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Money Box

Infected Blood Compensation and Standing Charges

Money Box

BBC

Business

4.2804 Ratings

🗓️ 22 November 2025

⏱️ 26 minutes

🧾️ Download transcript

Summary

Lawyers acting for victims of the infected blood scandal have written to the Chancellor demanding urgent action to avoid families and loved ones having to pay £100,000s in tax. The government has previously said compensation payments would not be subject to Inheritance Tax. But with around 3,000 victims having already died they say a change in the rules is needed to avoid their loved ones facing huge tax bills. The Treasury says it's "considering" the issue and a decision will be made at the Budget.

Plans to reform standing charges for gas and electricity "will not work" and should be scrapped, the trade body for the energy industry Energy UK has told Money Box. Standing charges are the fixed daily cost that households pay just to be connect to electricity or gas supply. They rose sharply this month to an average £320 a year - more than £6 a week - a cost you must pay before you turn on a light or cook your dinner. Suppliers say they cover the cost of providing and maintaining the supply. However, the energy regulator Ofgem is considering proposals to offer all customers a reduced standing charge, but at the cost of paying more for the electricity and gas they actually use. It says that will increase choice for consumers but Energy UK wants them to rethink the proposal.

How much will benefits rise in April?

And with one month to go, what would you like to know ahead of the Autumn Budget?

Presenter: Paul Lewis Reporters: Dan Whitworth and Jo Krasner Researcher: Eimear Devlin Editor: Jess Quayle Senior News Editor: Sara Wadeson

(First broadcast at 12pm on Saturday 25th October 2025)

Transcript

Click on a timestamp to play from that location

0:00.0

BBC Sounds, Music, Radio, Podcasts.

0:07.0

Hello, I'm Emma Barnett. For most of my career, I've been on live radio, and I love it.

0:13.3

But I've always wondered, what if we'd had more time? How much deeper does the story go?

0:19.2

I remember having this very sharp thought that what you do right now, this is it.

0:24.3

This defines your life.

0:26.0

I'm ready to talk and ready to listen.

0:28.4

I'm insulted by how little the medical community is ever bothered with this.

0:33.9

Ready to talk with me, Emma Barnard, is my new podcast.

0:37.0

Listen on BBC Sounds. Hello, welcome to this

0:40.0

Moneybox podcast. The energy industry tells the regulator Offgem to scrap what it calls half-baked

0:46.6

plans to reduce standing charges on electricity and gas bills. Some benefits will rise by more than

0:53.4

inflation in April, but which ones?

0:56.0

And with a month to go, what would you like to see in the Chancellor's autumn budget?

1:00.7

But first, the families of thousands of people who were infected with HIV or hepatitis C by the NHS

1:07.2

when it used contaminated blood in the 1970s and 80s may have to pay tax on the

1:13.2

compensation that many of them are still waiting for. It's not supposed to be something

1:18.4

that's a windfall. You know, it's a compensation to reflect a massive wrongdoing and it's

1:23.6

heartbreaking. The government did promise that the payments which could reach a million pounds or more

1:28.6

would be free of all tax.

1:30.5

But lawyers have written this week to warn Chancellor Rachel Reeves

1:33.7

that if she does not change the law,

1:35.9

the children of the infected people could be liable to inheritance tax

...

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