Cost of Living: Families

Answer from Rachel Reeves

Stability is the most important thing that we can do to get interest rates and inflation down, and tackling the cost of living is my top priority. At the Budget, we took money off energy bills and froze prescription charges and train fares. The Government's cheaper fuel finder scheme is now online, and it shows petrol prices at forecourts across the country. Yesterday, some petrol retailers charged almost 180p per litre, while others were charging less than 130p per litre.

Answer from Rachel Reeves

The Renters' Rights Act 2025 will come into force in the next month or so, making a big difference to constituents. We have put £39 billion into our social and affordable homes programme to ensure more people can get a council house or social home. We are also getting rid of the two-child limit, which the Trussell Trust says will reduce demand for food banks.

Answer from Rachel Reeves

We have recognised the pressures facing families and have cut interest rates, which has seen the average cost of servicing a mortgage come down by about £1,300 a year. The Renters' Rights Act will come into force shortly to give greater rights to people in the private rented sector. The free childcare offer now ensures parents with children aged between nine months and five years get free childcare if they are in work. From next month, the end of the two-child benefit limit will lift 450,000 children out of poverty.

Answer from Rachel Reeves

Everybody gets support with their electricity bill, regardless of how they heat their home. We had representations from the Labour group of rural MPs over the weekend, and my colleague the Financial Secretary to the Treasury is going to meet all MPs with an interest in this area tomorrow. The most important thing this Government are doing is trying to de-escalate the crisis in the middle east, because that is the way to get prices down for all our constituents, whether for heating oil or at the pumps.

Answer from Rachel Reeves

In April, people will get £150 off their energy bills and prescription charges in England will be frozen as will rail fares. We are getting rid of the two-child benefit cap, which will lift 450,000 children out of poverty. The most important thing we can do for the price of petrol, diesel and heating oil is de-escalate the conflict in the middle east and get vessels moving again through the strait of Hormuz.

Answer from Rachel Reeves

In my first Budget, I changed a number of taxes to ensure that the wealthiest are paying their fair share. We increased capital gains tax, reduced the number of tax loopholes, introduced VAT and business rates on private schools, extended the energy profits levy and got rid of the exemptions for private equity. In the Budget last year, I did more than any Chancellor has ever done to take children out of poverty. In the course of this Parliament alone, more than half a million children will be lifted out of poverty.

Answer from Rachel Reeves

There are two things going on with heating oil. First, we have the conflict in the Middle East, which we are trying to de-escalate, and secondly, we have price gouging. The way to deal with that is to ensure that customers are treated fairly and companies are not ripping off their customers. That is why we have asked the Competition and Markets Authority to look at the issues around heating oil, but we have to get to the root of the problem, which is that vessels are not flowing through the strait of Hormuz, and some businesses are using this crisis as an opportunity to rip off consumers. Rather than throwing public money at something when that is not the solution, let us deal with price gouging and getting the oil flowing.

Answer from Rachel Reeves

Some people have short memories, haven't they, Mr Speaker? I remember the Conservatives freezing those thresholds on a number of occasions. We said in our manifesto that we would not increase the headline rates of national insurance, VAT and income tax that working people pay, but I did say clearly at the Budget last year that we would have to ask everyone to make a greater contribution, because of the downgrade in productivity, which is a result of the mismanagement of the economy by the last Government over 14 failed years.