The Tory-led Government has squeezed households budgets in what has become a cost of living crisis. Last week OECD figures revealed that Britons have become poorer than their counterparts in a host of other rich economies, sliding from fifth to 12th on an OECD list of wealth based on disposable incomes.
There was a stark that the young and poor are being hit hardest as UK cuts widen inequality, says OECD.
Disposable incomes in countries such as France and Australia rose at a faster rate than the UK, as price pressures weighed on the average Briton’s disposable income. The average per head disposable income in the UK was $27,927 in 2011, compared with $26,050 in 2005. (FT)
Michael Forster in Guardian made the point that; "The argument that austerity will see more people will get jobs eventually has only worked in one country in recent years – Germany – and that was unique. ‘Germany had the benefit of a weak euro and high exports and also a model of social partnership where trade unions were always at the table, asking for very modest wage increases. But both these elements are not there in Britain"
Thousands of hard-working families in Haslingden & Hyndburn are under enormous pressure from rising prices, a flatlining economy and sky-high utility bills with many of them struggling to make ends meet.
Since the Government came to power in 2010 energy bills have soared by over £300, rail tickets for commuters have gone up by as much as 9.2 per cent and housebuilding is now at the lowest since the 1920s.
In a debate on the Queen’s Speech in the House of Commons on Tuesday, I voted against the Government, to change course and help hard-pressed families struggling with the rising cost of living. The Government need to introduce measures and policies that will make a real difference to the lives of people in Haslingden & Hyndburn who are struggling to make ends meet at the moment.
The economy has flatlined for two and a half years, real wages are down £1,700 since 2010 and energy bills have risen by over £300.
But in David Cameron’s Britain millions are forced to pay more for this government’s economic failure through cuts to tax credits, child benefit, maternity pay and the bedroom tax, while 13,000 millionaires get an average £100,000 tax cut.
We need real action to get people back into work, to get more affordable homes built, to tackle rising energy bills and to tackle the growing cost of getting to work.
People in Haslingden & Hyndburn, who get up early, work hard and do the right thing, are feeling the squeeze like never before - it’s time the Government took real action to stop their living standards falling any further.