Rachel Reeves has just taken a huge gamble - and it's YOUR money that's on the line: JASON GROVES
Well, that was expensive. So expensive, in fact, that Treasury officials were joking this afternoon that the Chancellor has 'just spent £4trillion'.
In the run-up to last year's election, Labour insisted it had 'no plans' for major tax rises and would not be returning to the profligate tax and spend approach of its past.
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Powys County Times
26 minutes ago
- Powys County Times
Badenoch to call for end to oil and gas windfall tax and ban on new licences
Tory leader Kemi Badenoch is set to call for an end to the windfall tax on oil and gas companies and the ban on new licences. The energy profits levy was put in place under the previous Conservative government but extended when Labour entered power. Designed to fund interventions to bring down household bills, the policy has been criticised by those in the industry. Speaking at the Scottish Conservative conference in Edinburgh on Friday, Mrs Badenoch is expected to tout the oil and gas sector, accusing the UK Government of 'killing' it, claiming 'renewing our party and our country means standing up for our oil and gas industry'. She will add: 'When the oil and gas windfall tax, the energy profits levy, was brought in, the oil price was near a historic high, at the exact time as energy bills for the British people were sky-rocketing. 'But there is no longer a windfall to tax. It has long gone. And the longer this regressive tax on one of our most successful industries remains, the more damaging it becomes. 'Labour have extended and increased this tax. They are killing this industry.' If the measure remains in place to 2030 as intended, Mrs Badenoch will say 'there will be no industry left to tax'. She will add: 'So, today, I say enough. Labour must remove the energy profits levy. Labour must speed up the process of replacing it with a system that rewards success and incentivises investment. 'Because we shouldn't have this energy profits levy at all. 'We must scrap the ban on new licences. 'We must overturn the ban on supporting oil and gas technology exports. 'And we must champion our own industry. 'We must let this great British, great Scottish industry thrive, grow and create jobs – ensuring our energy security for generations to come, driving growth and making this country richer in the process.' Mrs Badenoch will address her first Scottish party conference as leader on Friday while her counterpart north of the border Russell Findlay will deliver his inaugural address on Saturday. Responding to Mrs Badenoch, Simon Francis of the End Fuel Poverty Coalition said her comments were 'out of touch', adding: 'Even with the windfall tax in place, the energy industry made over £115 billion in profits in 2024 alone. 'Meanwhile, average household energy bills remain hundreds and hundreds of pounds higher than they were before the energy crisis started. 'While the Government is right to be consulting on reform of the windfall tax, maintaining a profits levy could help fund home upgrades and a social tariff which would bring down energy bills for the most vulnerable in society.' SNP MSP Kevin Stewart said: 'The Tories wrecked our economy, presided over soaring household bills and ripped Scotland from the EU against our will. 'And now they're lurching further to the right as they haemorrhage votes to Nigel Farage. 'This weekend will be an important reminder of how Westminster has failed Scotland. Only the SNP is offering hope and a brighter future as an independent nation.' Scottish Labour deputy leader Jackie Baillie said: 'While the Tories and SNP let energy workers down by failing to plan for the future, Scottish Labour is committed to taking action towards reaching net zero, creating jobs and cutting energy bills. 'The Tories are on the side of oil and gas giants rather than working Scots, but Scottish Labour will work with the UK Government and use devolved powers to deliver a just transition for the industry. 'With Kemi Badenoch desperately attempting to rally the few remaining Scottish Tories, it seems like it won't be long until they can fit all of their MSPs in a single taxi.'
Daily Mail
28 minutes ago
- Daily Mail
Do house prices really double every 10 years? Why where you live has made a big difference
The old adage that house prices double roughly every 10 years may be broken, according to new analysis by Zoopla. It revealed that on average, prices have failed to double - even over the last two decades. House prices across Britain have increased by an average of 74 per cent over the last 20 years, according to the property portal, rising from £154,300 to £268,200. Consumer prices inflation has been about 76 per cent over the same period, while retail prices inflation has been 107.5 per cent, our inflation calculator shows. Zoopla says the ratio between house prices and earnings has also stayed broadly the same during that time, with the average home costing 6.4 times the typical annual salary. This would suggest that house prices are no less affordable than they were two decades ago. However, this is not entirely true given that house price increases vary significantly across regions. Where have house prices risen most? London has seen the most significant house price increases over the last twenty years, according to Zoopla's data. It says the average home in the capital has risen by 119 per cent since 2005, going from £244,200 to £534,400. House prices in the South East and Eastern England have also seen house prices register greater percentage gains than the national average over the past 20 years. Both regions have seen average property prices increase by 87 per cent during that time. House price to earnings ratios have also increased in both regions, from 7.8 to 8.6 in the South East and 7.1 to 7.7 in Eastern England. Why exactly where you live matters for house prices But even within each given region, there are local areas that have done better than others. Within the South East, the town of Elmbridge in Surrey has seen the biggest average increase in house prices over the last two decades, up from £338,800 to £712,700 - a 110 per cent increase. Despite its high property prices, the area's excellent transport links to London and picturesque countryside make it a highly attractive location for families. However, there are also more affordable areas in the South East, with Southampton in Hampshire registering the lowest average price increases in the region over the last 20 years, up 63 per cent from £138,500 to £225,500. In Eastern England, average house prices in St Albans have seen the most significant increase in the region since 2005, up 108 per cent from £298,600 to £622,100. Just 25 miles away from London, the city is popular with commuters as well as history enthusiasts due to its spectacular cathedral and Roman architecture. However, like the South East, there are more affordable pockets in Eastern England, with the popular coastal town Great Yarmouth seeing the lowest growth in average house price increases in the region over the last 20 years, up 77 per cent from £105,900 to £187,700. The North-South divide: what's happening? What's clear from Zoopla's data is that there is a gap between the North and South of England - but this been closing in recent years. Average house prices have increased by 39 per cent over 20 years in the North East, the smallest rise of any region. House price to earnings ratios have improved the most in the North East compared to the rest of the UK, falling from 5.7 to 4 over the last twenty years. Sunderland has registered the lowest average house price increases in the region, with prices rising from £101,600 to £124,000 - a mere 22 per cent change. Elsewhere, affordability has also improved in the North West and Yorkshire, with house price to earnings ratios falling from 6 to 5.1 in the North West and 5.7 to 5 in Yorkshire. In Blackpool on the North West coast, average house prices have increased by just 26 per cent, with homes now costing £124,300 on average, up from £98,400 in 2005. In Hull, the fourth-largest city in Yorkshire, average house prices have increased by 49 per cent, or £38,100 over the last 20 years. 'The picture is far from uniform across the UK,' said Daniel Copley, consumer expert at Zoopla. 'Our data shows that while some areas have seen dramatic increases, house prices have risen slowly, in line with incomes in northern regions.' For anyone now looking to buy, it means the north will represent much better value for money than in the past. 'If you grew up in north-east England, bought in London and are now returning to your roots, you're in luck,' said Tom Bill, head of UK residential research at Knight Frank. 'You will get significantly more bang for your buck and the equity accumulated means your mortgage could be wiped out altogether. 'The gap between the capital and the rest of the country has narrowed in recent years as more affordable parts of the UK have seen stronger house price growth. 'The squeeze in London means more buyers are looking beyond the M25 and that often includes locations where they have roots, a trend that was accelerated by the pandemic and shifting work patterns.' Best mortgage rates and how to find them Mortgage rates have risen substantially over recent years, meaning that those remortgaging or buying a home face higher costs. That makes it even more important to search out the best possible rate for you and get good mortgage advice, whether you are a first-time buyer, home owner or buy-to-let landlord. Quick mortgage finder links with This is Money's partner L&C > Mortgage rates calculator > Find the right mortgage for you To help our readers find the best mortgage, This is Money has partnered with the UK's leading fee-free broker L&C. This is Money and L&C's mortgage calculator can let you compare deals to see which ones suit your home's value and level of deposit. You can compare fixed rate lengths, from two-year fixes, to five-year fixes and ten-year fixes. If you're ready to find your next mortgage, why not use This is Money and L&C's online Mortgage Finder. It will search 1,000's of deals from more than 90 different lenders to discover the best deal for you.
Daily Mail
34 minutes ago
- Daily Mail
What's the first thing you'd do if you won the EuroMillions? Our poll reveals number one priority…
EuroMillions fever is in full swing, with the record £208million jackpot still up for grabs in tonight's triple rollover. Those who are in it to win it are likely to daydream and do the mental spend of such an unfeasibly large sum… even if the odds are completely stacked against them. But if you did defy the extreme odds and win a life-changing sum of cash, what is the very first thing you'd do? That's a question we put to This is Money and Mail Online readers, with 23,405 votes cast, asking: If you won the lottery what would you do first? The options were pay off mortgage, buy a house, save/invest, travel and help family/friends. While it is likely all five of those categories will be on the agenda for the winner of a plus-£200million lottery win, the poll revealed that helping family and friends was the priority, with 35 per cent of people giving that answer. Pay off mortgage and buy a house both received 21 per cent of the vote, travel received 15 per cent and save/invest was bottom of the pile at 9 per cent. But while family and friends are top priority, gifting large sums of money should be considered carefully, warns Matt Swatton of wealth management firm Cannacord Wealth. He is a wealth planning director who has advised lottery winners on the unexpected challenges winners face and how they can navigate them in the past. He said: 'Many winners want to share their good fortune with family and friends. 'While gifting can be incredibly rewarding, it also comes with emotional and financial implications. 'A large gift can change the recipient's life - and your relationship with them. 'You also need to consider affordability - make sure you can afford the gift without compromising your own future.' Winners who are gifting money to friends and family will also need to think about the tax implications of gifting. In the UK, gifts are generally free from inheritance tax if you live for seven years after making them 'If someone is gifting and they survive for seven years - happy days,' says financial planner Graham Dixon of wealth management firm Evelyn Partners where he also advises lottery winners on how to manage their fortunes. 'But for gifts that don't fall within the donor's nil rate band - should the donor die, the individual could be liable for tax if the lottery winner dies and the gift made was over £325,000,' he adds. To get around this, the winner could set aside money to make a provision for any tax bill the recipient may face if the donor dies within seven years. They could also set up a trust or take out an insurance policy that directly matches the tax liability as it reduces over seven years. It is insured on the life of the lottery winner and recipients can used this to pay for any inheritance tax bill if the donor dies. Dixon adds: 'When it comes to gifting, many winners naturally wish to make provision for younger members of their family, typically children or grandchildren. 'It's important to consider the order that gifts are made, especially if earmarking money for your children's future using a trust in order to avoid unnecessary tax charges.' On top of the £208million jackpot, the EuroMillions draw this Friday will also have 13 guaranteed £1million prizes in the UK as part of the raffle element, with this Friday being the 'unlucky' 13th.
