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Households and businesses are facing increased costs on a number of items and services today.

Broadband, mobile and water bills are among those being hiked, along with corporation and council tax and energy charges for businesses.

Here, Sky News explains what is affected – and what you can do if you’re struggling.

Wages

The national minimum wage and the national living wage are both increasing. What’s the difference? The national minimum wage is a legal requirement – employers must pay you at least this much. The national living wage is higher and workers get it if they’re over 23.

The living wage is going up by 92p an hour to £10.42 an hour for workers aged 23 and over and the Resolution Foundation says this will be the biggest annual cash hike in the wage’s 24-year history.

Around 1.7 million workers earning up to 5p above the previous minimum wage will be most likely to notice the difference in their pay packets. Another five million low-paid workers will also benefit, as employers look to maintain differentials between pay bands.

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The new rates are:

  • The national living wage is increasing by 92p to £10.42
  • The rate for 21 and 22-year-olds is increasing by £1 to £10.18 an hour
  • The rate for 18-20-year-olds is going up 66p to £7.49
  • 16-17-year-olds will get an increase of 47p to £5.28, as will apprentices

The Trades Union Congress, however, says the increase in the minimum wage is not enough to keep up with inflation, which has been at around 10% in recent months.

But a rise in the minimum wage is not good news for everyone – businesses have to find more money to pay their workers and, as we’ll see later, they already have some pretty big price rises of their own to worry about.

Read more:
Can local councils survive spending cuts?

UK house prices suffer biggest annual decline since 2009
Gender pay gap narrowing – but women still paid 89p for every £1 a man earns

Corporation tax

Corporation tax is going up six percentage points today to 25% for business with profits exceeding £250,000.

Chancellor Jeremy Hunt has insisted that this will only affect 10% of businesses.

Tina McKenzie, policy chair at the Federation of Small Businesses (FSB), said: “This week sees the end of meaningful energy support for most small firms, alongside rising employment costs and increases to corporation tax.

“The combined pressures facing firms right now will greatly impact small businesses’ ability to weather the storm, and leaves them facing very tough choices.

“It’s crucial we keep a strong small business economy so there are jobs, competition and a strong offer for consumers.”

Alex Veitch, director of policy at the British Chambers of Commerce (BCC), said: “Changes on corporation tax, water bills and the minimum wage are all extra costs that businesses have known were coming. But when piled on top of energy bills they make it a difficult start to the new financial year.

“Firms knew before the budget that corporation tax would rise, and the super-deduction tax incentive was going, but its replacement does not appear as generous.

“The most recent BCC survey on investment found that only a fifth of firms were increasing investment and a similar number were reducing it.

“The government is unlikely to see the economic growth it desperately needs when so many businesses are still fighting to keep their heads above water.”

Energy bills

Businesses will see massive hikes in their energy bills because the government’s energy bill relief scheme comes to an end today.

The BCC has said that almost half of firms will be finding it difficult to afford to pay their bills from now on.

Mr Veitch said the organisation had suggested seven ways the government could help businesses get through this difficult time but “not one was acted upon”.

These included things such as easing the burden of VAT on energy bills and funding for improved business energy efficiency.

Households are also facing the prospect of paying more for their energy supply.

Most will have received £400 from the government in the form of discounts on energy bills from late last year – so about £67 a month. Well, your last instalment of that was in March – it’s over now.

There is some ongoing support for the most vulnerable, but the support will no longer be given to everyone regardless of circumstance.

The government’s energy price guarantee, brought in late last year as a sort of de-facto price cap, will remain at £2,500 for the typical household.

But because most of us have lost the £400 government support, we will effectively be paying more.

Standing charges – the daily rate you pay to have an energy supply (regardless of how much you use) – are also going up from today.

Broadband, mobile and water bills

The average household water bill is going up by £31 a year to £448 – a rise of 7.5% – for customers in England and Wales.

Mobile and broadband prices are expected to rise by between 14% and 17%. Citizens Advice said these could add an average of £90 a year to household bills. This is especially frustrating, as many telecoms suppliers regularly hike bills anyway – even if you’re in the middle of a contract.

Matthew Upton, director of policy at Citizens Advice, said: “We called on these firms to support their customers during this uniquely challenging time, but they didn’t listen. Instead, they’re pushing ahead with these mid-contract price rises.

“Ofcom should be holding these companies to account, but it has kicked the can down the road with a review that won’t land until the end of the year.

“When the regulator does act, it must deal with this once and for all by banning any future mid-contract price hikes.”

Listen and subscribe to The Ian King Business Podcast here.

Council tax

Most local authorities are hiking council tax by 5% from April.

This means that a band D home can expect to pay about an extra £100 a year, with the average bill topping £2,000 for the first time, according to government figures released last week.

Personal tax

The rate of personal tax hasn’t actually increased, but you’re still likely to end up paying more. Let me explain.

The government announced back in November that personal tax thresholds – the point at which a worker starts paying tax or starts paying tax at a higher rate – will be frozen in England, Wales and Northern Ireland until 2028.

Incomes generally rise – especially when workers are having to cope with high inflation and other living costs. But if the tax thresholds stay the same, more workers get dragged into the next tax band. This is what economists call fiscal drag and it’s what newspapers often call a stealth tax.

The Institute of Fiscal Studies says that the freezing of income tax and national insurance allowances and thresholds will cost most basic rate taxpayers an extra £500 and most higher rate taxpayers £1,000.

The Resolution Foundation says the size of the UK’s ‘stealth tax’ threshold freeze over six years has almost trebled to £25bn, compared to the £9bn forecast when it was originally announced in the 2021 budget, and later extended.

Anything else?

You mean that’s not enough?

Prescription charges are going up in England by 30p from today, taking the fee per item to £9.65.

We already know that the price of food is continuing to rise, and train fares were increased earlier this year. Mortgage rates have gone up – fine if you’re sitting on a fixed rate, but potentially very painful if you’re about to re-mortgage.

And renters aren’t safe either – if a landlord is having to pay more to own the house, you can bet they’re likely to recoup at least some of that from the occupants.

The average prices of unleaded, super unleaded and diesel are expected to fall, however. That’s right – fall! You might remember those crazy days of July when a litre of unleaded was averaging 191.43p – well, by 15 March, it was sitting at 147.28p.

And according to RAC Fuel Watch, the prices will fall further. Well, at least that’s one thing.

So what can you do if you’re struggling?

The most important thing is not to ignore the bills. They won’t get better or go away.

Contact the company you owe money to and they are likely to be able to help – they could arrange an instalment plan with you, reduce your repayments, or pause your repayments in some circumstances.

Contact your council and see if you’re eligible for any help from them.

If you’re in debt or just looking for some help, contact an organisation like the CAB or a debt advice service such a StepChange. This advice should be free.

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Asylum hotel protests expected to swell this weekend – as Farage unveils ‘mass deportation’ plan

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Asylum hotel protests expected to swell this weekend - as Farage unveils 'mass deportation' plan

A weekend of protests and counter-protests outside hotels housing asylum seekers began last night, with dozens expected today. It comes as Reform UK leader Nigel Farage has vowed “mass deportations” of illegal immigrants if his party wins the next general election.

Saturday is set to see more demonstrations across major towns and cities in England, organised under the Abolish Asylum System slogan, with at least 33 planned over the bank holiday weekend.

The protests are expected in Bristol, Exeter, Tamworth, Cannock, Nuneaton, Liverpool, Wakefield, Newcastle, Horley, Canary Wharf, Aberdeen and Perth in Scotland, and Mold in Wales.

Counter-protests – organised by Stand Up To Racism – are also set to be held in Bristol, Cannock, Leicester, Liverpool, Newcastle, Wakefield, Horley and Long Eaton in Derbyshire.

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Govt to appeal migrant hotel ruling

It comes after Friday night saw the first demonstrations of the weekend, including one outside the TLK hotel in Orpington, south London.

Dozens of protesters could be heard shouting “get them out” and “save our children” next to the site, while counter protesters marched to the hotel carrying banners and placards which read: “Refugees welcome, stop the far right.”

The Metropolitan Police said a large cordon was formed between the two groups and the hotel, and later confirmed that no arrests were made.

More on Asylum

Abolish Asylum System protests were also held in Altrincham, Bournemouth, Cheshunt, Chichester, Dudley, Leeds, Canary Wharf, Portsmouth, Rhoose, Rugby, Southampton and Wolverhampton.

Protesters outside the Holiday Inn Central, Ashford, Kent. Pic: PA
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Protesters outside the Holiday Inn Central, Ashford, Kent. Pic: PA

Tensions around the use of the hotels for asylum seekers are at a high after statistics showed there were more than 32,000 asylum seekers currently staying in hotels, marking a rise of 8% during Labour’s first year in office.

Regular protests had been held outside the Bell Hotel in Epping, Essex, which started after an asylum seeker housed there was charged with sexually assaulting a 14-year-old girl on 10 July.

In the wake of those protests, Epping Forest District Council sought and won an interim High Court injunction to stop migrants from being accommodated there – a decision which the government is seeking permission to appeal.

Read more:

Who says what on asylum hotels
18 councils pursuing or considering legal action to block asylum hotels
Migration stats going in the wrong direction
Labour may have walked into political trap over Epping hotel

Police officers separate people taking part in the Stand Up To Racism rally and counter protesters in Orpington. Pic: PA
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Police officers separate people taking part in the Stand Up To Racism rally and counter protesters in Orpington. Pic: PA

Farage vows ‘mass deportations’ if elected

Meanwhile, Nigel Farage has told The Times there would be “mass deportations” of illegal immigrants if Reform UK wins the next general election, vowing to remove the UK from the European Convention on Human Rights and other international agreements to facilitate five deportation flights a day.

When asked by the newspaper whether that would include Afghan nationals at risk of torture or death, he said: “I’m really sorry, but we can’t be responsible for everything that happens in the whole of the world.

“Who is our priority? Is it the safety and security of this country and its people? Or are we worrying about everybody else and foreign courts?”

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Asylum hotel closures ‘must be done in ordered way’

Minister of State for Border Security and Asylum Angela Eagle said in response that the Reform UK leader is “simply plucking numbers out of the air, another pie in the sky policy from a party that will say anything for a headline”.

She added: “This Labour government has substantially increased returns with 35,000 people removed from the country in the last year alone, a huge increase on the last government.

“We are getting a grip of the broken asylum system. Making sure those with no right to be here are removed or deported.”

Labour has pledged to end the use of hotels to house asylum seekers by the end of this parliament in 2029.

Conservative MP and shadow home secretary Chris Philp also accused Reform UK of recycling Tory ideas on immigration.

“Nigel Farage previously claimed mass deportations were impossible, and now he says it’s his policy,” he added. “Who knows what he’ll say next.”

Home Office stops Norfolk hotel

It comes after South Norfolk Council said it had been told that the Home Office intends to stop housing asylum seekers at the Park Hotel in the town of Diss – which has also seen demonstrations over the last month.

Protests broke out there after officials said they would send single men to the hotel rather than women and children. The hotel’s operator had warned it would close if the change was implemented.

A Home Office spokesperson said on Friday that “we are not planning to use this site beyond the end of the current contract”.

In response, Conservative council leader Daniel Elmer said: “The Home Office thought it could just impose this change and that we would accept it.

“But there is a right way of doing things and a wrong way, and the decision by the Home Office was just plain wrong.”

He added that while “I welcome the decision, in reality it does mean that the women and children who we fought so hard to protect will now be moved elsewhere, and that is a shame”.

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Labour may have walked into political trap over housing asylum seekers in hotels

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Labour may have walked into political trap over housing asylum seekers in hotels

Has the government just walked into a giant political elephant trap by attempting to reverse the Epping hotel ruling?

Already on the back foot after a judge ordered the Bell Hotel to be emptied of asylum seekers, the Home Office is now being attacked for trying to appeal that decision.

“The government isn’t listening to the public or to the courts,” said Tory shadow home secretary Chris Philp.

The politics is certainly difficult.

Government sources are alive to that fact, even accusing the Tory-led Epping Council of “playing politics” by launching the legal challenge in the first place.

The fact Labour councils are now also considering claims undermines that somewhat.

After all, the party did promise to shut every asylum hotel by the next election.

More on Asylum

Figures out this week showed an increase in the number of migrants in hotels since the Tories left office.

And now, an attempt to keep people in a hotel that’s become a flashpoint for anger.

That’s why ministers are trying to emphasise that closing the Bell Hotel is a matter of when, not if.

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What do migration statistics tell us?

“We’ve made a commitment that we will close all of the asylum hotels by the end of this parliament, but we need to do that in a managed and ordered way”, said the security minister Dan Jarvis.

The immediate problem for the Home Office is the same one that caused hotels to be used in the first place.

There are vanishingly few accommodation options.

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Asylum hotel closures ‘must be done in ordered way

Labour has moved away from using old military sites.

That’s despite one RAF base in Essex – which Sir Keir Starmer had promised to close – seeing an increase in the number of migrants being housed.

Back in June, the immigration minister told MPs that medium-sized sites like disused tower blocks, old teacher training colleges or redundant student accommodation could all be used.

Until 2023, regular residential accommodation was relied on.

Read more from Sky News:
Rise in migrants staying in hotels
Town ‘changed’ by immigration
Explainer: Where can migrants stay?

But getting hold of more flats and houses could be practically and politically difficult, given shortages of homes and long council waiting lists.

All of this is why previous legal challenges made by councils have ultimately failed.

The government has a legal duty to house asylum seekers at risk of destitution, so judges have tended to decide that blocking off the hotel option runs the risk of causing ministers to act unlawfully.

So to return to the previous question.

Yes, the government may well have walked into a political trap here.

But it probably had no choice.

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Family of mother killed at Notting Hill Carnival say it’s an ‘unmanageable event’ and is ‘unsafe’

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Family of mother killed at Notting Hill Carnival say it's an 'unmanageable event' and is 'unsafe'

Over a million people are descending on west London this week for an event like no other.

Colourful, celebratory and culturally significant, but it has become increasingly contentious.

For the family of Cher Maximen it’s an event they can no longer be excited about.

In their eyes, carnival has been tainted by the memories of last year when 32-year-old Cher was killed in front of her young daughter in an unexpected, unprovoked attack in the middle of carnival’s ‘family day’.

Cher Maximen was fatally stabbed at last year's carnival
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Cher Maximen was fatally stabbed at last year’s carnival

Cher’s family say she would not want the event to stop, but that its “current format” is unsafe.

“Where some people say, wrong place, wrong time. She was in the right place, at the right time, where she should have been, and still she wasn’t safe,” says Lawrence Hoo, Cher’s cousin.

Mr Hoo says the event is not set up to protect carnival-goers: “She was in the safest location possible on family day with her daughter and she was murdered directly in front of police officers, so if it can happen there, it can happen anywhere, in all honesty, it’s an unmanageable event.”

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Last year, the number of carnival-related crimes were down on the year before, and the majority were related to drug offences.

Cher was one of two people murdered at last year’s event.

Lawrence Hoo, Cher Maximen's cousin, thinks the current format of the carnival is unsafe
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Lawrence Hoo, Cher Maximen’s cousin, thinks the current format of the carnival is unsafe

Mr Hoo says the threat of violence hasn’t gone away: “Really, one murder is a murder too many. I believe that has become too dangerous.

“Could it happen again? Of course it could happen again. Of course, it could happen again. You could turn up the day before, you could be there, you can step out of the front door, you’re in the site. I think it’s an unmanageable location.”

Cher’s grandmother, Vyleen Maximen, wants the international three-day event to be moved.

Vyleen Maximen, Cher's grandmother, wants the carnival to be moved
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Vyleen Maximen, Cher’s grandmother, wants the carnival to be moved

“When I had the meeting with them, I said ‘why can’t you move it to a different place? ie Hyde Park – that’s a big enough park’. I was told ‘well, it wouldn’t be called Notting Hill Carnival’.”

For the family it comes down to concerns around who attends the street parade. The perceived lack of screening for individuals with weapons worries them.

“This is why I would like it moved,” Ms Maximen said.

“I mean, it’s not up to me. This is just my personal opinion. Have it structured, this is the way in, then the way out, but on the streets you can do whatever and just escape through the streets.”

Vyleen Maximen proudly wears a T-shirt showing images of her granddaughter
Image:
Vyleen Maximen proudly wears a T-shirt showing images of her granddaughter

This weekend, carnival organisers say 7,000 officers and staff will be on site each day with live facial recognition cameras and screening arches used at the busiest entry points.

The option of moving the event however is not up for discussion, says Matthew Phillip, Notting Hill Carnival’s chief executive.

“Carnival should remain on the streets of Notting Hill. It’s where it started, it’s a community event. Unfortunately, it has been marred by incidents.

“Our hearts are very much with the family, but carnival should remain on in the streets of Notting Hill. What we need to do is actually tackle the root causes of the issues of violence that we have in the capital that happen 365 days of the year.”

Read more from Sky News:
Travel disruption over bank holiday
David Lammy avoids fishing fine
Asylum housing is political trap

In the run-up to the event, the Metropolitan Police have arrested more than 100 people who had planned to attend and seized dozens of knives and firearms.

Commander Charmain Brenyah from the force explains that while the event “creates unique challenges” due to its size and scale, the security operation has been months in the planning.

“All of that work doesn’t just start at carnival. It started in the weeks and months previous to that, where we’ve been taking people off the streets to make sure they don’t come to carnival to cause harm.

“We’ve made 100 arrests of people for various offences. We’ve recalled 21 people to prison. We’ve taken 11 firearms off the street and 40 knives. This is all about making sure that people come to the event and have a safe and secure carnival.”

Carnival CEO Matthew Phillip has rejected calls for the event to be moved
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Carnival CEO Matthew Phillip has rejected calls for the event to be moved

Mr Phillip, the carnival’s chief executive, is adamant, the event is safe.

“We’ve put a lot of measures in place, as we always do, but even more so this year, to keep people safe,” says Mr Phillip.

“Carnival is a safe space, it’s no more unsafe than the rest of London. So I would say come and, you know, be respectful. We want everybody to come and be respectful and care for each other. But carnival it’s a safe space.”

Cher’s family say she would not want the event stopped, the young mother adored music and dancing, especially at carnival.

But moving it, her cousin Mr Hoo says, could keep everyone safe.

“They can’t put enough precautions in place to make it safe. That’s the reality. It’s absolutely unmanageable in its current format.”

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