Inflation Living Standards 2021-12-07
2021-12-07
TAGS
Response quality
Questions & Answers
Q1
Partial Answer
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Context
The question arises from rising inflation which has led to a significant increase in the cost of living, particularly affecting food and energy bills.
I am concerned about the effect of rising inflation on living standards. Food and energy bills are skyrocketing this winter, causing many constituents to face tough choices between heating their homes or buying food. Will the Minister confirm how much more my constituents earning average wages will be paying in income tax and national insurance from next April due to the Government's decision to freeze the personal allowance and increase NI contributions?
We are working with international partners to tackle global supply chain disruption. The Government has introduced interventions such as the warm home discount, household support fund with £500 million to local authorities for distribution, changes in taper rates and an increase in the national living wage.
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Assessment & feedback
The additional cost of income tax and NI contributions was not addressed specifically.
Tackling Global Supply Chain Disruption
Range Of Interventions
Response accuracy
Q2
Partial Answer
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Context
There is a rising cost of living crisis, with food and energy bills increasing. Many households struggle to meet basic needs.
My constituents face the choice between heating homes or buying food due to high costs. How much more will my constituents earning average wages pay in income tax and national insurance from next April as a result of government decisions?
We recognise the challenges people face with interventions like the warm home discount, household support fund worth £500 million to local authorities, changes in taper rates and an increase in the national living wage. These measures aim to help constituents manage cost of living pressures.
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Assessment & feedback
The additional costs due to tax decisions were not detailed.
Recognising Challenges
Interventions
Response accuracy
Q3
Partial Answer
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Context
There is a debate on the causes of inflation, particularly regarding monetary policy.
The seeds sown by years of ultra-cheap credit and quantitative easing are now bearing fruit through high inflation. Is this not an ultimate stealth tax?
I disagree with the characterisation presented by my hon. Friend, acknowledging that the Bank of England oversees monetary policy.
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Assessment & feedback
The causal relationship between past policies and current inflation was not directly addressed.
Disagreement
Bank Of England Responsibility
Response accuracy
Q4
Partial Answer
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Context
There is a cost of living crisis, with rising household energy bills.
Temperatures are falling, and Ministers ignore average households struggling with high energy bills. Since last winter, household energy bills have increased by over £230. Will the Minister support Labour's policy to use this money to cut VAT on people's energy bills to zero for six months?
I welcome the hon. Lady to the Front Bench and highlight interventions including warm home discount and local authority support. Households in the lowest income decile receive over £4 in public spending per pound of tax paid.
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Assessment & feedback
Support for Labour's VAT reduction policy was not given.
Interventions
Public Spending
Response accuracy