Daily Mirror (Northern Ireland)
RISHI’S BODGE IT
Sunak’s plan ‘already falling apart’ as cost of living crisis lingers on ‘Deafening silence’ on how families will cope with soaring bills
RISHI Sunak will today herald what he claims will be “a new age of optimism” as he unveils his Budget, but his plan is “already falling apart” amid the cost of living crisis.
The Chancellor is set to say he is building “a new economy post-covid”.
Treasury leaks have revealed the Budget will include raising the national living wage from £8.91 to £9.50 and ending the public sector pay freeze.
But unions have rounded on the Government after ministers admitted public sector pay rises may turn out to be lower than inflation.
This means vital workers such as nurses and teachers could be facing a real terms wage cut.
It comes as families face soaring food and energy bills and millions of people fear being pushed into poverty by cuts to Universal Credit.
But Mr Sunak will tell MPS: “Today’s Budget begins the work of preparing for a new economy post-covid.
“An economy of higher wages, higher skills and rising productivity.
“Of strong public services, vibrant communities and safer streets.
“An economy fit for a new age of optimism. That is the stronger economy of the future.” Ministers were hauled before the Commons yesterday to explain why so many details of the Budget – usually
Ministers must find the cash to give NHS workers the pay award they’ve earned UNISON CHIEF CHRISTINA MCANEA ON WHAT THE TORIES SHOULD BE DOING
a closely guarded secret – have been leaked to the media in an apparent bid to avoid scrutiny.
Shadow Treasury Minister Bridget Phillipson laid into the Government, saying: “We face an urgent cost of living crisis. Prices are up in our shops, at our petrol pumps and on our heating bills.
“Families and businesses are waiting and hoping for the Chancellor to take the action they need and which our country desperately needs, but the Chancellor hasn’t even delivered his Budget yet and it’s already falling apart.
“In recent days we have read thousands of words about what the Chancellor plans to do, but the silence is deafening on the soaring bills and rising prices facing families and businesses.”
Labour has warned that welfare cuts and tax rises next year will leave some families as much as £807 worse off.
Research by Yougov, meanwhile, has shown one in 10 could not afford a £5 monthly increase in living expenses and around one in six could not afford an increase of £10 a month.
Shadow Chancellor Rachel Reeves said: “This Budget must create a more resilient economy and take the pressure off working people.
“Labour would grow our economy, with our plan to buy, make and sell more in Britain, and [for] a climate investment pledge to create the jobs of the future. With costs
growing and inflation rising, Labour would ease the burden on households, cutting VAT on domestic energy bills immediately for six months.
“And we would not raise taxes on working people and British businesses, while online giants get away without paying their fair share.” Independent think-tank the Resolution Foundation has warned the wage rises “will not remotely compensate for the £20 a week cut to Universal
Credit”. Meanwhile, multi-millionaire Mr Sunak wore a pair of £95 flip-flops with socks for a photoshoot as he put the finishing touches to the Budget.
The Chancellor, who has also tried to look endearing by posing alongside his dog, flaunted the Palm Angels footwear, known as sliders, as the nation braced for more Tory cuts.
Gary Smith, general secretary of the GMB union, said the living wage “doesn’t lift people out of poverty” after years of austerity. He added: “Tackling the
understaffing crisis and the damage done by a decade of ruinous Tory cuts [requires] substantial increases across… public services, social care, supply chain sectors and app-based platforms.
“Lifting the minimum wage [is] a small step in a marathon of change if the Government has any credible hopes of ending the low pay and insecure work so prevalent across our economy.”
Unions have also criticised the Government over public sector pay. Unison general secretary Christina
Mcanea said: “Unless extra money finds its way to individual government departments, the freeze will continue.
“Ministers must also find the cash to give NHS workers the proper pay award they’ve more than earned.
“That goes for council, school and other public sector staff who’ve either been offered nothing or substantially less than the cost of living.” Sharon
SPEAKER
Graham, Unite general secretary, said: “Workers are exhausted by this crisis. “They need to hear from the Chancellor they will not be made to pay the price for the pandemic. As things stand that’s far from the case.”
Steve Rotheram, Mayor of the Liverpool City Region, said the wage increases are not enough as inflation soars. He added: “Against this backdrop of spiralling costs, last month’s decision to cut over £1,000
a year from the most vulnerable looks especially cruel. That isn’t levelling up communities, it’s holding them back.”
The Commons Speaker Sir Lindsay Hoyle suggested on Monday that ministers should resign for briefing out details of the Budget in advance.
He has repeatedly expressed annoyance at the Government for not giving details to MPS in the Commons first. rachel.wearmouth@mirror.co.uk
@Rewearmouth