Campaign reply - The cost of living crisis could push thousands more through the doors of food banks

Thank you for contacting my office. I appreciate you reaching out to discuss the cost-of-living crisis.

We have all felt the effects of the inflation impacting the economy. Things have been difficult, but luckily, there is light at the end of the tunnel. The latest labour figures show the success of the government's post-pandemic plan. The 47% fall in the number of people claiming unemployment benefits in Truro and Falmouth shows that schemes such as the Plan for Jobs and Kickstart are successful in getting people back into work.

It's encouraging to hear that the youth claimant count also continues to fall, following the recent positive news that the Kickstart programme has created 14,000 jobs for young people across the Southwest.

This news is a testament to the hard work of residents and businesses to bounce back from the pandemic and keep people in work. I will continue to do all I can to promote local jobs and growth, including supporting Truro and Penwith College with their Skills Accelerator programme and ensuring we continue to give businesses the confidence to invest in Truro and Falmouth. The path to economic recovery will not be a quick one, but through prudent policies the Government will ease us out of this crisis.

I am also pleased the Chancellor has recently announced an unprecedent package to support people with the cost of living. This package will benefit the lowest-income households by £1,200 – with some households receiving £1,650: 

• This package equates to £1,200 for those on the lowest incomes – around one-third of all households.

• The lowest-income households on means-tested benefits will receive £650 from today’s one-off payment, £400 from the energy bills cash grant, and £150 from the council tax rebate – totalling £1,200. For the 8 million most vulnerable households in the country, this £1,200 is comparable to the average energy bill increase over the course of this year.

• Pensioners will receive £850. A pensioner household will receive £300 through the additional Winter Fuel Payment, £400 from the energy bills cash grant and £150 from the council tax rebate – totalling £850.

• Hard-working families will receive £550. Most households will receive £150 from the council tax rebate,  along with £400 from the energy bills cash grant – totalling £550.

• Some individuals could receive up to £1,650. A low-income household on pension credit with a disability  would receive the £650 one-off payment, £300 through the Winter Fuel Payment, £150 for disability benefit recipients, £400 from the energy bills cash grant, and £150 from the council tax rebate – totalling £1,650.

• Our support to help families with the cost of living now totals over £37 billion. Today’s package of measures provides support worth over £15 billion. Combined with the over £22 billion of support we have  already announced, we are supporting families with over £37 billion.

• Over three-quarters of our support will go to the most vulnerable households – including pensioners.

To put it in perspective:

• A single mother of two children who works full-time on the National Living Wage will receive £2,500 this year in additional support.

• A low-income household (combined annual earnings of £26,000, including a full-time earner on £10 per hour and a part-time earner on the National Living Wage) with two children who are in receipt of means tested benefits will receive £3,200 this year.

• A low-to-middle income working family with two children on Universal Credit (combined annual earnings of £43,000, including a full-time earner on an hourly wage (£14.10 per hour, or around £27,000

per year) and another full-time earner on the National Living Wage) will receive £4,200 this year.

 

Once again, thank you for taking the time to write. If you require any further assistance, then please do not hesitate to get in touch.