Telford council leader calls for plan to ease cost of living
The leader of Telford & Wrekin Council has joined former prime minister Gordon Brown in calling for Chancellor Rishi Sunak to drop the planned 1.25 per cent rise in National Insurance.
Councillor Shaun Davies is one of a number of figures from the Labour Party who have signed a letter proposing a four-point plan to tackle what they describe as "the worst cost-of-living crisis for half a century".
As well as abandoning the National Insurance rise, which the Government says is necessary to cut the backlog on the NHS waiting list and fund future social care needs, the letter also calls on Mr Sunak to reinstate the temporary £20-a-week rise to Universal Credit, which was introduced during the coronavirus pandemic, but was controversially ended in October.
The letter also calls for "urgent support for insulation costs for the poorest households", and benefits to rise in line with inflation.
The signatories wrote: “Six million low income families have already lost £20 a week because of the cut in Universal credit in October. Further cuts in the value of their incomes, as heating bills surge and good bills soar, will deepen the cost of living crisis they and many others face.”
They say all four more measures must be implemented as part Mr Sunak's Budget on Wednesday next week.
“These cuts are unfair, and for many will be unbearable, pushing them over the edge into extreme poverty, and rendering them unable to adequately heat their homes or perhaps even provide the nutrition their children need,” the letter said.
“We have the means to put them in place. And we have to find a way, because at stake is the unacceptable and avoidable suffering for millions of our fellow citizens – and especially children – across our communities,” they added.
The letter has been sent by the Alliance for Full Employment, led by Mr Brown, which was formed by the Labour members from across the UK in September 2020 in anticipation of an employment crisis following the withdrawal of the furlough scheme.
The Alliance says that without action the number of people suffering "fuel poverty" could rise to 12 million by October.
The TUC claims utility bills are set to rise at least 14 times faster than wages this year as the conflict in Ukraine exacerbates the ongoing energy crisis.
The Bank of England forecasts wages to rise by about £1,000 in nominal terms during 2022, but analysis from the trade union federation suggests 70 per cent of these gains will be wiped out by the energy price cap increasing by £693.
Councillor Davies added: “Telford and Wrekin is not immune and the cost of living is hurting almost everyone in Telford and Wrekin; with the cost of fuel through the roof, energy prices increasing, national insurance hikes and food prices soaring. The Conservative Government must act."
