A minister dismissed a question about how a Labour government will oversee a significant hike in household bills this morning by claiming there are “always” pressures on cost of living.
From April 1, gas and electricity bills, council tax, and water bills, are all going to rise.
The energy bill for an average household will go up £9.25 a month while water bills will rise by around £11 a month.
Council tax is expected to increase by £108 on average per year and TV licences will go up by £5 per year, too.
The government’s decision to hike national insurance contributions for employers will also kick in from April 6.
So Sky News presenter Wilfred Frost put it to minister Angela Eagle that it was going to be a “tough week” for the Labour government.
Frost asked: “Council tax goes up, energy bills are going up, water bills are going up I think at the end of this week, national insurance contributions are going up for businesses.
“Tough week for a Labour government to see all of those impacts on working people.”
The border security minister replied: “Yes, but the minimum wages go up, the living wage is going up which gives people £1,400 more money in their pockets, breakfast clubs for infant schools which will give people £450 more in their pockets, the triple lock for pensioners which will give 12 million pensioners £470 more a year.
“That’s all happening as well, you have to report both sides.”
Frost said that was a “fair point” but added: “Do you think that’s the net effect people will be feeling?”
The minister replied: “There are always pressures on the cost of living but we’ve had reductions in interest rates and wages going up higher than prices [after] for the first time we’ve had an entire parliament where that didn’t happen.”
Her comments come after think tank the Resolution Foundation found the combined hike in national insurance contributions and minimum wage increase will “reduce total employment by 80,000”.
But Eagle continued: “People are having extra costs as you’ve explained, I’ve explained people are getting extra help.
“What we’ve got to do is to try and grow our economy so prosperity is rebuilt and spread as far and wide as possible.”
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