The government has again been urged to raise benefits in line with inflation in the Autumn Statement due tomorrow from Chancellor of the Exchequer Jeremy Hunt.
UK inflation jumped to a 41-year high of 11.1 per cent in October, the ONS announced today. Driven by a debilitating rise in food and energy prices, it is set to hit Britain’s poorest even harder going into an already tough winter.
In the fight against economic uncertainty and rising prices, Hunt has said his Autumn Statement will cut public spending en masse and raise taxes for everybody in a move he has already said will be “painful”.
But campaigners have warned leaders that if benefits are not increased, it will result in a real-term cut to income and tipping more families into poverty and damaging the long-term prospects for households and the country on the whole.
Michael Clarke, director of impact and innovation at poverty charity Turn2us said: “every day, our helpline advisers hear from parents who are skipping meals to try and keep their children fed or making impossible choices between paying rocketing food bills or rent.”
Prices are rising even faster for low-income households since the costs of essentials are soaring at higher rates. Gas prices have increased by 36.9 per cent this year. Electricity prices also went up by 16.9 per cent while food and drink prices are also up by 16.4 per cent. Low-income households typically spend more on these items.