‘Missed opportunity to tackle rising cost of living’
MPS and councillors from across Wokingham have criticised the chancellor following his spring statement last week.
On Wednesday, March 23, Rishi Sunak cut 5p off a litre of fuel, and raised the National Insurance threshold to £12,750.
While there was a move to zero rate VAT on some renewable energy products, there were no new announcements on helping people meet the soaring cost of gas and electricity.
There was also no announcement of support for pensioners or those on universal credit, although local authorities will receive a share of a fund aimed at supporting those who need it.
Delivering the statement, chancellor Rishi Sunak said: “This statement puts billions back into the pockets of people across the UK and delivers the biggest net cut to personal taxes in over a quarter of a century.
“Cutting taxes means people have immediate help with the rising cost of living, businesses have better conditions to invest and grow tomorrow, and people keep more of what they earn for years to come.”
But MPs and councillors from across the borough disagree.
Sir John Redwood, Conservative MP for Wokingham, tweeted: “The Treasury found £105bn it was not expecting over the course of the year.
“They should have given more of this back to taxpayers to tackle the cost of living crisis.”
Reading East MP Matt Rodda, who is Labour’s shadow minister for pensions, was also disappointed with the statement.
“Despite the Chancellor’s announcement, residents face a cost of living crisis and taxes are at their highest level for 70 years,” he said.
“Labour would offer real help to our whole community by cutting VAT on energy bills with targeted financial support and insulation for those in greatest need, which would be worth £600.
“Both working people and pensioners would benefit.”
Cllr Clive Jones, leader of the Wokingham Liberal Democrats and the party’s candidate for the 2024 general election, labelled the statement as a “missed opportunity”.
He said: “People across our community were looking to Rishi Sunak for a helping hand in facing this once in a generation cost of living crisis.
“This was crunch time for the chancellor and the Conservatives, and they haven’t stepped up to the mark.
“It’s families in Wokingham, who they have clobbered with unfair tax hikes, and who’ll pay the price for this massive missed opportunity.”
With national insurance rising to 13.25% on Wednesday, April 6, and inflation hitting a 30-year high of 6.2% in February, the cost of living crisis is expected to continue.
The rise in inflation is anticipated to impact shoppers who have been warned the average annual food bill could increase by £180, according to consultants Kantar.
Energy bills are also set to rise on Friday, April 1, when the change in energy price cap comes into force.
Families on standard tariffs will see an increase of £694, from £1,277
to £1,971 per year.
The bill for prepayment customers will go higher, rising from £1,309 to £2,017 - an increase of £708.