Since water was privatised in 1989, household water bills have risen faster than the rate of inflation. On 19 December OFWAT announced an average increase in charges of 36 per cent above inflation over the next five years, with considerable variations between companies ranging from a 53 per cent increase for Southern Water customers to 21 per cent for customers of Northumbrian Water and Wessex Water. Across England and Wales, water bills will rise by an average of £123 a year from April.
I had an interesting meeting I wanted to tell you about. I had the opportunity to meet with the Minister for Employment and the Secretary of State for Education at 10 Downing Street.
Between now and the end of 2025, thousands of constituents will have their existing benefit payments switched off and replaced with universal credit. The process involves several hurdles; in the worst-case scenario, a family could be left without any income at all. This briefing explains how the process works, issues constituents are likely to face, and how MPs can carry out effective casework on this topic.
The DWP sensibly began rolling out managed migration to tax credit-only claimants, who have simpler benefit entitlements to calculate, are more likely to have savings to draw on and less likely to be vulnerable. Now it is proceeding to a much more complex and vulnerable claimant group. With the self-imposed tax credit deadline looming, if the DWP does not act now, it appears the more vulnerable claimants will be at the greatest risk of falling victim to a sprint finish.
Since our last report was published, the DWP has brought forward the managed migration of 800,000 employment and support allowance (ESA) claimants who do not get tax credits, which had been delayed until 2028.
A change is coming to child benefit. This Saturday, more families will become eligible as the earnings threshold at which you start losing child benefit increases. The government has finally recognised that ‘the way we treat child benefit in the tax system is confusing and unfair’ and proposed two changes to try to simplify it. It’s ironic that this confusion and unfairness was introduced by the government in the first place.
There was very little in this Budget for children and families living in poverty. The Chancellor said yesterday that this government does not pass on its bills to the next generation, but the 4.2 million children living in poverty today are the next generation. Child poverty is scarring, and the decisions taken yesterday will leave a legacy of cold homes, empty tummies and crumbling classrooms. We are in urgent need of a plan to tackle child poverty.
For almost fifteen years, the four million kids from poor families have been at the bottom of the pile and today is no different. This was a Budget all but blind to buckling family budgets and broken public services and will leave a legacy of crumbling classrooms, cold homes, and empty tummies.