Commons Sense

House of Commons · Ministers' Questions

Cost of Living

Tuesday 28 June 2022 · 9 questions

Summarised by AI from the official record, so it can contain mistakes.

Read the full transcript on Parliament.uk

At a glance

Answered 2 Partly answered 7 Not answered 0

Key points

  • Government announced 37 billion of support to help households deal with rising inflation.
  • Families receiving a one-off payment of 650 will get more assistance under the government's plan than through an uprating based on inflation.
  • A 5 billion reduction in fuel duty is in place but not fully felt at the pumps due to rising wholesale prices.

Topics (select to filter)

Questions & Answers

Q1 Virendra Sharma Lab
Economy
Context

MP noted rising prices are causing significant financial strain for many households.

Question

What fiscal steps is the government taking to help reduce the impact of inflation on households' cost of living?

Answer from Rishi Sunak

The Government understand that many families are struggling with rising prices. We have announced £37 billion-worth of support, with the bulk targeted at vulnerable households who will receive around £1,200 of help this year.

Answered
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Q2 Marsha de Cordova Lab Battersea
Benefits & Welfare
Context

Social security benefits are not being increased in line with current inflation rates, leading to a real-terms cut for many recipients.

Question

Will the Chancellor commit to an emergency in-year uprating of social security benefits in line with the current rate of inflation?

Answer from Rishi Sunak

We have announced £15 billion-worth of additional help, particularly for those on means-tested benefits. Families receiving a one-off payment of £650 will get more help under our plan than with an uprating based on inflation.

Partly answered

Not addressed: Exact commitment to in-year uprating was not given

How: Gently Point Out

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Q3 Joanna Cherry SNP
Taxation Business & Trade
Context

Small business owners, especially in the hospitality sector, are facing financial struggles due to increased costs from suppliers.

Question

Is it time that he looked at his options for further cuts to VAT to help small businesses, especially small cafes?

Answer from Rishi Sunak

We have provided significant support, including a £1.7-billion business rates holiday—the 50% discount—for cafés and restaurants in England. This money is being Barnett-ed to Scotland to provide similar support there.

Answered
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Q4 Mary Glindon Lab Newcastle upon Tyne East and Wallsend
Economy Employment
Context

Public sector workers in North Tyneside are struggling financially due to inflation outpacing wage increases.

Question

What practical steps will the government take to address financial struggles of public sector workers due to inflation?

Answer from Rishi Sunak

We are providing an enormous amount of support—around £1,200—which is targeted at those who most need help. The tax threshold will rise to £12,500 in July, delivering a £330 tax cut for around 30 million people.

Partly answered

Not addressed: Specific steps not detailed beyond general support measures

How: Gently Say

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Q5 Christian Wakeford Lab Bury South
Economy Energy
Context

Energy costs are expected to rise significantly, causing financial hardship for constituents.

Question

What further assistance can be given to ensure that nobody is cut off due to the expected rise in energy costs?

Answer from Rishi Sunak

We have announced £37 billion of targeted support which will come over the next few months. The national insurance threshold is rising to £12,500 in July, delivering a tax cut for around 30 million people.

Partly answered

Not addressed: Specific assistance not detailed beyond general measures

How: Gently Say

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Q6 Virendra Sharma Lab
Taxation
Context

Tax rises are worsening the cost of living, and there is a disparity in pay rise recommendations for workers vs. FTSE 100 bosses.

Question

How can he defend raising taxes on working people while recommending scrapping pay caps for high-earning executives?

Answer from Rishi Sunak

70% of workers in this country will have a net tax cut. In just a couple of weeks' time, the first £12,500 that anyone in work earns will be free of any tax or national insurance.

Partly answered

Not addressed: Justification not fully addressing disparity issue

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Q7 Bim Afolami Con
Foreign Affairs Energy
Context

A significant part of inflation is due to global energy costs, leading to financial pressures.

Question

What is the Treasury's approach to working with other countries and companies to bring down international energy prices?

Answer from Rishi Sunak

The Prime Minister's energy security strategy sets out a plan to increase the supply of energy. Between now and then, we have support in place to help people manage costs.

Partly answered

Not addressed: Specific actions not detailed beyond broad strategy

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Q8 Richard Holden Con Basildon and Billericay
NHS
Context

District nurses in the constituency face a differential between their terms and conditions for NHS workers and normal mileage allowances, resulting in a £1,400 shortfall for those doing 12,000 miles annually.

Question

One thing that affects my constituents, particularly district nurses, is the differential between the terms and conditions for NHS workers and the normal mileage allowance, which means that an NHS district nurse in my patch doing 12,000 miles a year gets about £1,400 less than if they were on a normal mileage allowance. Will the Chancellor make representations to the Health and Social Care Secretary to try to improve that position for my district nurses?

Answer from Rishi Sunak

The mileage allowance rates are advisory, and organisers and employers can provide whatever support they think is appropriate and justified under the circumstances. The Chancellor will be happy to talk to the Health Secretary about finding efficiencies to support people.

Partly answered

Not addressed: Specific representation or commitment to improve the position of district nurses regarding mileage allowance was not given

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Q9 Philip Davies Con
Economy Energy
Context

The fuel duty cut introduced has been welcomed but has not significantly impacted people's experience at the pumps due to rising wholesale prices.

Question

Further to the question from my right hon. Friend the Member for Tatton, may I urge the Chancellor to think again about a more substantial temporary cut in fuel duty? Although the current one was welcome, it has not really been noticed by many people.

Answer from Rishi Sunak

A £5 billion reduction in fuel duty along with its freezing is significant but not being felt at the pumps due to rising wholesale prices. The Secretary of State for Business, Energy and Industrial Strategy is in dialogue with the Competition and Markets Authority to ensure that the fuel duty cut is passed on.

Partly answered

Not addressed: Specific commitment to a more substantial temporary cut was not provided

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