Public says Government is failing to act on rising bills
Majority of Britons think Westminster can do more to tackle surge in prices but is choosing not to
MORE than two in five people believe the Government is not taking the cost of living crisis seriously, despite almost two thirds of the public already struggling to pay energy bills, a poll reveals.
A survey of 2,011 adults found that more than half (55 per cent) agreed that the Government could do more to tackle the effect of rising costs but was choosing not to. Asked how seriously the Government was taking the crisis, 36 per cent said “seriously”, while 43 per cent said “not seriously”.
The findings are likely to pile pressure on Liz Truss and Rishi Sunak over their policies to help with rising costs. The poll also suggests that support for widespread industrial action could grow, with 53 per cent of those surveyed saying that strikes would be “justified” if workers do not get pay rises in line with inflation. Only 30 per cent said such strikes would not be justified.
Yesterday, analysts at Auxilione, an energy consultancy, predicted the price cap on energy bills could hit £3,687 in October – close to double today’s record levels – and about £4,400 in January.
Ms Truss is planning to scrap the National Insurance rise and suspend the green levy on energy bills. Yesterday she said that, although she would “look at what more can be done”, her favoured approach was “lowering the tax burden, not giving out handouts”.
Andrew Bowie, an ally of Mr Sunak, said the former chancellor would “look at all options” to help people with rising energy bills.
The survey, by Public First, found that 62 per cent of people are already finding it difficult to afford their energy bills, ahead of the sharp rise expected in October for the 24 million households whose bills are governed by the price cap. Some 2 per cent said they were finding it impossible to afford their energy bills and “have not been able to pay them”.
More than two thirds (70 per cent) of people said they were taking action to deal with price rises. Of those, 72 per cent were cutting back on all “nonessential” purchases, 64 per cent were buying cheaper food brands, 59 per cent were turning off lights at home when they would normally have them on, and 46 per cent were driving less.
More than one in three people (38 per cent) said they were cutting back on entertainment subscriptions, such as Netflix and Amazon Prime.
Almost one in five people (18 per cent) said they had cancelled a holiday plan in the past month as it was too expensive, while a similar proportion had not been able to pay for items like clothes.
Asked which interventions would be of most help, 59 per cent of respondents opted for a cap on energy bills, 41 per
‘Leadership candidates need to show how they will practically help people cope with surging prices’
cent for caps on rent, food and energy, and 26 per cent for a VAT cut.
Mr Sunak has said he would remove the 5 per cent VAT charged on household energy bills for 12 months
Amid the debate over the extent to which the Bank of England should raise interest rates to bring down inflation, 45 per cent of people said continued high inflation would be more of a problem for them and their family’s finances than higher interest rates, while 10 per cent of people said higher interest rates would be more problematic for them.
Ed Shackle, a consultant at Public First, said of the leadership race: “When the winner walks into No10 next month they’ll be dealing overwhelmingly with one issue: reducing living costs.
“Leadership candidates need to show voters they are taking this seriously, and start effectively communicating how they will practically help people cope with surging prices.”