Soldato
Tax is pretty extreme on higher earners and more and more people end up in that band because it never increases.
Energy Prices (Strictly NO referrals!)
- Thread starter DXP55
- Start date
Soldato
Do they need the CoL help as much as the low paid? As cutting taxes disproportionately gives more money to the high earners.
As an example (and sorry I can't find the article now) - Someone on Liz Truss' wage will get £1600 back and someone on min wage will get £60.
Soldato
The more I think about it, the more I can see some sort of hard cap coming in for units, and not just for consumers, businesses will need this as well.
Anything above the hard cap will need to subsidised and paid back later. The hope is that this blip in the unit costs is just that, and in the next year or two they'll come back down.
If the wholesale prices drop later, one strategy they can use to pay back the subsidies is to keep the cap higher, for longer. It would essentially work to flatten the price for a while.
Any such cap would likely need to be higher than it is now though to reduce the funding gap needed to maintain it, possibly more in line with the forthcoming October prices.
I still can't really see a better strategy for tackling the problem, if we do nothing there will be a level of chaos not seen for many years on a national scale.
Anything above the hard cap will need to subsidised and paid back later. The hope is that this blip in the unit costs is just that, and in the next year or two they'll come back down.
If the wholesale prices drop later, one strategy they can use to pay back the subsidies is to keep the cap higher, for longer. It would essentially work to flatten the price for a while.
Any such cap would likely need to be higher than it is now though to reduce the funding gap needed to maintain it, possibly more in line with the forthcoming October prices.
I still can't really see a better strategy for tackling the problem, if we do nothing there will be a level of chaos not seen for many years on a national scale.
Soldato
The tax burden is the highest it has been since ww2 and it is the higher earners that are paying that. Not saying I disagree with giving help at the moment, I agree we need to do it. We just need to be careful as last time we pushed things too far we triggered a brain drain in the UK. We are close to that line that could see what happened in the 70s happen again.
I think the best option is a income tax type of system.
First X units subsidised.
And as go up it gets more and more expensive.
Millionaires fan have their heated pools. But it will really cost you.
Obviously you'd need special circumstances for some disabled/vulnerable etc.
What we need to not lose is the incentive for Consumers to go Solar, EV etc.
For example at my tariff price I don't need to get solar. If I was paying the cap? Yeah I'd be wanting it now
First X units subsidised.
And as go up it gets more and more expensive.
Millionaires fan have their heated pools. But it will really cost you.
Obviously you'd need special circumstances for some disabled/vulnerable etc.
What we need to not lose is the incentive for Consumers to go Solar, EV etc.
For example at my tariff price I don't need to get solar. If I was paying the cap? Yeah I'd be wanting it now
Jan 21 I used
700kw of electric * 80.93p/kWh £566 on the new ovo 2 year fix
2500kw gas * 27.84p per KWh
£696 on the ,2 year fix rate
Predict cost for Jan 2023
£1262...... + Standing charge
I have managed to shave 20% a month off every month since Feb by turning stuff off etc. But Jesus.
No Xmas lights this year that's for sure!
700kw of electric * 80.93p/kWh £566 on the new ovo 2 year fix
2500kw gas * 27.84p per KWh
£696 on the ,2 year fix rate
Predict cost for Jan 2023
£1262...... + Standing charge
I have managed to shave 20% a month off every month since Feb by turning stuff off etc. But Jesus.
No Xmas lights this year that's for sure!
Soldato
It's too difficult to police, and everyone would likely need smart meters.
I consider it a good idea in theory, but much harder to implement sensibly.
700 kwh of electric in a month is very high. That's over 8000 kwh a year if you use the same each month,
You'd benefit a lot from a decent solar installation.
2500kwh of gas in one month is also pretty high, but on a bigger house maybe less so.
Soldato
A higher tax burdon at the top end will reduce investment, and thus reduce wealth creation, this then trickles down to less jobs, less opportunities, and, less overall taxation.
You can then further increase taxes, or, increase government spending and begin a spiral of total decline (which we are in), or you can lower taxes and go for growth, thus increasing the economy.
The sort of stuff you are reading is just propaganda to encourage people to vote one way or another.
400kw during the summer, it's a large 4 bed house
Soldato
How does winter add 300kwh? Gas presumably is for central heating, so electric shouldn't be contributing extra.
When the average salary isn't enough to keep you out of debt due to energy cost it doesn't really feel like a tax cut is any use.
Without help the entire UK energy supplier market could need to be taken into public ownership.
It will probably happen anyway at this rate
Soldato
20 is a little extreme maybe, 5-10w per bulb, 20 on most of the day will burn a few kwh per day.
My kitchen has 6 that come on via hue motion sensor and turn off after 5 mins of no motion detection. You could consider similar.
Oh that sounds good got any info,
Oh hue bulbs ain't cheap
Kitchen is quite large 5m * 5m roughly
H
Soldato
Not much to it really, bit off topic for the thread going in depth into hue/smart lights, but it's more or less what I said.
Hue gu10 bulbs, Hue hub (one in the house connected to the network), Hue motion sensor. Motion sensor can trigger lights on/off and what brightness/colour to use (I have the "White Ambience" ones as they can do yellow or white light, and anything in-between). Motion sensor can also be used in other areas like hallways and stuff to turn lights on for a short time.
bulbs aren't super cheap, but they last basically forever. I've had no bulbs die on me in many years across all the Hue ones I've had.
Bit of a cost investment up front for the bulbs, but you can control each bulb individually. In theory you could have less than 20 switching on at once.
I'd guess there are other smart bulbs that can do similar, I've just always used the Hue ones.
Soldato
My kitchen is about 4M * 5M and I find the 6 overhead lights plenty bright enough really. 20 would be like stepping into the sun!
Yer it's probably overkill., Just counted there are 18.My kitchen is about 4M * 5M and I find the 6 overhead lights plenty bright enough really. 20 would be like stepping into the sun!
Just seen this
Shelly Plus 1PM
shelly.cloud
Might try that.
Soldato
Interesting. Good to think along those lines anyway. How to use less without it fundamentally hurting too much quality of life. For me putting the kitchen lights onto a motion sensor was both good for saving power but also real convenient as it meant no turning on/off switches all the time.
If you have a smart meter good to keep an eye on the current watts being used as well, you can kind of use this to switch stuff off in reverse and negate the new usage from the old to get an idea as to how much power something uses.
If you have a smart meter good to keep an eye on the current watts being used as well, you can kind of use this to switch stuff off in reverse and negate the new usage from the old to get an idea as to how much power something uses.
A higher tax burden increases investment as its tax deductible. Profits tend to leave the country and end up in tax havens.
The trickle down economics theory is just a lie the rich tell the poor to justify their ridiculous wealth.
Soldato
Where's the East India trading company when you need them?