RECENTLY, the Government reneged on the Triple Lock and prior to that an economist (Julian Jessop) published a letter in your newspaper (and probably many others) saying that an 8.8 per cent rise in the State OAP was ‘unaffordable and unjustifiable’.
More recently huge price rises of about 40 per cent for fuel have been announced by the ‘Big Six’ and others who are mostly foreign owned.
Now even more misery has been broadcast due to a fire stopping electricity from France, perhaps leading to further increases. Most households will see at the least a £400-plus rise in bills.
These fuel price rises are not due to start until after October 1, which, conveniently, is after the CPI figures for September are published, and on which the rise in OAP is calculated.
Now supposing that the CPI figures for September are calculated to be 2.5 per cent, which the Office for National Statistics says is unlikely, OAPS will at the very most get an increase of £4.49, some a little less.
CPI inflation for September is forecast to be about 1.5 per cent.
So, once again, OAPs are, in effect, subsidising prolific Government spending by being forced to accept about £2.70 a week.
It looks like we’ll have to wrap up warm again this winter, especially if Vladimir Putin turns off the gas too!
Even an 8.8 per cent rise would hardly cover the increased heating bills.