The Prime Minister told his ministers they had joined a ‘cost-of-living Government’.
The SNP has urged the Prime Minister to go “further and faster” on the cost of living, claiming families in Scotland will see “no meaningful benefit” from measures announced in his first week.
In his inaugural Cabinet meeting, Andy Burnham told ministers they would be a “cost-of-living Government”, before announcing plans to cut VAT on electricity bills.
He also announced a £2 cap on bus fares, which will not impact directly on Scotland due to transport being devolved.
But, with mortgage costs increasing and the price of oil rising to 100 US dollars a barrel, the SNP has urged the Prime Minister to do more to tackle the spiralling cost of living, with the party’s economy spokeswoman, Kirsty Blackman, saying: “Andy Burnham must go much further and faster to help households with the soaring cost of living in the UK, and to reverse the damage done under the Labour government, which has left many people hundreds of pounds worse off.
“Families in Scotland will get no meaningful benefit from the changes announced so far, which are far too small to make a real difference.
“The decision to remove VAT from energy bills was welcome but it won’t come into effect until October – and it will only save average households about £3 a month, when energy bills are £600 higher than the Labour Party promised during the election.
“That’s barely enough to buy a pack of baked beans or a tin of Spam – let alone take any meaningful pressure off of household spending.
“Under the Labour Government, many families are living payday-to-payday, the number of people in poverty has risen by half a million and UK unemployment has increased to a five-year high.
“People are really struggling and we need to see much bolder action to ensure people are better off – not hundreds of pounds worse off.”
Following the first face-to-face meeting between the Prime Minister and First Minister John Swinney, a Downing Street spokesman said: “The Prime Minister stated up front that another referendum on independence was off limits because it would take our focus away from growing the economy and helping families with the cost of living.”
