The PM visited staff at Leicester’s Topps Tiles this morning where he spoke to staff, declaring that halving inflation is the “number one priority” this year in tackling the current cost of living crisis.
The plan to bring inflation down is “working, but we’re not there yet,” he said during a visit to Topps Tiles HQ, this morning (Wednesday, August 16).
“Inflation is not some abstract economic concept… it’s very real, he told staff at the company, which has its headquarters in Leicester’s Grove Park, Thorpe Way.
Mr Sunak was in high spirits after declaring a “light at the end of the tunnel” in the cost of living crisis, with inflation levels falling 6.8 per cent in two months- a 15 month low.
“We have numbers today that show for the second month in a row inflation is falling. The plan is working but I’m not complacent and we’re going to stick to the plan and people can trust me to deliver on it,” he told the Leicester Times.
“We will bring inflation down and that’s how we will ease the burden on the cost of living.
“In the meantime I want people to know that we’re also providing some relief for the pressures. That’s why we’ve paid half of the typical family’s energy bill over the past several months, which is worth about £1,500 for a typical family.
“I know things are tough, but imagine show much more difficult they would have been if we hadn’t done that. We’ve also cut fuel duty, that saved a typical family about £100 this year and we’ve capped bus fairs at £2 outside of London and for the most vulnerable – those on Universal Credit, they’re receiving £900. Pensioners are receiving an extra £300 so direct support for the most vulnerable in our society as we work through this period where inflation is high.”
Speaking about his plan to halve inflation rates by the end of this year, the PM told employees at Topps Tiles that he can do “three quick things” to make it happen.
He says he will be “responsible” with spending, taxes and borrowing, even if it makes his life “tricky in the short term”.
Secondly, the PM says the UK needs to increase its “supply of things”, like energy production “here at home”.
His third commitment is to help people “get through” the period of high inflation, “like we did with energy bills.”
Despite Mr Sunak’s optimism about the future of the economy however, Rachel Reeves Labour’s shadow chancellor, pointed out that inflation in Britain remains high and higher than other major economies.
“13 years of Tory economic failure has left Britain worse off,” she said earlier today. “As Chancellor, I have a mission to build an economy that works for working people – to boost growth, deliver jobs, and bring down bills.”