In an article for The Mirror, Chancellor Rachel Reeves says she recognises the ‘cost of living crisis is still weighing down on families’ – but promises to fight for working people
A year ago, Rishi Sunak called a snap general election. The country was in a dire state. Overcrowded prisons, strikes, soaring NHS waiting lists, crumbling schools, neglected high streets, and worst of all a cost of living crisis crippling households.
The country had endured fourteen years of stagnation, no growth, and no way out. The country wanted change. It has been ten months since we were elected to deliver that change. On day one I said my number one priority was to put more money in working people’s pockets. I knew it wouldn’t be easy. It would take time and hard work. I was honest about that.
The cost of living crisis is still weighing down on families. But because of the choices we have taken and the actions of this Government we are beginning to deliver on the promise of change.
At the start of the year, we had the fastest growing economy in the G7. Business investment was up 8% year on year. We have had four interest rate cuts, helping bring down the cost of mortgages and rent and helping businesses borrow to invest and grow. Retail sales have seen the biggest three-month rise in almost four years, and people are feeling more confident about their finances. But there’s still more work to do.
As well as easing the pressure on mortgages and rent, we are relentlessly focused on bringing down other household costs. We have proposed to expand the £150 Warm Home Discount to almost 3 million more families this winter – taking the total to over six million. And it’s why the Prime Minister and I have said we will restore the Winter Fuel Payments to more pensioners, when the economy allows us to, because it would be irresponsible to make promises that we can’t pay for.
Today the news has also come from Ofgem that the average household will save £11 a month on their energy bills from July to September, easing the burden for millions of hardworking families in the months ahead.
My determination to make Britain better off doesn’t stop there. As we promised, we have protected the pensions triple lock, increasing the State Pension so millions of pensioners will receive up to an additional £470 this year.
And we believe that a decent day’s work deserves a decent day’s pay, so we boosted the minimum wage by up to £1,400 a year for 3 million workers. We’ve supported those most in need, introducing a Fair Repayment Rate so those on the lowest incomes can keep around £420 more of their benefits each year.
We’re rolling out free breakfast clubs saving working families up to £450 a year, freezing fuel duty to keep costs low for motorists, expanding eligibility for 30 hours funded childcare, we stepped in to save thousands of jobs at British Steel and secured three trade deals to protect even more jobs and deliver growth.
The promise to put more money in working people’s pockets has driven every single decision I’ve made as Chancellor. I will fight every day to deliver on that promise, and to make Britain better off.