Usdaw’s survey of over 3,000 members found that 75% had already relied on unsecured borrowing to pay bills, even before the energy price cap increased in March, with 57% struggling to keep up with repayments. When asked how they would cope with further energy price rises:
- 30% would not use heating.
- 62% would significantly cut down on heating.
- 40% would cut out other essentials, such as food.
Paddy Lillis – Usdaw General Secretary says: “After twelve years of Tory austerity policies making people worse off and trashing our public services, the Prime Minister is now plunging the country into more debt, tanking the economy and risking even higher inflation to prop up energy company profits and give unfunded tax cuts to the very wealthy. However they are still allowing bills to nearly double over the last six months, leaving too many low-paid workers struggling to pay their energy bills. Energy company profits, the very wealthy and other hugely profitable big businesses should be further taxed to provide more help for workers struggling to make ends meet.
“Evidence from our survey of over 3,000 Usdaw members shows that three-quarters have been forced to borrow to pay bills and over half are struggling with repayments. 40% have to choose between heating and eating. Almost all will have to significantly reduce heating use or switch it off altogether to cope with these significant energy price increases.
“Our members are desperate to hear a comprehensive and urgent plan to tackle the cost of living crisis from the Government, which should include a commitment to bring forward an employment bill that will end poverty pay and insecure work. It appears only Labour has the plans needed to help the country through the cost of living emergency.
“Keir Starmer has led the way with proposals for a windfall tax on energy companies and a freeze on household energy bills, which the Government has in some part eventually adopted, but hasn’t gone anywhere near far enough. Labour also promises action on workers incomes with a New Deal for Workers to improve pay and job security.
“We now have a Government that is determined to load the country with more debt and higher interest rates to fund their key priorities of tax cuts for the rich and big businesses making huge profits. We desperately need a Labour Government that will focus on fairness at work, investment in economic growth and a sustainable answer to the cost of living crisis.”
Notes for editors:
Usdaw (Union of Shop, Distributive and Allied Workers) is the UK's fifth biggest trade union with around 360,000 members. Most Usdaw members work in the retail sector, but the union also has many members in transport, distribution, food manufacturing, chemical industry and other trades.
For Usdaw press releases visit: http://www.usdaw.org.uk/news and you can follow us on Twitter
@UsdawUnion