existentially being hit by these price hikes much harder than people who pay directly by direct debit.

As these people have been placed on prepayment plans by their energy providers they will end paying more than the price hike for their domestic fuel bills. Prepayment means they will be asked to pay for their gas and electricity before they actually use it.

Those consumers who have been placed on prepayment metering have usually been placed on them because they cannot afford their energy bills or may have been late paying their bills on a few occasions. These consumers often have no choice and and the metre[s] will be installed by their energy providers whether the consumer wants them or not.

The energy companies take the view that they will not terminate supply for non-payment but will install a prepayment metre. Often the rate of gas or electricity consumption is set on an estimation of how much the consumer is likely to use, plus the metre is also set to recoup any debt owed to the company. So if the consumer buys £15 of electricity or gas on their card/key to top up their prepayment metre and they owe the energy company for a previous bill, the energy company will automatically take half of that payment to recover any arrears and for standing charges. The consumer may be left with as little as £7.50 for gas or electricity out of their original £15.00. This process will continue until the debt is cleared. So if the debt is around £100  it may take at least around 16 weeks to clear. That is 16 weeks of often the poorest, the disabled, the low waged, the unemployed and often some of our most vulnerable consumers of gas and electricity who are already experiencing fuel poverty being forced into even more fuel poverty while the debt is collected. Unfortunately the energy companies do not usually make adjustments for seasonal collections of debt, so the arrears could be being collected through the deepest of our winter months, exposing people to the risk of hypothermia!

Many of these metres are placed outside in awkward to reach places or inside in awkward to reach places making it very difficult for the elderly or disabled to reach. This also has hidden problems and dangers if the consumers does run out of gas for any reason it will mean relighting pilot lights on gas boilers before normal supply can be fed through to their heating systems, often people, especially the elderly and the disabled have great problems reigniting these pilot lights especially if they have back boilers as this means laying on the floor to reach the pilot light and this means they will be forced to sit in freezing cold conditions until someone can come and help them. (if indeed they have anyone that can help!)

This is not all, because these vulnerable people are on prepayment plans and metres, the energy companies say it costs more to collect their bills so people will usually pay more for their energy. if they cannot afford to buy tokens or re charge their card or keys then they will not have any energy. Also during the coldest months when people need to buy more gas and electricity to keep warm, then the more energy they purchase, the more of their money will be taken off of them to pay off their arrears.

There are also hidden costs, the nearest charging point may not be near and consumers will be faced with the additional cost of getting to their nearest charging point. If people are on both gas and electricity prepayment plans then the charging points for gas and electricity may even be located in separate locations adding to the problems.

What is the government doing about this very serious problem? ABSOLUTELY NOTHING! As usual David Cameron is standing by and allowing his friends the in the energy companies to make even more money out of our most vulnerable people.

Not only is Cameron and this hideous government doing nothing to help these people, they are actually making their situations worse by cutting their benefits, even though many of these people will actually be IN WORK!

Iain Duncan Smith at the Department for Work and Pensions has made these peoples lives intolerable in many different ways will be making it impossible for these struggling people not only to feed and clothe their families and themselves this winter, but to pay something as basic as their fuel bills will also prove impossible.The hidden costs of the Tories and Liberal Democrats welfare reforms are many and varied.

Bedroom Tax – thousands of people are now being forced to pay between £14 and £24 per week or between £56 and £96 extra per month out of their low wages or benefits for extra bedrooms if they are deemed not to be needed by the DWP. Many of these people are working on low pay or are disabled and need their bedrooms and thus far it has not created one single situation where it has actually helped anyone, there are no smaller properties for people to move into. It is one of the nastiest ill thought out, ill conceived pieces of legislation in the entire history of the British parliament. Yet still this government will not admit they have got it wrong and get rid of this ludicrous policy. (If the Labour party win the next election they have promised to repeal the bedroom tax) 96% of people affected by the Tories bedroom tax have nowhere to go, in effect they are trapped and are now falling into arrears with council for non payment of bedroom tax as well as falling into arrears with domestic fuel bills.

Housing Benefit Caps – Starting in July 2013 and earlier in some pilot areas, the government introduced a cap on the amount of housing benefit you can receive. At first, the benefit Cap will only affect those in receipt of Housing Benefit, however later, it could also affect those who are in receipt of Universal Credit. if the cap affects  you then your benefit will go down. Again this not only affects those who are entirely in receipt of benefits, it also affects those on low wages who receive help with their rent and council tax.

Working Families Tax Credit Cuts – Due to government changes the new rules on working tax credits from April 2013 will hit around 212,000 low income families according to information published in the House of Commons Library. This will reduce income on average by around £2,600 per year. This affects ALL those “hard working people” that David Cameron keeps talking about. Up until now providing one partner works at least 16 hours per week, they would be eligible for tax credits, but now couples will need to work at least 24 hours between them to apply, with one partner working at least 16 hours. It means that “hardworking families” will see their incomes fall by around 30%.

Council Tax benefit cuts – Are forcing people to stay on the side of the law or to break it in order to feed, liable for charges between 10% and 30% of the full bill.  Again many of these people are IN work earning low pay and have been forced into this position by this government. How much money are councils losing in non payment and in chasing people for payment? how much money is taking all of these people to country costing the country? How are people already struggling to live going to manage having to pay higher fuel bills and some are paying the bedroom tax and some are also now being charge council tax on top of everything else.

People Queuing outside Peterborough Magistrates Court
Answering Summonses for non payment of council tax.
It’s not they won’t pay it is because they CAN’T pay!

How will they manage to clothe their families and heat and light their homes? More than a 100,000 people have been issued with court summonses for non payment of council tax. Many people whom have never been in council tax arrears in their lives before now suddenly find themselves in debt owing large amounts and hundreds are turning up on council office doorsteps to protest, or are being forced to form queues outside Magistrates courts where they will be tried and fined EXTRA money for non payment of council tax bills. Most of the people who are being fined do NOT have the money to pay the bill in the first place which is why they are now being forced to court. An estimated 1.9 million who did not have to pay council tax before the changes now find themselves deeply in debt with their incomes cut and no way of paying for soaring food prices and soaring energy prices.

As you can see some of David Cameron’s and the Tories and Liberal Democrat government’s “hardworking families” can be clobbered at least 4 times each and the total effect on their weekly incomes will be absolutely devastating, can anyone in this absolutely ludicrous insane narcissistic government please explain how on top of all these cust, people are going to be able to pay to keep their homes warm and lit? How will all those on prepayment metres cope with the soaring costs of energy on top of all of these cuts?

Why isn’t someone doing something about the energy companies charging vulnerable people MORE per unit of energy ABOVE the price everyone else pays?

The devastating verdict is in just one year this Tory led Coalition Government has pushed a million people into absolute poverty and all the progress the previous Labour government made in tackling relative child poverty has ground to a halt. In their first year this Government have pushed a million people into poverty and it is getting worse.
Now more than 5 million people in Britain are being paid less than the minimum wage, thanks to the Tory and Lib Dem Coalition Government’s naked attack on peoples living standards and their deliberate driving down of wages.

How are these people going to afford to heat and light their homes?

A recent Oxfam report says that austerity will drive more than one million children into poverty. The Oxfam report says George Osborne’s cuts and tax rises are “massively increasing” inequality in the UK and the Government’s austerity policies will push a further 800,000 children into poverty. Oxfam warns that by 2020  there will be an additional 800,000 children – up from 2.3 million at present – and 1.9m more adults living below the breadline.

How are these people going to afford to heat and light their homes?

Food Banks – Over 350,000 people received emergency help from the Trussell Trust food banks between April and September 2013. Inquiries  for help at foodbanks has tripled this past year. The level of poverty and deprivation in the country is not acceptable, it is scandalous. Michael Gove should hang his head in shame for accusing people of not managing their money properly, they have no money to manage he and his government have seen to that! And his wife filling her fridge and cupboards with junk foods throughout the summer and writing about it is just callous and shows how out of touch this hideous government is.

The Trussell Trust has also reported that people have been giving back items that need cooking because they cannot afford the gas or electricity to cook them, this is an absolute abomination, we are the 7th richest country in the world and we are forcing the poor, unemployed, the elderly, the disabled and the vulnerable to pay for the greed of the bankers.

And what is George Osborne’s answer to this while Ed Miliband is fighting the Government and the energy conglomerates to try and get a better deal for people? George Osborne is away with the fucking fairies in the EU taking them to court to safeguard bankers mega bonuses and just to add insult to injury, Osborne is forcing the taxpayer to pay over a million pounds in bankers legal fees!

The government is grabbing money from poor people hand over fist at the same time as they have given a huge tax concessions to millionaires handing them at least a £100,000 cheque tax cut. I bet they do not have to worry about turning the heating on, or worry about having enough power to cook the food a food bank gave them!

Today it is reported that cabinet ministers have been claiming thousands of pounds for energy costs, while Tories are all in it together!

Nadhim Zahawi laughing with the PM
after the millionaire claimed £5882
back in energy costs

 Our poor and vulnerable are freezing cold and cannot cook their food, and one millionaire Tory Nadhim Zahawi claimed  £5882 off of the taxpayer in just 12 months, more than four times the average household bill! Yep those –

I am so glad they think the situation they have caused in this country to be so funny, they laugh while millions struggle in despair and the winter hasn’t even started properly yet!

Someone needs to do something and do it fast, if they do not then people are going to die of starvation and hypothermia this winter.

And why are the energy conglomerates charging people with prepayments metres MORE for their energy? It is a bloody disgrace!

One thought on “Welcome to Breadline Britain

  1. Pingback: Breadline Britain « BGTV MEDIA ONLINE

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