Skip to content
Search

Latest Stories

Incoming UK prime minister Truss faces a country in crisis

Workers from refuse collectors to lawyers have for several months been joining picket lines to push for higher pay.

Incoming UK prime minister Truss faces a country in crisis

The UK's new prime minister, Liz Truss, takes power following a "summer of discontent" and as Britons tighten their belts in response to double-digit inflation and soaring energy costs.

"We have a historically huge shock to the cost of living and incomes," said James Smith, research director of the Resolution Foundation think-tank.


"The next prime minister will have to focus on the current crisis from day one."

Workers from refuse collectors to lawyers have for several months been joining picket lines to push for higher pay.

The strikes have won widespread support but at the same time infuriated some people caught up in train cancellations, overflowing bins and empty shelves.

The industrial unrest comes as drought in England and Wales, exacerbated by climate change, has parched crops, sparked wildfires and caused trees to shed leaves early.

But many households are already shivering in anticipation of a winter of massively hiked energy prices.

"It's summertime in the UK but the living is anything but easy," quipped the Financial Times.

"Almost nothing seems to be working in Britain," wrote The Economist magazine, adding: "It could get worse".

Inflation impact

The Office for National Statistics this month said its consumer price index had risen 10.1 percent in the year since July 2021, the highest jump in 40 years.

The cost of food and non-alcoholic drinks has risen most sharply, with the biggest price hikes basic foods such as milk, cheese and yoghurts.

This comes as inflation has created the steepest fall in real-term wages in two decades, hitting those on lower incomes the worst.

"These price rises have made the country worse off and many or all of us will ultimately lose out as a result," said the respected Institute for Fiscal Studies (IFS) think-tank.

In a sign of growing poverty, the number of children eligible for free school meals is up almost 1.9 million since 2021.

'Real hardship'

Meanwhile, the UK energy regulator is shortly to allow suppliers to charge consumers vastly more, to reflect high global wholesale prices.

The UK has some of the least energy efficient and oldest homes in Europe and a slow rollout of green technology such as heat pumps.

High bills will hit people across society but particularly those on low incomes with high energy needs, said Smith of the Resolution foundation, citing large families and people with disabilities.

"I think we are going to see real hardship and even destitution," he warned.

The poorest in Britain often use pre-payment meters, meaning they cannot spread energy costs across the year.

The Resolution Foundation has proposed a 30-percent discounted "social tariff" for low- to middle-income households.

While Europe is also experiencing a big energy shock and the US is seeing its economy overheat and high inflation, "in a way we've got the worst of both worlds", said Smith.

The University of York has estimated that two-thirds of UK households will be in "fuel poverty" by January -- paying over 10 percent of net income on energy.

Experts warn of severe consequences.

"In a matter of weeks, many more parents are going to be facing impossible choices between eating or heating.

"Yet we still do not yet have a plan from the UK government that recognises the urgency or scale of this energy price crisis," said Dan Paskins, director of UK Impact at Save the Children.

Industrial action

In a "hot strike summer", numerous sectors are demanding pay rises equal to inflation -- rail and bus workers, dockers, postal workers and even criminal lawyers.

In Scotland's capital, Edinburgh, council workers who remove rubbish timed a stinking strike to coincide with the city's globally famous arts festival.

Dockers have walked out at the major container port of Felixstowe, in eastern England, in a move set to hit supply chains.

The rise in strikes has prompted right-wing media to draw parallels with the 1970s, when nationwide strikes were widespread.

The National Institute of Economic and Social Research think-tank stressed, however, that "the strikers in 2022 ... are operating from a position of weakness".

Only about 23 percent of the workforce is now represented by unions, it said.

Due to Brexit, Covid and other factors, the labour market is tight, with fewer workers than jobs.

This has hit sectors such as airports, which let specialised staff go during the Covid pandemic, resulting in long queues for holidaymakers and flights scrapped from schedules.

(AFP)

More For You

black-smoke-getty

Black smoke is seen from the chimney of the Sistine Chapel as Catholic cardinals gather for a second day to elect a new pope on May 8, 2025 in Vatican City. (Photo: Getty Images)

Cardinals to vote again after second black smoke signals no pope yet

CARDINALS will cast more votes on Thursday afternoon to choose the next pope, after a second round of black smoke rose from the Sistine Chapel, signalling that no candidate has yet secured the required majority.

The 133 cardinals began the conclave on Wednesday afternoon in the 15th-century chapel to elect a successor to Pope Francis. So far, two rounds of voting have ended without agreement. Black smoke appeared again at lunchtime on Thursday, showing no one had received the two-thirds majority needed.

Keep ReadingShow less
king-charles-ve-day-reuters

King Charles lays a wreath at the grave of the Unknown Warrior during a service of thanksgiving at Westminster Abbey in London on the 80th anniversary of VE Day. (Photo: Reuters)

Reuters

King Charles leads VE Day service marking 80 years since WWII ended

KING CHARLES joined veterans and members of the royal family at Westminster Abbey on Thursday to mark 80 years since the end of World War II in Europe. The service was the main event in the UK's four-day commemorations of Victory in Europe (VE) Day, which marked Nazi Germany’s surrender on May 8, 1945.

Charles and his son Prince William laid wreaths at the Grave of the Unknown Warrior. The King’s message read: "We will never forget", signed "Charles R". William's wreath message read: "For those who made the ultimate sacrifice during the Second World War. We will remember them", signed "William" and "Catherine".

Keep ReadingShow less
NHS worker Darth Vader

Darth Vader is a legendary villain of the 'Star Wars' series, and being aligned with his personality is insulting

Getty

NHS worker compared to Darth Vader awarded £29,000 in tribunal case

An NHS worker has been awarded nearly £29,000 in compensation after a colleague compared her to Darth Vader, the villain from Star Wars, during a personality test exercise in the workplace.

Lorna Rooke, who worked as a training and practice supervisor at NHS Blood and Transplant, was the subject of a Star Wars-themed Myers-Briggs personality assessment in which she was assigned the character of Darth Vader. The test was completed on her behalf by another colleague while she was out of the room.

Keep ReadingShow less
Sunak-Getty

Sunak had earlier condemned the attack in Pahalgam which killed 26 people. (Photo: Getty Images)

Getty Images

Sunak says India justified in striking terror infrastructure

FORMER prime minister Rishi Sunak said India was justified in striking terrorist infrastructure following the Pahalgam terror attack and India’s Operation Sindoor in Pakistan. His statement came hours after India launched strikes on nine locations in Pakistan and Pakistan-administered Kashmir.

“No nation should have to accept terrorist attacks being launched against it from a land controlled by another country. India is justified in striking terrorist infrastructure. There can be no impunity for terrorists,” Sunak posted on X, formerly Twitter.

Keep ReadingShow less
india pakistan conflict  British parliament appeals

A family looks at the remains of their destroyed house following cross-border shelling between Pakistani and Indian forces in Salamabad uri village at the Line of Control (LoC).

BASIT ZARGAR/Middle east images/AFP via Getty Images

India-Pakistan conflict: British parliament appeals for de-escalation

THE rising tensions between India and Pakistan in the wake of the Pahalgam terror attack and Operation Sindoor targeting terror camps in Pakistani Kashmir were debated at length in the British Parliament. Members across parties appealed for UK efforts to aid de-escalation in the region.

India launched Operation Sindoor early Wednesday (7), hitting nine terror targets in Pakistan-occupied Kashmir and Pakistan's Punjab province in retaliation for the April 22 terror attack terror attack that killed 26 people in Jammu and Kashmir's Pahalgam.

Keep ReadingShow less