Cost of Living Crisis – How the Government are trying to step up.

I say step-up, and not help, because they should have stepped up a long time ago. I have always said that the cost of living outweighs inflation and that we have, for our entire lives, trusted that our tax is used for the right reasons, but it has been like observing a solicitor who has been given a trust fund live a very comfortable life on it and giving the beneficiary peanuts instead of the intended income.

It is not new (the suffering and hardship), but it has reached such a crisis point that high profile people have started to see that it is all wrong, and people are starting to understand that it is working people who are in negative income, and not benefit scroungers. And let’s be clear, some people simply cannot work, they have heart-breaking disabilities either physical or mental and they need us to be humane about valuing their place in this life. We are not better than they are, we are the lucky ones.

My frustration around the SMBN has always been the barriers to work that should not exist, we are able bodied, able minded, we do not need upskilling or cooking classes, we have just fallen victim to childcare being out of sync with work and uncapped rental combined with low earnings equalling genuine hardship. There are too many barriers and there is too much uncapped ungoverned greed. So that is what must change long term. Short term, help is needed for the millions suffering to get by. Calls from debt collectors, bailiffs for council tax, cards declined for food, it is an appalling state or affairs, when people are just trying to work and pay their way, or are unable to work by no fault of their own.

So, today, the Chancellor, as a result of outcry and pressure, sadly not through genuine understanding, has announced the following: (my analogy is geared towards my SP audience)

DWP will make a one off payment of £650 to 8 million low income households (this will be half in July and half in Autumn see HERE) – I would imagine this is back pay for benefits beneath inflation? tbc (see blogs below as stigma is rife for benefits but there is a blog for holding your head high as a single mum on benefits)

Non-means tested (disability benefits) will get £150 on top of this

this may offer a bit of help to pay bills and buy food in six weeks or so, but we all know that a lot more permanent resolve is needed.

Pensioner households will get an extra £300 of winter fuel payment (I don’t think this will be enough tbh)

The £200 energy loan is now a £400 grant for ALL energy bills for ‘everyone’

The household support fund held by local councils extended by £500million (discretionary)

Rishi reiterated the Gov are on the side of the British People, and reiterated the support through Covid. I think they do mean well, they just don’t have adequate lived experience to see the real issues… maybe they will take some advisories on board!

Targeted Levy for Energy Profits – *temporary

To keep on top of the technical details be sure to follow Martin Lewis on Twitter @MartinSLewis

(thank you Martin Lewis for really helping us all)

My inflation warning blog from 2016
Penalised for being Poor 2016
Holding your head high as a single mum on benefits
Bias in the tenant market
Why flexible working (lack of) costs millions in benefits
9-5 Manmade Manslaughter


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