Government support package

ended 26. May 2022

The Chancellor is set to announce additional support measures today, funded by a windfall tax on oil and gas giants, to help millions of Brits cope with soaring energy bills amid the cost of living crisis. The measures will “prioritise the most vulnerable in society” and are predicted to amount to £10bn. The move is being described as a U-turn by Labour.

  • If you're struggling with energy bills and are being severely impacted by the cost of living crisis (personally and/or as a small business or charity), please tell us about it and we'll do our best to get your story and views into the media.
  • If you'd like to comment on the support package, drop your thoughts here before or after it has been formally announced (it has been leaked so we know most of the details, in the link above). We'll leave this alert open all day.

8 responses from the Newspage community

Star Quote
"It's about time the energy giants were taxed, but I fear it will not be enough. We need longer term measures, not one-off grants. We need measures to help the economy to start firing again. This package feels like a sticking plaster and is not going to have sufficient impact."
It's about time the government did something to help hard-working families struggling at the sharp end of this inflationary monster, and the £400 off energy costs will be a welcome relief. However, it begs the question why the Tories were whipped into voting against a windfall tax last week and have now u-turned again to impose the windfall tax; many will argue it's playing politics with the poorest and most vulnerable members of our society."
Star Quote
"While the hikes in energy bills may have caused a sharp intake of breath for many of us, it is once again those on lower and fixed incomes such as minimum wages and benefits who are being hit the hardest. Initially, when the £200 scheme was introduced many people were aghast at the fact they would have no choice over it and would also need to pay it back. It was essentially being given credit against our will. It will be a real relief that this plan has been scrapped because it was only ever going to feel like 'borrowing from Peter to pay Paul'. I think people often believe that it is mainly people on benefits who are struggling the hardest at the moment. This just isn't the case though. People are working full time, for example in supermarkets and admin roles, and are finding that there isn't enough money to cover essential costs anymore. I really hope that these financial relief packages help people to feel less exposed and to have more control again."
"These additional measures are long overdue but welcome nevertheless. The Government's resistance to the windfall tax was baffling and the timing of it does feel like an attempt to buy #partygate part 12. Even with the amount paid to households doubling to £400, and there no longer being a requirement to pay it back, it's still going to leave many in serious hardship this winter when the energy cap increases to £2800 a year. Let's pray it's a mild winter or millions could be in for a world of pain."
"It's incredibly important to remember how vulnerable people become when businesses fail and employees are no longer employed. The package needs to recognise the key industries that people mostly like affected work within and ensure support is equally directed to those industries. Hospitality is a key industry affected, and I strongly believe reverting back to a 5% VAT would support the industry to keep control of rising costs, including ingredients and energy. It will reduce the need for significant pricing increases that will impact inflation and price people out of affordable luxuries that keep our economy growing."
Not only do we have households unable to make ends meet, but predictions of a further rise in insolvencies will only make matters worse, creating more unemployment across the UK. What news of an energy bill cut fails to address is the wider issues in terms of supporting family income and affordability. The Chancellor needs to start addressing ways in which businesses can be supported so they're in a position to not only sustain their current workforce but to be in a position to increase wage bills and create more opportunities for employment and growth in the wider economy.
Hundreds of pounds knocked off energy bills.... Will that be every quarter? A one off payment will not make any difference, most people are living day to day, and that is the real struggle. I actually think this is an insult to the people who are not far from living off the streets. WHY has this ' package ' only just shown its head, when it should have been introduced back at the beginning of the year! Surely they had the foresight to see what was coming!! After all the money handed out over the past two years, Surely knowing we've just come out of the pan and into the fire would you have a secure financial package to lead us through the biggest financial living crisis since my days on earth began. We don't need loans thanks, we need a sure fire route out of this shit show! How can people cope with these rising costs, energy companies making big profits!!! What about most and politicians, surely they can put into the pot? It ain't enough, for just energy cost cuts! Oh, and then there's the Jubilee..
Star Quote
"The measures announced today are welcome and will provide a degree of support to the most vulnerable and the disabled. But we may need more packages later this year if the energy crisis still isn't under control. The Government appears to believe this is a temporary blip, but there are growing signs inflation could stay high for some time yet due to ongoing supply chain issues in the economy and the war in Ukraine. We are a voluntary, grassroots group for hypermobility disabled, chronically ill people and often carers as well. Due to their disabilities and illnesses, the people we support are often incapacitated, need extra heating, extra electricity as we often use hoists, electric stair chairs and other essential electrical equipment. The funds we provide are drying up and those we support will be trying to pay for these essential costs themselves, and reverting back to food banks more than ever. It's a very concerning time."