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Daily Mirror
Daily Mirror
Politics
Rachel Wearmouth

Chaos as Boris Johnson hints at emergency cost of living help 'in the days to come'

Boris Johnson today hinted the government was poised to unveil emergency cost of living help for struggling Brits – only for Treasury sources to immediately distance Rishi Sunak from the idea.

Speaking in the Commons' debate on the Queen's Speech, the Prime Minister said he and the Chancellor would be "saying more" about households' shrinking budgets "in the days to come".

But he idea fresh support for struggling Brits was imminent was slapped down by sources close to the Chancellor, who were quick to point out Mr Sunak was "always clear" that a decision would not be made before the autumn budget.

The row suggests divisions between the Prime Minister and Mr Sunak, who is frequently tipped as a future Tory leader.

Mr Johnson said Government will have "the fiscal firepower to help families up and down the country" in the years ahead, before adding on the cost of living crisis: "We will continue to use all our ingenuity and compassion for as long as it takes.

"My right honourable friend the Chancellor and I will be saying more about this in the days to come. But at the same time as we help people, we need the legislative firepower to fix the underlying problems in energy supply, in housing, in infrastructure and in skills which are driving up costs for families across the country."

(ANDY RAIN/EPA-EFE/REX/Shutterstock)

When asked for details of the plan, a Treasury source said the PM "could be referring to non-fiscal measures", but added: "Rishi always clear that we would set out plans for support on energy bills for autumn when we know what price cap is going to be.

"We're not there yet as we still don't know where prices are going to land."

Meanwhile, sources close to the PM told journalists "are no plans for an emergency budget", with one telling HuffPost UK: "Ministers have been challenged to explore every possible avenue for easing the cost of living.

"Meetings on that basis are taking place all the time. It would be wrong to build up expectations of a major moment."

It comes as the Tory Government faces growing calls to act over energy bills, rising inflation and the price of food as the Covid pandemic and Russia's attack on Ukraine continue to take their toll on the UK economy.

Shadow Treasury Minister Pat McFadden said: "Families need a government with a plan for the cost of living crisis and a plan for economic growth. Instead, we’ve got a Government devoid of ideas, and a Chancellor and Prime Minister who can’t even agree on the Emergency Budget the country sorely needs.

Every day this government chooses not to act, working people suffer, and we get one step further into an economic trap with low growth, low wages, and high taxes.”

Meanwhile, Labour leader Keir Starmer accused the PM of being “bereft of leadership” for failing to introduce a windfall tax.

(Getty Images)

He said: “A government of the moment would use the great powers that it has to tackle this head on. Bring forward an emergency budget, with a windfall tax for oil and gas producers which would raise billions, the money could be used to slash the cost of energy bills and help businesses keep their costs down.”

He added: “A Government of the moment would take a step back from the crisis and ensure that Britain is never again so vulnerable to a surge in international prices, forced to go cap in hand from dictator to dictator looking for a quick fix of imported oil.”

He added: “That means standing up to those vested interests who oppose on-shore wind, the cheapest and most reliable source of electricity that we have. But this Prime Minister is too weak to stand up to his backbenchers.”

Prince Charles read out the Queen's Speech earlier today, setting out 38 pieces of legislation for this parliament, covering everything from public order and protests to education, Brexit red tape and housing.

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