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Cost of Living Crisis: Wales — Caroline Nokes in the Chair
19 July 2022
Lead MP
Ruth Jones
Newport West and Islwyn
Lab
Responding Minister
David Davies
Tags
TaxationEmploymentEnergyBenefits & Welfare
Word Count: 14270
Other Contributors: 8
At a Glance
Ruth Jones raised concerns about cost of living crisis: wales — caroline nokes in the chair in Westminster Hall. A government minister responded.
Key Requests to Government:
I urge the government to address the immediate concerns of families struggling with heating homes, petrol, and food expenses. I also call for a plan to mitigate the impact of the cost-of-living crisis by addressing universal credit cuts and providing support for pensioners and young people.
How the Debate Unfolded
MPs spoke in turn to share their views and ask questions. Here's what each person said:
Lead Contributor
I am concerned about the impact of rising energy bills on families in Newport West, with one constituent reporting a 54% increase. Pensioners are particularly affected, spending twice as much on energy bills compared to those under 30, while almost one-fifth live in poverty. Young people face challenges due to low wages and high rent costs.
Pontypridd
The cost of living crisis is impacting every corner of the UK, but Wales in particular faces severe challenges. Research shows that 22% of Welsh households are in severe financial difficulty and 31.3% of children in Pontypridd and Taff Ely were below the poverty line in 2020-21. Food banks across Wales are running out of food, yet donations are drying up as people struggle to make ends meet. Suggested that the Prime Minister should be present at Cobra meetings addressing the climate emergency.
Anna McMorrin
Lab
Cardiff North
She expressed the scale of worry and concern from constituents in Cardiff North regarding the cost of living crisis, suggesting it is due to the inaction and complacency of the Government.
Ben Lake
PC
Ceredigion Preseli
Mr. Ben Lake highlighted the severe impact of rising energy costs in Wales, particularly stressing the situation for off-grid communities and rural areas. He noted that 72% of properties in his constituency are not connected to the mains gas grid, relying instead on expensive oil heating which has seen a 150% price increase over the past year. Mr. Lake also pointed out that standing charges in Wales have increased by 94-102%, disproportionately affecting rural areas like Ceredigion where many homes perform poorly in energy efficiency ratings. He cited numerous examples of constituents taking extreme measures to manage their bills and highlighted the impact on local businesses and public services.
Beth Winter
Lab
Cynon Valley
I conducted a survey revealing that over 650 people in Cynon Valley reported cutting down on heating and feeling worse off than the previous year. The cost of living crisis is impacting mental health, with 81% experiencing negative effects, and over half borrowing money to pay bills. In-work poverty is highlighted as a major issue due to austerity measures and wage freezes since 2010. Winter advocates for an increase in social security benefits, reinstitution of the £20 uplift to universal credit, banning dividend payments from essential services, and introducing windfall taxes.
Caroline Lucas
Green
Brighton Pavilion
In response to Ruth Jones, Caroline Lucas highlighted that despite the rising energy bills, the government has not taken adequate measures. She stressed the importance of free prescriptions and lower council tax in Wales compared to England.
Carolyn Harris
Lab
Neath and Swansea East
She agreed with her hon. Friend's point about prescriptions and mentioned that women in England would not face pressure between feeding their children and paying for hormone replacement therapy if the UK Government had delivered on its pledge last year. I intervened to raise awareness about the food and hamper scheme I run in my constituency, which provides support at Christmas, Easter, and during summer. This year, more contributors have become dependants, indicating a growing demand that could outstrip supply. Raised an issue regarding the English prescription charge, highlighting that men in England can obtain Viagra on prescription.
Jamie Stone
Lib Dem
Caithness, Sutherland and Easter Ross
I support the debate on the cost of living crisis in Wales, highlighting that many families are struggling to make ends meet with each week and month down to just a pound or two. I advocate for a cap on heating oil prices and express concern over the lack of alternatives for those off-grid. The price hike on petrol and diesel is also affecting budgets severely. Digital poverty is another issue that needs attention, with social tariffs having low uptake despite their potential to help families balance their budgets.
Nia Griffith
Lab
Llanelli
Ms. Griffith discussed the growing inequality in Wales, criticising the Government's tax policies and their failure to redistribute wealth effectively. She highlighted issues with universal credit transitions, public sector pay stagnation, energy policy, and rural heating fuel costs.
Government Response
David Davies
Government Response
It is a pleasure to serve under your chairmanship, Ms Nokes. I thank the hon. Members for Pontypridd (Alex Davies-Jones), for Newport West (Ruth Jones), for Llanelli (Dame Nia Griffith), for Swansea West (Geraint Davies), for Ceredigion (Ben Lake), for Cynon Valley (Beth Winter), for Cardiff North (Anna McMorrin), for Swansea East (Carolyn Harris), for Merthyr Tydfil and Rhymney (Gerald Jones), and—last but certainly not least—for Caithness, Sutherland and Easter Ross (Jamie Stone). A lot of points were raised during the debate. The UK Government have been steadfast in our support for the people of Wales throughout global economic challenges. We provided more than £37 billion across the UK to help with the cost of living challenge, including over £12 billion for an energy bill support scheme and one-off cost of living payments of up to £650 for households on means-tested benefits. The national living wage has been increased by 6.6% to £9.50 per hour. We are also raising income tax personal allowances and freezing alcohol and fuel duty, reducing universal credit taper rates from 63% to 55%, increasing universal credit work allowances by £500 a year, and raising the national insurance contribution threshold to £12,570. The Government recognise that there is a cost of living challenge out there and people are suffering. We are not sleeping through this crisis or ignoring it; we have put in place numerous schemes to support individuals across Wales.
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About Westminster Hall Debates
Westminster Hall debates are a chance for MPs to raise important issues affecting their constituents and get a response from a government minister. Unlike Prime Minister's Questions, these debates are more in-depth and collaborative. The MP who secured the debate speaks first, other MPs can contribute, and a minister responds with the government's position.