tv BBC News BBC News March 23, 2022 2:00pm-5:01pm GMT
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rachel chancellor and response from rachel reeves, the shadow chancellor. we can join reeves, the shadow chancellor. we canjoin fiona reeves, the shadow chancellor. we can join fiona trott who reeves, the shadow chancellor. we canjoin fiona trott who is reeves, the shadow chancellor. we can join fiona trott who is still in darlington at the market and hopefully can get some reaction from people who have listened to the statement. we were speaking to one market trader here earlier who's been here for over 70 years and he was saying the cost of living has never felt so severe for him. how do people feel now? let's speak to kirsty, you run a ladies clothing store here, and diane, you arejoining us again. you own a local haulage business. kirsty, what do you think? 50 own a local haulage business. kirsty, what do you think? so the national insurance _ kirsty, what do you think? so the national insurance is _ kirsty, what do you think? so the national insurance is a _ kirsty, what do you think? so the national insurance is a little - kirsty, what do you think? so the national insurance is a little bit i national insurance is a little bit of help— national insurance is a little bit of help to _ national insurance is a little bit of help to me, it means i don't have to worry— of help to me, it means i don't have to worry about earning so much so fast so _ to worry about earning so much so fast so that— to worry about earning so much so fast so that gives me a bit more leeway — fast so that gives me a bit more leewa . ~ , , ., ~ ., i. leeway. when we were speaking to you earlier, leeway. when we were speaking to you earlier. diane. — leeway. when we were speaking to you earlier, diane, the _ leeway. when we were speaking to you earlier, diane, the cost _ leeway. when we were speaking to you earlier, diane, the cost of— leeway. when we were speaking to you
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earlier, diane, the cost of diesel - earlier, diane, the cost of diesel is a big thing for you. 5p cut in duty, what do you think? 5p per litre, not duty, what do you think? 5p per litre. not so _ duty, what do you think? 5p per litre, not so good _ duty, what do you think? 5p per litre, not so good for _ duty, what do you think? 5p per litre, not so good for us - duty, what do you think? 5p per litre, not so good for us is - duty, what do you think? 5p per litre, not so good for us is a - litre, not so good for us is a haulage _ litre, not so good for us is a haulage company. it's not going to make _ haulage company. it's not going to make much— haulage company. it's not going to make much difference at all. 20p would _ make much difference at all. 20p would have been brilliant, not that that was— would have been brilliant, not that that was ever going to happen, but 5p that was ever going to happen, but sp for— that was ever going to happen, but sp for the — that was ever going to happen, but 5p for the every day motorist, h0pefutty_ 5p for the every day motorist, hopefully that will help people get around _ hopefully that will help people get around with the summer coming, fitting _ around with the summer coming, fitting their — around with the summer coming, filling their cars up a little bit cheaper— filling their cars up a little bit cheaper than it would have cost. kirsty, _ cheaper than it would have cost. kirsty, you — cheaper than it would have cost. kirsty, you are a mother of four, you run around in the car. is that going to make your life easier? his. going to make your life easier? no, it won't make _ going to make your life easier? no, it won't make much difference at all. it won't make much difference at at i_ it won't make much difference at at i fill— it won't make much difference at at i fill my— it won't make much difference at all. i fill my tank twice a week to -et all. i fill my tank twice a week to get to— all. i fill my tank twice a week to get to hear— all. i fill my tank twice a week to get to hear and work. that is about 570 _ get to hear and work. that is about 570 it's _ get to hear and work. that is about 570 it's a — get to hear and work. that is about £70. it's a lot, i am a mum of four and i_ £70. it's a lot, i am a mum of four and i have— £70. it's a lot, i am a mum of four and i have just _ £70. it's a lot, i am a mum of four and i have just started a new business. _ and i have just started a new business, i've only been here since october— business, i've only been here since october so — business, i've only been here since october so it won't make much difference, hence i'm going to get the train _ difference, hence i'm going to get
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the train pass. you difference, hence i'm going to get the train pass.— difference, hence i'm going to get the train pass. you will start using the train pass. you will start using the train pass. you will start using the train still _ the train pass. you will start using the train still despite _ the train pass. you will start using the train still despite the - the train still despite the announcement? �*icrp the train still despite the announcement? ' i: , ., ., ., ., announcement? 10p would have made a massive difference _ announcement? 10p would have made a massive difference but _ announcement? 10p would have made a massive difference but 5p _ announcement? 10p would have made a massive difference but 5p is _ massive difference but 5p is nothing _ massive difference but 5p is nothing. they have to do wholesale runs to _ nothing. they have to do wholesale runs to three different wholesalers so when _ runs to three different wholesalers so when you calculate that in together, 5p is nothing. the chancellor _ together, 5p is nothing. the chancellor also _ together, 5p is nothing. tie: chancellor also talking together, 5p is nothing. he chancellor also talking about together, 5p is nothing. tte: chancellor also talking about growth in business then. do you feel today that your business is going to grow over the next year? i that your business is going to grow over the next year?— that your business is going to grow over the next year? i think business as a whole — over the next year? i think business as a whole will— over the next year? i think business as a whole will probably _ over the next year? i think business as a whole will probably stay - over the next year? i think business as a whole will probably stay on - as a whole will probably stay on par i’ili'it as a whole will probably stay on par right now — as a whole will probably stay on par right now. we are going to have to work— right now. we are going to have to work hard — right now. we are going to have to work hard to— right now. we are going to have to work hard to make it stay that because — work hard to make it stay that because everything is going up from the cost _ because everything is going up from the cost of— because everything is going up from the cost of diesel to the very costs to the _ the cost of diesel to the very costs to the just — the cost of diesel to the very costs to the just paying to get in and out of the _ to the just paying to get in and out of the country since brexit. that has gone — of the country since brexit. that has gone up hugely. the paper work has gone up hugely. the paper work has gone _ has gone up hugely. the paper work has gone up — has gone up hugely. the paper work has gone up 20 fold, not tenfold as we thought. we have to employ a full-time — we thought. we have to employ a full—time personjust to we thought. we have to employ a full—time person just to cover brexit— full—time person just to cover brexit and now we have to put on extra _ brexit and now we have to put on extra costs — brexit and now we have to put on extra costs and look at how much
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more _ extra costs and look at how much more it's— extra costs and look at how much more it's costing us. we have had to put more it's costing us. we have had to but a _ more it's costing us. we have had to but a fuet— more it's costing us. we have had to put a fuel surcharge on all of our customers— put a fuel surcharge on all of our customers which will be reviewed once _ customers which will be reviewed once a _ customers which will be reviewed once a month. hopefully it will come down _ once a month. hopefully it will come down a _ once a month. hopefully it will come down a little bit, but 5p is not going — down a little bit, but 5p is not going to — down a little bit, but 5p is not going to make very much difference at att~ _ going to make very much difference at ad i_ going to make very much difference at all. i won't see a difference in that _ at all. i won't see a difference in that i_ at all. i won't see a difference in that i know— at all. i won't see a difference in that. i know that to fill an arctic wagon — that. i know that to fill an arctic wagon up. _ that. i know that to fill an arctic wagon up, the price of fuel has gone up wagon up, the price of fuel has gone up one _ wagon up, the price of fuel has gone up one third — wagon up, the price of fuel has gone up one third since last year, this time _ up one third since last year, this time last— up one third since last year, this time last year. if it is 600 now, it was 400 — time last year. if it is 600 now, it was 400 last year.— time last year. if it is 600 now, it was 400 last year. you run your own stall. was 400 last year. you run your own stall- what _ was 400 last year. you run your own stall. what the — was 400 last year. you run your own stall. what the chancellor _ was 400 last year. you run your own stall. what the chancellor has - was 400 last year. you run your own stall. what the chancellor has said . stall. what the chancellor has said today, has that helped you plan ahead? . today, has that helped you plan ahead? :, :, ., , ., :, ahead? no, nothing was laid out enou:h. ahead? no, nothing was laid out enough- i'm _ ahead? no, nothing was laid out enough. i'mjust_ ahead? no, nothing was laid out enough. i'm just an _ ahead? no, nothing was laid out enough. i'm just an average - ahead? no, nothing was laid out l enough. i'mjust an average mum, enough. i'm just an average mum, only setting — enough. i'm just an average mum, only setting out _ enough. i'm just an average mum, only setting out in _ enough. i'm just an average mum, only setting out in business - enough. i'm just an average mum, only setting out in business now. enough. i'm just an average mum, i only setting out in business now and it wasn't— only setting out in business now and it wasn't laid — only setting out in business now and it wasn't laid out _ only setting out in business now and it wasn't laid out in— only setting out in business now and it wasn't laid out in layman - only setting out in business now and it wasn't laid out in layman terms i it wasn't laid out in layman terms for someone _ it wasn't laid out in layman terms for someone else _ it wasn't laid out in layman terms for someone else to _ it wasn't laid out in layman terms for someone else to understand i it wasn't laid out in layman terms i for someone else to understand and prepare _ for someone else to understand and prepare and — for someone else to understand and prepare and have _ for someone else to understand and prepare and have things _ for someone else to understand and prepare and have things in - for someone else to understand and prepare and have things in place - prepare and have things in place beforehand _ prepare and have things in place beforehand. so— prepare and have things in place beforehand. so no, _ prepare and have things in place beforehand. so no, i—
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prepare and have things in place beforehand. so no, i don't- prepare and have things in place beforehand. so no, i don't think| beforehand. so no, i don't think it's helping _ beforehand. so no, i don't think it's helping-— beforehand. so no, i don't think it's heluinl: ., . , :, ,., it's helping. what decisions are you makin: it's helping. what decisions are you making new — it's helping. what decisions are you making new to _ it's helping. what decisions are you making now to manage? _ it's helping. what decisions are you making now to manage? i'm - it's helping. what decisions are you | making now to manage? i'm holding off auoin to making now to manage? i'm holding off going to wholesalers, _ making now to manage? i'm holding off going to wholesalers, so - making now to manage? i'm holding off going to wholesalers, so my - off going to wholesalers, so my stock _ off going to wholesalers, so my stock is — off going to wholesalers, so my stock is decreasing. _ off going to wholesalers, so my stock is decreasing. i _ off going to wholesalers, so my stock is decreasing. i have - off going to wholesalers, so my stock is decreasing. i have to l off going to wholesalers, so my. stock is decreasing. i have to hold back— stock is decreasing. i have to hold back because _ stock is decreasing. i have to hold back because i— stock is decreasing. i have to hold back because i can't _ stock is decreasing. i have to hold back because i can't afford - stock is decreasing. i have to hold back because i can't afford to - stock is decreasing. i have to hold back because i can't afford to go l stock is decreasing. i have to holdl back because i can't afford to go to three _ back because i can't afford to go to three different _ back because i can't afford to go to three different wholesalers - back because i can't afford to go to three different wholesalers once i back because i can't afford to go to three different wholesalers once a i three different wholesalers once a month _ three different wholesalers once a month i— three different wholesalers once a month. .., �* three different wholesalers once a month. �* ., , :, ., three different wholesalers once a month. �* ., , :, :, ., month. i can't afford to do it. thank you — month. i can't afford to do it. thank you very _ month. i can't afford to do it. thank you very much - month. i can't afford to do it. thank you very much for - month. i can't afford to do it. i thank you very much for giving month. i can't afford to do it. - thank you very much for giving us your reaction to what the chancellor had to say this afternoon. the more people you speak to here in and around darlington market, you get the feeling they already know what the feeling they already know what the state of the economy is like. they feel it, and while the chancellor has made announcements that will affect them, the 5p cut in fuel duty for example, the people in darlington are on benefits and don't have a car so they say they will have a car so they say they will have to join —— find ways to save money elsewhere. have to join -- find ways to save money elsewhere.— money elsewhere. fiona trott in darlington. _ money elsewhere. fiona trott in darlington, thank _ money elsewhere. fiona trott in darlington, thank you. - money elsewhere. fiona trott in darlington, thank you. we - money elsewhere. fiona trott in darlington, thank you. we can i darlington, thank you. we can welcome pat mcfadden.
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he is at central lobby, welcome to you. labour have been saying that rishi sunak has been a tax—raising chancellor, but today he has promised to cut the basic rate of income tax by ip in 2024 and is increasing the threshold by which we start paying national insurance by £3000, which is a £6 billion tax cut which will benefit many workers, so do we want to change your mantra about rishi sunak? trio. do we want to change your mantra about rishi sunak?— about rishi sunak? no, we learnt three things _ about rishi sunak? no, we learnt three things today _ about rishi sunak? no, we learnt three things today in _ about rishi sunak? no, we learnt three things today in this - three things today in this statement. the first is that we are about to be hit with the biggest hit in living standards on record. that is what the obr have said today. certainly the biggest in the post—war period. nothing that was said today is going to change that. the second thing to your question about tax is this has now become a
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game of smoke and mirrors with one purpose in mind and one overriding criteria, and that is the tory party election grid. for six months, we have been told that there needed to be £12 million rise in national insurance and if you queried that, you were against funding for the nhs and now the government has done this partial u—turn on it. secondly, he's proposing uniquely among g7 countries to impose this national insurance rise on households struggling with energy bills and then to cut tax by roughly the same amount a year then to cut tax by roughly the same amounta year or then to cut tax by roughly the same amount a year or two laterjust so it chimes with the tory election campaign. families don't need pain piled onto them now to fit with boris johnson's piled onto them now to fit with borisjohnson's election plans. they shouldn't be asked to pay for this cost and the more i listen to him today, the more it begged the question why are you doing this at
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all. in question why are you doing this at all. , :, :, , :, all. in terms of the money for the nhs and health _ all. in terms of the money for the nhs and health and _ all. in terms of the money for the nhs and health and social - all. in terms of the money for the nhs and health and social care i all. in terms of the money for the i nhs and health and social care levy, we still don't know how labour would raise that sort of money, the billions that are needed to deal with the backlog in the nhs. it’s with the backlog in the nhs. it's clearly not _ with the backlog in the nhs. it�*s clearly not for the nhs and social care, that has all been blown apart today. he said he needed 12 million for the nhs and social care and now he's announced he will give 6 billion back so he clearly either didn't need the money or it was never going to social care in the first place. this was about a political decision to impose tax rises now in order for borisjohnson and rishi sunak to try to get the public to be grateful when they cut them in two years' time. i've been saying this for about six months and people were saying how do you know that's the plan? the chancellor has just announced it. i that's the plan? the chancellor has just announced it.— just announced it. i still haven't heard your _ just announced it. i still haven't heard your plan. _ just announced it. i still haven't heard your plan. how— just announced it. i still haven't heard your plan. how much - just announced it. i still haven't i heard your plan. how much money
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just announced it. i still haven't - heard your plan. how much money do you think the nhs needs? {iii heard your plan. how much money do you think the nhs needs?— you think the nhs needs? of course the nhs needs _ you think the nhs needs? of course the nhs needs resources _ you think the nhs needs? of course the nhs needs resources and - you think the nhs needs? of course the nhs needs resources and any i the nhs needs resources and any chancellor sets out tax plans when it comes to the election. if it can change this much in six monthsjust as the national insurance increase was announced, think how much circumstances will change in two years. that is the sensible time to do it. do years. that is the sensible time to do it. , :, years. that is the sensible time to doit. , do it. do you accept the circumstances - do it. do you accept the circumstances of - do it. do you accept the circumstances of the i do it. do you accept the - circumstances of the pandemic followed very swiftly by the war in ukraine has put an enormous strain on both public finances and because of the actions taken by the government to put pressure on the putin regime is having consequences here? {iii putin regime is having consequences here? .., , putin regime is having consequences here? , ., �*, ., here? of course that's true here and around the — here? of course that's true here and around the world, _ here? of course that's true here and around the world, but _ here? of course that's true here and around the world, but what - here? of course that's true here and around the world, but what makes i around the world, but what makes britain stand out is not the inflationary pressures. they are happening in other countries too. what makes britain stand out is the decision of the government to impose
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tax increases on working people in the middle of it all. we are the only country in the g7 to do that, that begs the question why it's being done. it's clearly not for the nhs and social care because he's just done a partial reversal of it, but he is doing in order so that he can somehow to give it back in the form of a 1p income tax cut before the next election. i repeat, what is the next election. i repeat, what is the point of this hokey coqui dance on taxation?— the point of this hokey coqui dance on taxation? part, you will probably know i on taxation? part, you will probably know i have — on taxation? part, you will probably know i have my _ on taxation? part, you will probably know i have my guests _ on taxation? part, you will probably know i have my guests here - on taxation? part, you will probably know i have my guests here in i on taxation? part, you will probably know i have my guests here in the l know i have my guests here in the studio who will put some questions to you as well. laura, you may want to you as well. laura, you may want to go first. in to you as well. laura, you may want to go first-— to go first. in terms of what you have described _ to go first. in terms of what you have described as _ to go first. in terms of what you have described as the _ to go first. in terms of what you have described as the hokey i to go first. in terms of what you i have described as the hokey cokey, will labour— have described as the hokey cokey, will labour vote against or object to him _ will labour vote against or object to him increasing those thresholds? it's one _ to him increasing those thresholds? it's one thing having objections to it, it's one thing having objections to it. but— it's one thing having objections to it. but will— it's one thing having objections to it, but will you try to stop it happening?— it, but will you try to stop it happening? it, but will you try to stop it hauuenin? :, , :, :, :, , happening? no, but we have already said all along —
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happening? no, but we have already said all along and _ happening? no, but we have already said all along and voted _ happening? no, but we have already said all along and voted against i happening? no, but we have already said all along and voted against the l said all along and voted against the national insurance rise. you said all along and voted against the national insurance rise.— national insurance rise. you don't therefore think _ national insurance rise. you don't therefore think it's _ national insurance rise. you don't therefore think it's a _ national insurance rise. you don't therefore think it's a mistake, i therefore think it's a mistake, rather than tinkering with the thresholds you will back that? if it thresholds you will back that? if it makes it thresholds you will back that? if it makes it easier for people, of makes it easierfor people, of course we will but it goes back to what we were saying. we never accepted this idea that it was a hypothecated i2 accepted this idea that it was a hypothecated 12 billion plan a year for the nhs and social care and the reason we never accepted it is because i and others had a suspicion all along that the plan was actually to levy this national insurance increase now so the tories would then be in a position to cut tax before the election. the reason that is a particularly bad idea is because people are struggling so much with the cost of living. up until a couple of hours ago, that was just a until a couple of hours ago, that wasjust a suspicion until a couple of hours ago, that was just a suspicion of the opposition. now it's been confirmed by the chancellor and the idea this was a hypothecated tax for health and social care has been completely blown out of the water. but and social care has been completely blown out of the water.— blown out of the water. but you don't know _ blown out of the water. but you don't know today _ blown out of the water. but you don't know today that _ blown out of the water. but you don't know today that the i blown out of the water. but you -
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don't know today that the government is not going to find that 6 billion for the nhs somewhere else. you can't say that £6 billion is going to come out of the spending budget, you don't know that. thea;r to come out of the spending budget, you don't know that.— you don't know that. they haven't said anything _ you don't know that. they haven't said anything about _ you don't know that. they haven't said anything about that. - you don't know that. they haven't said anything about that. if- you don't know that. they haven't said anything about that. if the i said anything about that. if the government says today they will raise 6 billion from somewhere else, let's hear them say that but so far i haven't heard anything about that this afternoon. i i haven't heard anything about that this afternoon.— this afternoon. i 'ust want to step back from the i this afternoon. i just want to step back from the minutiae _ this afternoon. i just want to step back from the minutiae and i this afternoon. i just want to step back from the minutiae and think| back from the minutiae and think about— back from the minutiae and think about scale — back from the minutiae and think about scale of— back from the minutiae and think about scale of the _ back from the minutiae and think about scale of the sort _ back from the minutiae and think about scale of the sort of- back from the minutiae and think| about scale of the sort of package reguired _ about scale of the sort of package required here _ about scale of the sort of package required here. clearly— about scale of the sort of package required here. clearly two - about scale of the sort of package required here. clearly two years l about scale of the sort of package . required here. clearly two years ago the pandemic, — required here. clearly two years ago the pandemic, £400— required here. clearly two years ago the pandemic, £400 billion- required here. clearly two years ago the pandemic, £400 billion put i required here. clearly two years ago the pandemic, £400 billion put in l the pandemic, £400 billion put in here and — the pandemic, £400 billion put in here and we — the pandemic, £400 billion put in here and we have _ the pandemic, £400 billion put in here and we have just _ the pandemic, £400 billion put in here and we have just noticed i here and we have just noticed everybody _ here and we have just noticed everybody is _ here and we have just noticed everybody is feeling - here and we have just noticed everybody is feeling some i here and we have just noticed i everybody is feeling some sort of squeeze. — everybody is feeling some sort of squeeze. just _ everybody is feeling some sort of squeeze, just about _ everybody is feeling some sort of squeeze, just about managing. everybody is feeling some sort of- squeeze, just about managing falling into poverty— squeeze, just about managing falling into poverty and _ squeeze, just about managing falling into poverty and then _ squeeze, just about managing falling into poverty and then the _ squeeze, just about managing falling into poverty and then the people - squeeze, just about managing falling into poverty and then the people oni into poverty and then the people on normal_ into poverty and then the people on normal income _ into poverty and then the people on normal income feeling _ into poverty and then the people on normal income feeling like - into poverty and then the people on normal income feeling like they- into poverty and then the people on normal income feeling like they are | normal income feeling like they are 'ust normal income feeling like they are just about _ normal income feeling like they are just about managing. _ normal income feeling like they are just about managing. you - normal income feeling like they are just about managing. you are - normal income feeling like they are just about managing. you are still. just about managing. you are still really— just about managing. you are still really in _ just about managing. you are still really in the — just about managing. you are still really in the same _ just about managing. you are still really in the same ballpark - just about managing. you are still really in the same ballpark of - just about managing. you are stilli really in the same ballpark of what the government— really in the same ballpark of what the government is— really in the same ballpark of what the government is doing. - really in the same ballpark of what the government is doing. you - really in the same ballpark of what the government is doing. you arei really in the same ballpark of what i the government is doing. you are not talking _
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the government is doing. you are not talking about — the government is doing. you are not talking about... lett— the government is doing. you are not talking about. . ._ talking about... let me give you one im ortant talking about... let me give you one important difference. _ talking about... let me give you one important difference. there - talking about... let me give you one important difference. there was - talking about... let me give you one important difference. there was a i important difference. there was a tax rishi sunak didn't turn to today which was the proposal we made for a one—off windfall levy on the excess profits of the oil and gas companies. they are making an absolute fortune right now. we heard the quote in the chamber, the chief executive of bp calling the current market the cash machine for his company. he could have raised several billion pounds from that and made his energy package more generous. we proposed that he do that, and if he did that, he might not be in a position of giving people a £200 loan in october, he may actually be in a position to take £200 off bills or help people at the forest and more than he is doing already, but he has firmly turned his face away from that and he's persisting with this to dance around national insurance. the reason he's — around national insurance. the reason he's not _ around national insurance. the reason he's not going for a windfall tax is because that will necessarily
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reduce production domestically. your party doesn't back imports from russia, was criticising imports from saudi arabia, where will we get the energy we need from?— saudi arabia, where will we get the energy we need from? when the oil and as energy we need from? when the oil and gas companies _ energy we need from? when the oil and gas companies made _ energy we need from? when the oil and gas companies made their- and gas companies made their investment plans, they made them on the assumption of oil and gas prices far lower than they are right now and when they announced profits, both shell and bp didn't announce major new investment plans, they announced increased dividend payment and share buy—backs so this is not used for a new wave of investment. it's being used for share buy—backs and increased dividend plans. it's classic windfall, that's why the former chief executive of bp said that a windfall tax is justified. if the former chief executive of the company says it's justified, the former chief executive of the company says it'sjustified, i the former chief executive of the company says it's justified, i think thatis company says it's justified, i think that is a pretty good reason for rishi sunak to look at this again.
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on that windfall tax, some of the people _ on that windfall tax, some of the people you speak to say the fact oil and gas _ people you speak to say the fact oil and gas prices are so high means there _ and gas prices are so high means there will— and gas prices are so high means there will be taxed windfall on its own therefore you don't really need a windfatt— own therefore you don't really need a windfall tax and if you can encourage more investment in the north— encourage more investment in the north sea. — encourage more investment in the north sea, the north atlantic, then all of— north sea, the north atlantic, then all of that— north sea, the north atlantic, then all of that extra income can be taxed — all of that extra income can be taxed here rather than elsewhere. those _ taxed here rather than elsewhere. those are — taxed here rather than elsewhere. those are some of the arguments out there _ those are some of the arguments out there although it has to be said that even— there although it has to be said that even the economics editor of the ft_ that even the economics editor of the ft was — that even the economics editor of the ft was arguing for that to happen _ the ft was arguing for that to happen. do you have any sympathy with the _ happen. do you have any sympathy with the chancellor who looks at gdp rising _ with the chancellor who looks at gdp rising pretty strongly in february? you have — rising pretty strongly in february? you have unemployment much lower than anyone thought was possible, corporate — than anyone thought was possible, corporate deposits are quite high, corporate — corporate deposits are quite high, corporate tax receipts are looking good _ corporate tax receipts are looking good. actually it makes quite a lot of sense _ good. actually it makes quite a lot of sense for business to wait a little _ of sense for business to wait a little bit — of sense for business to wait a little bit and keep some powder dry for october when you see where it is really— for october when you see where it is really needed. was he right in a way to talk— really needed. was he right in a way to talk about that because he needs to talk about that because he needs to see _ to talk about that because he needs to see how— to talk about that because he needs to see how things settle down because — to see how things settle down because they are so volatile? first of all the people _ because they are so volatile? f "st of all the people saying that, i
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don't know if they are saying it to you with a straight face given what they have said when the annual results of the oil and gas companies were announced, but on your point about waiting and uncertainty, a lot of this comes down to a broader argument we have been economic growth. the chancellor wants to put all of this down to the pandemic to say that he has become the high tax chancellor that he is because of the pandemic. but it is notjust because of the pandemic, it's because of anaemic economic growth for 12 years. one of the extraordinary thing is the chancellor said was we need better economic growth and the work on that starts today. this government hasn't beenin starts today. this government hasn't been in powerfor i2 starts today. this government hasn't been in powerfor 12 weeks or 12 days, it's been in powerfor i2 days, it's been in powerfor 12 years and one of the reasons we have arrived at the highest tax burden in 70 years is because we have had such an anaemic record on economic growth since the government came into office.
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thank you very much and we can go almost immediately to speak to the s&p's stephen flynn. thank you for waiting —— snp. firstly your reaction and initial response to what you heard from rishi sunak? i what you heard from rishi sunak? i think the overwhelming response what you heard from rishi sunak? i think the overwhelming response from most people in the chamber was that and it stands, we know inflation is at 830 year high and it will only get worse and energy bills will be reaching some £3000 a year by the autumn we will see a fall in living standards, the biggest since the 505 and it appears the chancellor's only response is to a tax cut on national insurance having already hiked it, and to take 5p per litre off petrol, having already since a situation where petrol tanks go up by 40p a litre. it is overwhelmingly a case of is that it and what planet is the chancellor living on. he has not delivered. he chancellor living on. he has not delivered-—
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chancellor living on. he has not delivered. . _ :::: delivered. he has increased by 500 million to £1— delivered. he has increased by 500 million to £1 billion _ delivered. he has increased by 500 million to £1 billion the _ delivered. he has increased by 500 million to £1 billion the household i million to £1 billion the household support, and rishi sunak said he had already come forward with a scheme to help people pay their energy bills not all of the increase expected by millions of families, but certainly billions being put forward for a rebate for all families, sorry, not the rebate, the loan of £200 to all families and a rebate for households in those bands a— deep so you can't say he hasn't done anything. i’m a- deep so you can't say he hasn't done anything-— done anything. i'm not sure i am bu in: done anything. i'm not sure i am buying out _ done anything. i'm not sure i am buying out a _ done anything. i'm not sure i am buying out a buy _ done anything. i'm not sure i am buying out a buy now _ done anything. i'm not sure i am buying out a buy now pay - done anything. i'm not sure i am buying out a buy now pay later. done anything. i'm not sure i am i buying out a buy now pay later loan is the answer people are looking for. i etsy really people struggling and concerned about whether they can heat their home or feed their children, bite kids their clothes for nursery or fill children, bite kids their clothes for nursery orfill up children, bite kids their clothes for nursery or fill up their car and the reality is the chancellor has not responded accordingly. what he should have done was reverse the cut to universal credit, match the scottish government's at 6% uplift in bed offence, and what he could andindeed in bed offence, and what he could and indeed should have done is turn
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that load into a grant and provide families the support they need at this difficult moment —— that lone punter and it will only get worse and his response does not cut it. did you welcome the announcement of increasing the threshold of national insurance contributions and when they kick in bite £3000 can equalising it with income tax personal allowance? that a £6 billion tax cut to 70% of all workers. i billion tax cut to 7096 of all workers— billion tax cut to 7096 of all workers. ~' , ,., , _, workers. i think everybody welcome is that but what _ workers. i think everybody welcome is that but what we _ workers. i think everybody welcome is that but what we are _ workers. i think everybody welcome is that but what we are all _ workers. i think everybody welcome is that but what we are all confused | is that but what we are all confused about the fact that in a matter of months ago the chancellor decided to hike national insurance so just a few months later and he says he is taking some of that money back. ultimately, the money doesn't go far enough, it equates to about £300 a year and those earning less than 35,000 a year, 300 pounds versus a £3000 energy bill is nothing. it does not go far enough, families are struggling and the chancellor needed to stand up and he has failed to deliver again. to stand up and he has failed to deliveragain. but to stand up and he has failed to deliver again. but we know this is the record of the tory government, they could have invested in people,
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put money back into peoples pockets, but instead they have gone down the traditional route of austerity, something we have seen in the last 12 years as pat outlined before me. you mentioned austerity and rishi sunak is keen to stress this is off the back of, in his word and boris johnson's words, doing whatever it takes to help people through the pandemic. i think even the snp and labour acknowledged that was an extremely generous scheme in terms of furlough, then to be hit by the war in ukraine, that steps have been taken to mitigate to some extent the pain you're talking about so do you have some sympathy with the chancellor in terms of the step he took? i chancellor in terms of the step he took? ~ ., chancellor in terms of the step he took? ~' ., , ., took? i think we need to focus on the facts — took? i think we need to focus on the facts. the _ took? i think we need to focus on the facts. the chancellor- took? i think we need to focus on the facts. the chancellor is - took? i think we need to focus on | the facts. the chancellor is raking it in from income tax receipts, inheritance tax, vat receipts, northey oil and gas receipts, and what he has that is get a pittance to people to get them through the cost of living crisis. the situation in ukraine is grave and has impacted
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on the situation more than we have seen because the cost of living crisis was in place before that. but the levers were there for the chancellor to take real action to support people and not a single mention universal credit that i heard today, and yet this is the same person who a matter of months ago took £20 per week out of those on universal credit, at a time when he knew the cost of living was going to increase. is a repeat because it needs to be repeated, fuel bills will be around £3000 a year, £3000 a year and the best he can muster is 300 quid, it's not good enough. thank you very much. now the leader of the liberal democrats, ed davey from with us in central lobby. your reaction to what the chancellor said? . . . reaction to what the chancellor said? , , . ., . , ., said? this is a total swindle from the chancellor. _ said? this is a total swindle from the chancellor. he _ said? this is a total swindle from the chancellor. he is _ said? this is a total swindle from the chancellor. he is giving - said? this is a total swindle from the chancellor. he is giving with| the chancellor. he is giving with one hand and taking with another. we are facing a cost of living crisis according to the obr, the worst for over 50 years, inflation already at the highest for 40 years. people are
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drowning with those higher energy bills, motoring costs, food bills, they needed a lifeboat and the chancellor has utterly failed them. we are seeing the cost of living next to nothing, nothing on eye watering inflation, and one point not being made and heard enough is thatis not being made and heard enough is that is nothing for schools and hospitals who will see their budgets severely cut by higher inflation. what sort of package, give us a sense of the scale of the package you would have liked to see in cash terms going to stand by hard—working families? fist terms going to stand by hard-working families? �* . . terms going to stand by hard-working families? . . , ., ., families? at least two or three times larger — families? at least two or three times larger than _ families? at least two or three times larger than this - families? at least two or three times larger than this point - families? at least two or three l times larger than this point that families? at least two or three - times larger than this point that we proposed a cut in vat which would have cost £18 billion, a one—year cut in value tax, which would have been worth £600 a year for the average family and also we would cut headline inflation and help reinflate the economy, bringing help to struggling businesses particularly on the high street but that's on a bold measure was what the lib dems were arguing for. the chancellor has done nothing like that. in
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chancellor has done nothing like that. . chancellor has done nothing like that. , ., ., , , . that. in terms of 'obs, we have talked a bit _ that. in terms ofjobs, we have talked a bit about _ that. in terms ofjobs, we have| talked a bit about employment, levels of employment are high and have been high, perhaps surprisingly, ever since almost not the end of the pandemic but as we were coming out of it and the war hit that you would accept that at least on that front, things have been more positive? yes least on that front, things have been more positive?— least on that front, things have been more positive? yes but we are seeinr been more positive? yes but we are seeing skill — been more positive? yes but we are seeing skill shortages, _ been more positive? yes but we are seeing skill shortages, labour- seeing skill shortages, labour shortages pulled at the problem, as many forecast, is that our health service, care home don't have the staff they need, but every business i speak to, every organisation i speak to, from the cbi to the federation of small businesses, the british chambers of commerce, they are all complaining that their members don't have the staff they need so if we are going to grow our economy sustainably grow out of this appalling situation we are in, we are going to have to find the labour from somewhere and there was nothing in that this was not a strategy, this was more designed to make the chancellor look good to the backbenches than it was to help people struggling with their bills and help the economy. lgratin)
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people struggling with their bills and help the economy. who would have thou~ht it, and help the economy. who would have thought it. a — and help the economy. who would have thought it, a politician _ and help the economy. who would have thought it, a politician trying _ and help the economy. who would have thought it, a politician trying to - thought it, a politician trying to make themselves look good, excuse my cynicism! he make themselves look good, excuse my nicism! , ., , . cynicism! he should be looking after our country — cynicism! he should be looking after our country and _ cynicism! he should be looking after our country and he's _ cynicism! he should be looking after our country and he's too _ cynicism! he should be looking after our country and he's too busy - our country and he's too busy fighting a leadership election in case borisjohnson falls under a bus. we have a serious crisis in our country. thatjob of the chancellor is to focus on that crisis. for millions of families, he's not done that. ., _ , millions of families, he's not done that. ., , ., , . that. you say there is no plan, in front of me _ that. you say there is no plan, in front of me i _ that. you say there is no plan, in front of me i have _ that. you say there is no plan, in front of me i have various - that. you say there is no plan, in front of me i have various pieces| that. you say there is no plan, in i front of me i have various pieces of paper including a tax plan, rishi sunak saying he was trying to set out some sort of for the longer term which did include, yes, a rather eye—catching cut to the basic rate of income tax by 1p, but that will be well received? this of income tax by 1p, but that will be well received?— of income tax by 1p, but that will be well received? this is why i call it a swindle- _ be well received? this is why i call it a swindle. he _ be well received? this is why i call it a swindle. he is _ be well received? this is why i call it a swindle. he is reducing - be well received? this is why i call| it a swindle. he is reducing income tax at the same time as raising national insurance and guess what? the people who benefit from the income tax cut include people with huge investment earnings, landlords and so on, and they will not pay the higher national insurance and higher national insurance will be paid
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particular by low—paid workers and small businesses. that is not the right priority for our economy or people struggling. that is why it is a swindle and you can say that about the national insurance threshold. the liberal democrats want to take lopini paea —— low pay people out of tax, we delivered that when we were in government but what the chancellor is doing is another swindle. he is freezing the income tax personal allowance which is bringing millions of low—paid people back into income tax, while raising national insurance threshold. people should not be fooled by this smoke and mirrors where he is raising allowance and cutting an allowance, raising attacks and cutting a tax. i'm afraid this is not good management of our tax system. ed davey, leader of the lib dems, thank you very much ponder let's spend the final minutes of this special programme to think about some of the consequences, politically and obviously on e—commerce and business. physically, it interesting
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the language use, this is a swindle, the language use, this is a swindle, the hopi koki, smoke and mirrors, it's not the first time a chancellor has been accused of such things but will it come back to haunt rishi sunak? and the government at large? because there is a sense of giving and taking back or taking back and giving a little bit to households, during which time, as we said before, people are going to feel very desperate are not going to feel well off. �* . very desperate are not going to feel well off. �* , ., ., ~' very desperate are not going to feel well off. �* , ., ., ~ . well off. i've been looking at responses — well off. i've been looking at responses from _ well off. i've been looking at responses from some - well off. i've been looking at responses from some think. well off. i've been looking at - responses from some think tanks on left and right in on the right one said the chancellor give us and take that away and i think there will be quite a lot a political hubbub around this idea that he is trying to style himself as a tax cutter but he is cutting a tax in the form of national insurance which he had already raised, and he is promising already raised, and he is promising a tax cut into time that he might not be able to enact. that is something very significant and i think there will be a political
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point of the second point where i think he is vulnerable which you can see in the response from the think tanks and academics on the left of the spectrum, is there was not anything that really addresses how tough things might be for people who really find it hard to make ends meet, those on benefits, nothing for people on benefits in that statement apart from an extra £500 million that will go to local authorities... and they can help those most disadvantaged. but and they can help those most disadvantaged.— and they can help those most disadvantaged. but that kind of sense of immediate _ disadvantaged. but that kind of sense of immediate help - disadvantaged. but that kind of sense of immediate help that l disadvantaged. but that kind of - sense of immediate help that people were really calling for, there are some questions about... find were really calling for, there are some questions about. . .- were really calling for, there are some questions about... and on that, 'ust a few some questions about... and on that, just a few minutes, _ some questions about. .. and on that, just a few minutes, i _ some questions about. .. and on that, just a few minutes, i will— some questions about... and on that, just a few minutes, i will get - some questions about... and on that, just a few minutes, i will get to - just a few minutes, i will get to both of be but on pensions and benefits, which is connected helping the most disadvantaged and vulnerable, he hasn't in that sense, not those groups put and there is a structural different with the measures in this statement, we often talk about micro—measures and they become big stories. but talk about micro-measures and they become big stories.— become big stories. but here, because of— become big stories. but here, because of the _ become big stories. but here, because of the nature - become big stories. but here, because of the nature of - become big stories. but here, because of the nature of the l because of the nature of the
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economic— because of the nature of the economic situation, it affects ten, 15 million — economic situation, it affects ten, 15 million people, or millions of pensioners so you look at the index issue _ pensioners so you look at the index issue inflation we are told will average — issue inflation we are told will average 7.4% through the whole year. the difference between giving 3.1%, which _ the difference between giving 3.1%, which is _ the difference between giving 3.1%, which is what we thought inflation might— which is what we thought inflation might have been, and 6.2%, where it is, and— might have been, and 6.2%, where it is, and 7%. _ might have been, and 6.2%, where it is, and 7%, where it will average an 8%, is, and 7%, where it will average an 8%. where — is, and 7%, where it will average an 8%. where it — is, and 7%, where it will average an 8%, where it might go, is huge and cost billions — 8%, where it might go, is huge and cost billions of pounds. if you add in the _ cost billions of pounds. if you add in the public sector pay, universal credit, _ in the public sector pay, universal credit, and — in the public sector pay, universal credit, and remember many people on tax credits _ credit, and remember many people on tax credits don't consider themselves necessarily to be benefit recipients~ _ themselves necessarily to be benefit recipients. a lot of them are exactly— recipients. a lot of them are exactly the voters of the conservative party attracted over the labour party. you put the politics— the labour party. you put the politics and economics in a giant blender— politics and economics in a giant blender and this is very, very stretched~ _ blender and this is very, very stretched. and people, when you're told i'm _ stretched. and people, when you're told i'm cutting taxes, and literally— told i'm cutting taxes, and literally people look at their pay
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pockets — literally people look at their pay pockets next month and it won't register — pockets next month and it won't register. in pockets next month and it won't rerister. . pockets next month and it won't rerister. , ., , , ,, pockets next month and it won't rerister. ,., , , ,, , register. in terms of business is, if they are _ register. in terms of business is, if they are the — register. in terms of business is, if they are the drivers _ register. in terms of business is, if they are the drivers as - register. in terms of business is, if they are the drivers as they - register. in terms of business is, | if they are the drivers as they are described of the economy, we have seen the growth forecast cut and then hovering around that slightly anaemic level below 2%, how will they plan? ibig anaemic level below 296, how will the lan? �* ., . ., , they plan? big growth cut for this ear and they plan? big growth cut for this year and next. — they plan? big growth cut for this year and next, and _ they plan? big growth cut for this year and next, and under- they plan? big growth cut for this year and next, and under 296 - they plan? big growth cut for this year and next, and under 296 for i they plan? big growth cut for this i year and next, and under 296 for the year and next, and under 2% for the rest of— year and next, and under 2% for the rest of the _ year and next, and under 2% for the rest of the parliament, _ year and next, and under 2% for the rest of the parliament, that - year and next, and under 2% for the rest of the parliament, that is- year and next, and under 2% for the rest of the parliament, that is bad l rest of the parliament, that is bad news _ rest of the parliament, that is bad news for— rest of the parliament, that is bad news for the — rest of the parliament, that is bad news for the public _ rest of the parliament, that is bad news for the public finances - rest of the parliament, that is bad . news for the public finances because growth _ news for the public finances because growth is _ news for the public finances because growth is the — news for the public finances because growth is the biggest _ news for the public finances because growth is the biggest debt— news for the public finances because growth is the biggest debt killer. - growth is the biggest debt killer. little _ growth is the biggest debt killer. little iam — growth is the biggest debt killer. little iam for _ growth is the biggest debt killer. little jam for them _ growth is the biggest debt killer. little jam for them today, - growth is the biggest debt killer. little jam for them today, they l growth is the biggest debt killer. i little jam for them today, they did not get _ little jam for them today, they did not get spared _ little jam for them today, they did not get spared anything _ little jam for them today, they did not get spared anything of - little jam for them today, they did not get spared anything of their. not get spared anything of their contribution _ not get spared anything of their contribution to— not get spared anything of their contribution to insurance - contribution to insurance contribution. _ contribution to insurance contribution. they- contribution to insurance contribution. they have. contribution to insurance| contribution. they have a contribution to insurance _ contribution. they have a whopping corporation — contribution. they have a whopping corporation tax _ contribution. they have a whopping corporation tax rise _ contribution. they have a whopping corporation tax rise to _ contribution. they have a whopping corporation tax rise to put - contribution. they have a whopping corporation tax rise to put in - contribution. they have a whopping corporation tax rise to put in 2023. corporation tax rise to put in 2023 so nice _ corporation tax rise to put in 2023 so nice words— corporation tax rise to put in 2023 so nice words about _ corporation tax rise to put in 2023 so nice words about investment. corporation tax rise to put in 2023 i so nice words about investment and allowances— so nice words about investment and allowances and _ so nice words about investment and allowances and we _ so nice words about investment and allowances and we will— so nice words about investment and allowances and we will get - so nice words about investment and l allowances and we will get something on energy— allowances and we will get something on energy security _ allowances and we will get something on energy security next _ allowances and we will get something on energy security next week. - allowances and we will get something on energy security next week. for- on energy security next week. for business. — on energy security next week. for business. that— on energy security next week. for business, that is— on energy security next week. for business, that is the _ on energy security next week. for business, that is the more - on energy security next week. for. business, that is the more relevant document— business, that is the more relevant document than— business, that is the more relevant document than this _ business, that is the more relevant document than this one _ business, that is the more relevant document than this one today - document than this one today because there's— document than this one today because there's not— document than this one today because there's not much— document than this one today because there's not much in— document than this one today because there's not much in it _ document than this one today because there's not much in it for— document than this one today because there's not much in it for business. - there's not much in it for business. we will— there's not much in it for business. we will cover— there's not much in it for business. we will cover that, _ there's not much in it for business. we will cover that, thank _ there's not much in it for business. we will cover that, thank you - there's not much in it for business. we will cover that, thank you to i there's not much in it for business. we will cover that, thank you to all of you, that have been brilliant analysis. that is it from this politics live special covering the chancellor's spring statement. and of course i will be back tomorrow
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when we will have delved even more into these. —— into these documents. goodbye. hello. most of us, we've got lots more of this warm spring sunshine to come over the next few days, this was dover castle, an old roman lighthouse overlooking the modern—day port. the skies a little on the hazy side, but lots of sunshine around. and the sunshine isn'tjust with us here in the uk with largely clear skies, but across the vast majority of europe, the skies are clear, thanks to a very big area of high pressure. now, over the next several days, very gradually, that high pressure is going to drift westwards against the usual flow of traffic, and eventually it will move to the west of the uk as it does so into next week. we get a cold blast of northerly winds coming down and that will really knock the temperatures down. spring can be a very fickle month, so make the most of the warm
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sunshine whilst it lasts. i think that's the main message, and for the vast majority of us, today is a dry day. lots of sunshine, a little bit hazy in places. top temperatures likely to reach 21 degrees in the greater london overnight tonight wwe'll keep clear skies initially we'll keep clear skies initially could be one or two mist and fog patches developing later in the night. unlike recent nights, it will be a cold one, with temperatures getting down into low single figures, perhaps one or two patches of frost in the countryside to take us into the first part of thursday. but essentially it's a case of rinse and repeat for thursday. we've got a lot of dry weather to come again, the sunshine a little bit hazy at times, but there will be loads of that sunshine to come for all of us, perhaps an odd shower across northern scotland, but essentially it's dry for the vast majority. so temperatures still into the high teens, perhaps the low 205 across parts of east anglia, southeast england.
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now heading to the end of the week, we've still got high pressure firmly in charge. again, there could be a few mist and fog patches. tendency for the weather turn just a little bit cloudier across the northwest. that will tend to reduce the temperatures a little bit across some northern areas of scotland. we're looking at highs of around 12, for example in stornoway, nine in shetland, but across most areas it's still very warm for this stage of the year. on into the weekend, we keep the fine weather more of that sunshine to come through. temperatures still well above average, but it's into next week that we see things turning a lot colder. frosts become more widespread, and it might even be cold enough for some wintry showers over the high ground in the north. that's the latest. hello this is bbc news. the headlines: as the cost of living soars by the highest amount in 30 years, the chancellor announces new measures, including a 5p cut to fuel duty.
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a hike in national insurance tax will go ahead from april, but the threshold for the amount people need to earn before they pay it will also rise. further ahead — a cut in income tax will happen before the end of 2024 but for now, the uk's public finance watchdog says we'll see our disposable income fall, by the largest amount in a single year since records began. my my tax plan delivers the biggest net cut to personal taxes in over a quarter of a century and i commend it to this house. the truth is, mr speaker, people can no longer afford the conservatives. working cuts, pensioners cuts and business cuts. in other news the prime minister tells the commons he believes p&o broke the law when they fired hundreds of staff last week without proper consultation. in afghanistan, the taliban government has upset thousands of teenage girls who were due to return to school today — but at the last minute have been told they can't. and the women's world number one —
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australia's ash barty — says she's hanging up her tennis racket — atjust 25—years—old. good afternoon. the chancellor rishi sunak has unveiled his spring statement in the commons, as the country faces increasing pressure from rising energy, fuel and food costs. let's take a look at what was announced, starting with three immediate measures: the chancellor announced help for motorists, with fuel duty cut by 5p per litre. the cut will come into force at 6pm tonight and last until march next year. vat is being abolished on insulating homes, such as using solar panels or heat pumps, for the next five years. this measure is not for northern ireland, due to the northern ireland protocol, but they will get money instead. the government's household support fund — money for councils to support vulnerable households —
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will be doubled to £1 billion with £500 million of new funding. local authorities will receive money from april. looking further out, from july — the threshold for paying national insurance will increase by £3,000. that means people must earn £12,570 per year before paying income tax or national insurance. the employment allowance will increase to £5,000. the new amount will come into place in two weeks' time. and, in his final announcement, the chancellor pledged that before the end of this parliament in 2024, the basic rate of income tax will be cut from 20p to i9p in the pound. rishi sunak concluded his statement by saying the government "can deliver for the british people today and into the future". but labour's shadow chancellor, rachel reeves, accused the conservatives of becoming "the party of low growth and the party of high tax". she also said the planned rise
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to national insurance could have been scrapped, instead ofjust tweaking the rates. let's hear more from what the chancellor had to say, starting with that announcement on fuel duty... today i can announce for only the second time in 20 years, fuel duty will be cut. not by one, not by even two, but by 5p per litre. the biggest cut to all fuel duty rates ever. and whilst some have called for the cut to last until august, i have decided it will be in place until march next year, a full 12 months. together with the freeze, it is a tax cut this year for hard—working families and businesses worth over £5 billion. and it will take effect from 6pm tonight. our current plan is to increase the nics
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threshold this year by £300. but i'm not going to do that, mr speaker. i'm going to increase it by the full £3000. delivering our promise fully equalise the nics and income tax thresholds and not incrementally over many years, but in one go, this year. from thisjuly, people will be able to earn £12,570 a year without paying a single penny of income tax or national insurance. that is a £6 billion personal tax cut for 13 million across the united kingdom. a tax cut for employees worth over £330 a year. the largest increase in basic rate threshold ever and the largest single personal tax cut in a decade.
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we can deliver for the british people today and into the future, because unlike the party opposite, we have a plan. a plan that reforms and improved public services, a plan to grow our economy, a plan to level up across the united kingdom, a plan that helps families with the cost of living and, yes, a tax plan. that cuts taxes on working families by over £330, cuts taxes on fuel by 5p a litre, cuts taxes on business and, yes, for the first time in a long time, cut income tax. mr speaker, let me end by simply saying this... my tax plan delivers the biggest net cut to personal taxes in over a quarter of a century and i commend it to this house. responding for labour,
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shadow chancellor rachel reeves said that rishi sunak�*s plans were putting too much pressure on the british people being hit by a rise in the cost of living. the truth is, mr speaker. people can no longer— the truth is, mr speaker. people can no longer afford the conservatives. working _ no longer afford the conservatives. working families can't, pensioners can't _ working families can't, pensioners can't and _ working families can't, pensioners can't and businesses can't. the weak growth _ can't and businesses can't. the weak growth forecast we have seen today should _ growth forecast we have seen today should be _ growth forecast we have seen today should be flashing red on the chancellor's desk. and the chancellor's desk. and the chancellor says in his statement, the work— chancellor says in his statement, the work starts today! is he serious? _ the work starts today! is he serious? the conservatives have been in government now for 12 years, not 12 hours _ in government now for 12 years, not 12 hours. what has taken them so long? _ 12 hours. what has taken them so long? because since his party entered — long? because since his party entered government, the uk has experienced the biggest downgrading
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growth _ experienced the biggest downgrading growth in any major economy. with the last— growth in any major economy. with the last labour government economic growth _ the last labour government economic growth was _ the last labour government economic growth was 2.1% a year. under the last 12 _ growth was 2.1% a year. under the last 12 years — growth was 2.1% a year. under the last 12 years of the conservatives, it has _ last 12 years of the conservatives, it has averaged 1.5%. and now we know— it has averaged 1.5%. and now we know that — it has averaged 1.5%. and now we know that growth has been downgraded this year. _ know that growth has been downgraded this year, too. growth is essential for funding — this year, too. growth is essential forfunding our this year, too. growth is essential for funding our public services, keeping — for funding our public services, keeping taxes under control and keeping — keeping taxes under control and keeping a — keeping taxes under control and keeping a handle on public finances, too. keeping a handle on public finances, too that _ keeping a handle on public finances, too that is — keeping a handle on public finances, too. that is why labour have announced set of fiscal rules to get our debt— announced set of fiscal rules to get our debt and our down. but the truth is, because _ our debt and our down. but the truth is, because of this government's failure _ is, because of this government's failure to— is, because of this government's failure to get the economy growing, it is this _ failure to get the economy growing, it is this chancellor that has to put up — it is this chancellor that has to put up taxes on families and businesses a staggering 15 times. this chancellor has raised taxes more _ this chancellor has raised taxes more in — this chancellor has raised taxes more in the last two years than any
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previous— more in the last two years than any previous chancellor in the last 50. he says _ previous chancellor in the last 50. he says it— previous chancellor in the last 50. he says it is— previous chancellor in the last 50. he says it is all down to the pandemic, but the truth is the conservatives have become the party of high _ conservatives have become the party of high taxation because they are the party— of high taxation because they are the party of low growth. let's get some reaction now. one of the measures the chancellor announced was a 5p cut on fuel duty per litre, lasting until march next year. rod mckenzie is from the the road haulage association — the trade body and training provider representing thousands of road haulage, coach, and van operators across the uk. thank you forjoining us, remind us what you had asked for? taste thank you forjoining us, remind us what you had asked for?— thank you forjoining us, remind us what you had asked for? we had asked for three things, _ what you had asked for? we had asked for three things, a _ what you had asked for? we had asked for three things, a fuel— what you had asked for? we had asked for three things, a fuel duty _ what you had asked for? we had asked for three things, a fuel duty cut, - for three things, a fuel duty cut, we got that. we asked for essential duty use a rebate, we didn't get that and we asked for some more time to transition towards red diesel which is a complex thing to do with chilled food distribution which will
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impact all members. 1&5 chilled food distribution which will impact all members.— chilled food distribution which will impact all members. as you say, you not the impact all members. as you say, you got the fuel— impact all members. as you say, you got the fuel duty _ impact all members. as you say, you got the fuel duty cut, _ impact all members. as you say, you got the fuel duty cut, it _ impact all members. as you say, you got the fuel duty cut, it is _ impact all members. as you say, you got the fuel duty cut, it is 5p - impact all members. as you say, you got the fuel duty cut, it is 5p a - got the fuel duty cut, it is 5p a litre but given how much petrol and diesel has gone up so much of late and is likely to again, how significant is the impact of that cut really going to be? exactly, lets say it _ cut really going to be? exactly, lets say it is — cut really going to be? exactly, lets say it is welcome, - cut really going to be? exactly, lets say it is welcome, to - cut really going to be? exactly, lets say it is welcome, to get i lets say it is welcome, to get anything is welcome and these are critical times for the road haulage and coach sector. i have been talking to our members today about the chancellor's statement. i put it to them, what did they think? they said a 5p cut only puts us back, price—wise to where we wear this time last week. so actually, it's not very much in real terms. if you are being hard—headed about it. it is a common—sense move, which will ease some pressure on hard—pressed hauliers and coach operators who are really struggling with the price of fuel, which costs tens of thousands
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of pounds a year extra to fill up an average hgv. how much sympathy do you have, because the chancellor started by saying the ukraine situation has made the circumstances really rather different, but a lot of what we have heard is coming down the track was already planned? that is true. we think rather than saying it is good to say a 5p cut today for a year, but what happens after a year? that is our point, lorries and coaches are not on the road for fun, they are doing an essentialjob supplying uk plc with all the things they need and tourism as well. there is an opportunity for the government to move towards a system like they have in other european countries, by having an essential user fuel duty rebate and would take a few pence
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off the price of a litre permanently, for essential users like laurie and bring us into line with countries like spain, france, belgium and ireland. we with countries like spain, france, belgium and ireland.— with countries like spain, france, belgium and ireland. we are supposed to be aaivin belgium and ireland. we are supposed to be giving op — belgium and ireland. we are supposed to be giving op our— belgium and ireland. we are supposed to be giving up our addiction _ belgium and ireland. we are supposed to be giving up our addiction to - to be giving up our addiction to fossil fuels, to be giving up our addiction to fossilfuels, so if things get to be giving up our addiction to fossil fuels, so if things get more and more expensive it will potentially force us to think about logistics? the potentially force us to think about lo . istics? ' . , potentially force us to think about loaistics? ' . , . logistics? the difficulty is, there is no alternative _ logistics? the difficulty is, there is no alternative powertrain - logistics? the difficulty is, there is no alternative powertrain at i logistics? the difficulty is, there l is no alternative powertrain at the moment other than diesel for running our heaviest lorries. they have to pull a lot of weight, 411 tonnes, and there is not an electric powertrain that can do that. until that is invented or until some alternative fuel source is invented, it is a much harder nut to crack than it is for ordinary motorists, car drivers and van drivers, to power a heavy lorry. that is why we are stuck with diesel for a while longer until somebody has a brain wave and invent
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something brilliant. the somebody has a brain wave and invent something brilliant.— something brilliant. the cuts do national insurance, _ something brilliant. the cuts do national insurance, it _ something brilliant. the cuts do national insurance, it is - something brilliant. the cuts do national insurance, it is not - something brilliant. the cuts do national insurance, it is not a i something brilliant. the cuts do i national insurance, it is not a cut, it is going to go up but the threshold is going up by £3000, so it is in line with where you start paying income tax and also where you will stop paying national insurance. it is great for employees, but what about employers? it is it is great for employees, but what about employers?— about employers? it is often described — about employers? it is often described as _ about employers? it is often described as a _ about employers? it is often described as a tax _ about employers? it is often described as a tax on - about employers? it is often described as a tax on jobs, | about employers? it is often i described as a tax on jobs, isn't it? again, we are struggling to get people to come into the haulage industry and clearly anything that makes getting people in and paying them properly makes things more difficult and that is not good news. today we are concentrating most on the number one issue in our members . the number one issue in our members ' mines, which is the price of fuel. good to talk to you, thank you very much.
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the rac says eight—in—io drivers wanted to see fuel prices cut — with me now is nicholas lyes who is from the motoring organisation. 5p spa 5p a litre of fuel duty from tonight until march next year, how pleased are you with that? this until march next year, how pleased are you with that?— are you with that? this is really welcome- _ are you with that? this is really welcome- lt _ are you with that? this is really welcome. it is _ are you with that? this is really welcome. it is good _ are you with that? this is really welcome. it is good that i are you with that? this is really welcome. it is good that the i welcome. it is good that the chancellor has listened to what drivers are saying, they are very hard pressed at the moment. but the reality is a 5p a litre cut is only going to save drivers around £3 every time they fell an average —sized car up at the forecourt and it really only takes prices back to where they were last week. whilst it is a welcome move, unfortunately it is a welcome move, unfortunately it is a welcome move, unfortunately it is a drop in the ocean because of the pressure we are seeing on the international oil markets with oil so high. it international oil markets with oil so hiuh. . , international oil markets with oil sohiuh. . , international oil markets with oil sohiuh. ., , so high. it also relies upon those who sell the _ so high. it also relies upon those who sell the field _ so high. it also relies upon those who sell the field to _ so high. it also relies upon those who sell the field to actually i so high. it also relies upon those|
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who sell the field to actually pass on the cut, doesn't it? that who sell the field to actually pass on the cut, doesn't it?— on the cut, doesn't it? that is riuht. on the cut, doesn't it? that is right- the _ on the cut, doesn't it? that is right- the duty _ on the cut, doesn't it? that is right. the duty is _ on the cut, doesn't it? that is right. the duty is levied i on the cut, doesn't it? that is right. the duty is levied when j on the cut, doesn't it? that is i right. the duty is levied when the retailers by the field. the passing down of the cost might not happen immediately, there may be some days before that, that is the case. we have seen as they're saying they will pass on the cut immediately, so we would like to see other big retailers, particularly the supermarkets follow the lead, get that cut to the fuel stations immediately, oras that cut to the fuel stations immediately, or as soon as possible so drivers can have a little bit of relief from the sky high prices they are paying at the moment which, unfortunately our breaking records almost on a daily basis. ltruihat unfortunately our breaking records almost on a daily basis.— almost on a daily basis. what is our almost on a daily basis. what is your view _ almost on a daily basis. what is your view on — almost on a daily basis. what is your view on how _ almost on a daily basis. what is your view on how the _ almost on a daily basis. what is| your view on how the chancellor could have charged vat, he did mention that?— could have charged vat, he did mention that? . , . . . :: ,
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mention that? vat is charged a 2096 on to of mention that? vat is charged a 2096 on top of the — mention that? vat is charged a 2096 on top of the fuel— mention that? vat is charged a 2096 on top of the fuel you _ mention that? vat is charged a 2096 on top of the fuel you pay. _ mention that? vat is charged a 2096 on top of the fuel you pay. if - mention that? vat is charged a 2096 on top of the fuel you pay. if the i on top of the fuel you pay. if the chancellor had decided to cut that to 15% the impact would have been almost immediate and it would have actually save drivers a little bit more, so it would have saved them about £4 every time they filled up at the pumps or £5 if you are filling up with diesel. and that, as i said, would have been immediate. what that would have also done as well, it would have somewhat protected drivers from increasing prices, increasing wholesale prices because obviously vat is charged as a percentage. what we are going to see unfortunately, or potentially, should i say, with the duty cut is it could potentially be swallowed up by the wholesale cost just it could potentially be swallowed up by the wholesale costjust keeping on going up. vat cut would have probably have been a little bit more, would have given drivers a little bit more of a discount and also a bit more protection in this volatile market.—
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volatile market. from an environmental _ volatile market. from an environmental point i volatile market. from an environmental point of i volatile market. from an i environmental point of view, volatile market. from an - environmental point of view, how likely is it more people. thinking about using electric cars rather than those that use petrol and diesel? . than those that use petrol and diesel? , . . , , diesel? interest in electric cars is increasin: diesel? interest in electric cars is increasing and _ diesel? interest in electric cars is increasing and after— diesel? interest in electric cars is increasing and after the - diesel? interest in electric cars is increasing and after the research| diesel? interest in electric cars is i increasing and after the research we have done, the sky—high prices at the proms is making drivers thing quite carefully what vehicle they choose next. we have seen over the last few years, certainly in the last few years, certainly in the last year alone the number of registrations for electric vehicles is increasing significantly. i think that trend is going to continue. what i think is important, however, for drivers right now is that they are hugely dependent on their vehicles at the moment and there are concerns about the upfront cost of electric vehicles when compared to conventionally priced vehicles. one of the things we said to the chancellor is it is vital you keep the incentives in place to encourage
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people to clean and zero emission vehicles because that is the government's target by 2030. thank ou ve government's target by 2030. thank you very much _ government's target by 2030. thank you very much for — government's target by 2030. thank you very much forjoining _ government's target by 2030. thank you very much forjoining us. - government's target by 2030. thank you very much forjoining us. let's i you very much forjoining us. let's talk more about the cut on field duty. let's get more on the cut in fuel duty with our energy and environment analyst roger harrabin. roger who will benefit most from the cut in fuel duty? statistics seem to suggest the richest of drivers spent five times more at the petrol pumps. if you drove a big suv, you live in the country, you drive into town every day for work, you will benefit massively. if you are somebody at the other end of the financial spectrum who uses their car for pottering about a bit, not going very far, you will gain much less. what is interesting, when the
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government addressed the issue of the high fuel prices, domestic heating prices a couple of weeks ago, it said it wasn't going to do a blanket cut in tariffs because that would be a blunt instrument that would be a blunt instrument that would benefit the rich more than the pooh would benefit the rich more than the poor. this time around, just a couple of weeks later, they have done exactly that with fuel duty. under pressure from the newspapers and ordinary drivers who feel like they are paying too much. you have to have a car _ they are paying too much. you have to have a car to _ they are paying too much. you have to have a car to fill— they are paying too much. you have to have a car to fill up _ they are paying too much. you have to have a car to fill up the _ they are paying too much. you have to have a car to fill up the car- they are paying too much. you have to have a car to fill up the car and i to have a car to fill up the car and there was nothing mentioned about subsidies for public transport, which the less well off in society tend to me?— tend to me? that is absolutely riuht. tend to me? that is absolutely right- the _ tend to me? that is absolutely right. the third _ tend to me? that is absolutely right. the third of— tend to me? that is absolutely right. the third of the - tend to me? that is absolutely right. the third of the poorest | right. the third of the poorest families simply cannot afford a car. they are dependent on public transport at the cost of public transport at the cost of public transport at the moment are rocketing. they are going through the roof and poor people cannot afford to get around. in some other european countries have increased subsidies for buses and local train
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services to try to help the poor. that hasn't happened here. the other matter is this — that hasn't happened here. the other matter is this idea _ that hasn't happened here. the other matter is this idea of _ that hasn't happened here. the other matter is this idea of cutting - that hasn't happened here. the other matter is this idea of cutting vat i matter is this idea of cutting vat completely on energy saving measures, things like solar panels, which the chancellor said would have been impossible if it wasn't for brexit? . . . been impossible if it wasn't for brexit? , ., . brexit? this is a long argument about whether _ brexit? this is a long argument about whether it _ brexit? this is a long argument about whether it would - brexit? this is a long argument about whether it would have i brexit? this is a long argument i about whether it would have been possible or not. environmentalists and energy experts think there was a clause in the eu rules that would allow you to declare independence and make those measures if you wanted to. the government never bothered to take it up. just as environmentalists are extremely cross about what has been happening on field duty, they are extremely relieved about what is happening on domestic insulation. for many years you have paid novak to build a new home, but you pay 15% in order to refurbish your home to make it more energy efficient. that seem to be
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lunacy. and with government climate targets in mind and also the cost of living, it does look like this should help keep people warm in the winter if they can afford it. if winter if they can afford it. if you're going to put some solar panels on your house, you need disposable income to do it? you have, disposable income to do it? you have. and _ disposable income to do it? gm. have, and environmental groups are saying, the net chancellor has to consider these things, he must support people much more to be able to insulate their homes.— to insulate their homes. roger, thank you- _ let's speak to our political correspondentjonathan blake. that was not a budget, we must remind ourselves, it was only a statement and yet still the opposition were saying is that it? yes, the spring statement is not meant to be a big moment like the budget, but such are the economic conditions at the moment and the urgency with which many people feel there is for the government to step in and act to ease the cost of
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living crisis which many people are facing, it did feel like a significant moment. once the chancellor makes his speech there are a lot of forecasts and bits of analysis are published alongside it and everyone is combing through the figures to work out exactly what the end result is of the measures and the changes that rishi sunak announced at this dispatch box in the house of commons a couple of hours ago. aside from the economics, politically the headline for those in his party, certainly those on the conservative backbenches, was that announcement to cut income tax from 20p to i9p in the pound on the basic rate before the end of this parliament in 2024. i spoke to one former cabinet minister who said it was a strong signal. it certainly went down very well. there are the other measures you have been talking about that the chancellor announced, perhaps more short—term steps to try and ease the impact of the cost of
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living rises that people are seeing, the cut in fuel duty, the incentives for people to invest in energy saving measures in their home and that reduction on the threshold for national insurance contributions, which will mean fewer people will stop paying that when it takes effect next month. overall, some of the analysis already coming out shows that the steps rishi sunak has taken today in terms of cutting or reducing taxes for people don't go anywhere near far reducing taxes for people don't go anywhere nearfar enough reducing taxes for people don't go anywhere near far enough to offset the tax rises which this government has already introduced. overall, the tax burden as a proportion of the size of the economy is still large, by historical comparisons. jonathan, thank ou by historical comparisons. jonathan, thank you and _ by historical comparisons. jonathan, thank you and we _ by historical comparisons. jonathan, thank you and we will— by historical comparisons. jonathan, thank you and we will have - by historical comparisons. jonathan, thank you and we will have more i by historical comparisons. jonathan, i thank you and we will have more from jonathan throughout the afternoon. we will have more analysis and reaction during the afternoon on bbc news. the details of the spring
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statement is available on the bbc news website. the prime minister borisjohnson has said the government will be taking legal action against p&o ferries after it sacked 800 staff without consultation last week. our transport correspondent katy austin has more if we take a step back in a letter to ministers yesterday the boss of p80 to ministers yesterday the boss of p&o ferries said he didn't think any offence had been committed in the way these workers were sacked. he said they were employed byjersey —based arms of the country and they were working on vessels working outside of the uk. the prime minister said it looked as though the company had broken the law under the company had broken the law under the trade union and labour relations act and the government would be taking action. if found guilty of the company could face fines running into millions of pounds. one employment lawyer has told me that an amendment to that act a few years
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ago could mean that the government doesn't actually have grounds for action, but we will have to wait to see if the government will produce any more details about its plans on the grounds it does believe it has. the boss of p&o ferries has issued an apology saying he is sorry for the impact the sackings have had on people affected and their families. he said it was an incredibly difficult decision but he said all other routes would have led to the closure of p&o ferries. tennis, and world number one ash barty says she's 'ok' if people don't understand why she's decided to retire at the age of 25. barty says winning wimbledon in 2021 changed her perspective as it left her still feeling unfilfilled. she won three grand slam titles, including her home slam — the australian open. now it's time for a look at the weather with chris.
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hello, there, loads of sunshine to take us through the rest of the day today. now this is weather watch picture from dover. an old roman lighthouse overlooking the modern day portier skies a bit hazy today, as indeed they are across a good part of the uk. but for the vast majority, it is just a fine settled sunny day and its warmth at the time of year as well. the heat widespread the highest temperatures 21 degrees in the greater london area over the next few hours. now overnight tonight we'll keep clear skies could be a few mist and fog patches developing here and there. it will turn chilly temperatures, getting down into low single figures with some patches of frost here and there in the countryside. so a chilly start to the day on thursday, any early morning mist and fog patches quickly lifting out of the way. and then we'll be looking at another day with long spells of sunshine, a case of rinse and repeat as well with the temperatures. it's another warm one, with highs expected to again reach the high teens to the low 205
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this is bbc news. i'm martine croxall. the headlines — as the cost of living soars by the highest amount in 30 years, the chancellor announces new measures, including a 5p cut in fuel duty. a hike in national insurance tax will go ahead from april, but the threshold for the amount people need to earn before they pay it will also rise. a cut in income tax will happen before the end of 2024 but for now, the uk's public finance watchdog says we'll see our disposable income fall by the largest amount in a single year since records began. the chancellor defended his measures. my tax plan delivers the biggest net cut to personal taxes in over a quarter of a century and i commend it to this house.
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the truth is, mr speaker, people can no longer afford the conservatives. working families can't. we are here in darlington to find out if it is enough to help struggling families. in other news the prime minister tells the commons he believes p&o broke the law when they fired hundreds of staff last week without proper consultation. just hours after they're re—opened — the taliban shutdown secondary schools for girls — with many left broken hearted by the ruling. the women's world number one tennis player — australia's ash barty — says she's hanging up her racket — at just 25—years—old.
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good afternoon. the chancellor rishi sunak has unveiled his spring statement in the house of commons. the update on the state of the country's finances comes as the cost of living continues to soar — with figures released this morning showing prices rose by 6.2% in the 12 months to february — the fastest for 30 years. let's take a look at what was announced, starting with three immediate measures. the chancellor announced help for motorists, with fuel duty cut by 5p per litre. the cut will come into force at 6pm tonight and last until march next year. vat is being abolished on insulating homes, such as using solar panels or heat pumps, for the next five years. in northern ireland it will be funded differently. the government's household support fund — money for councils to support vulnerable households — will be doubled to £1 billion with £500 million of new funding. local authorities will receive money from april. looking further out, from july —
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the threshold for paying national insurance will increase by £3,000. that means people must earn £12,570 per year before paying income tax or national insurance. the two now in alignment. and, in his final announcement, the chancellor pledged that before the end of this parliament in 2024, the basic rate of income tax will be cut from 20p to i9p in the pound. here's our political correspondent, iain watson. is this the chancellor looking at his growing energy bills? well, actually, he is pouring over his spring statement, a mini budget, and is under pressure to do more to tackle the cost of living. —— pawing. prices are rising at the fastest level in 30 years outstripping increases to wages and benefits. is outstripping increases to wages and benefits. . ., outstripping increases to wages and benefits. , ., ,. outstripping increases to wages and benefits. , ., ., benefits. is there more pain to come, chancellor? _ benefits. is there more pain to come, chancellor? and - benefits. is there more pain to come, chancellor? and if- benefits. is there more pain to come, chancellor? and if you | benefits. is there more pain to i come, chancellor? and if you think ou are come, chancellor? and if you think you are really _ come, chancellor? and if you think you are really feeling _ come, chancellor? and if you think you are really feeling the _ come, chancellor? and if you think you are really feeling the pinch i you are really feeling the pinch right now, the message from the chancellor today that you may have
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seen nothing yet.— seen nothing yet. statistics this mornin: seen nothing yet. statistics this morning show— seen nothing yet. statistics this morning show inflation - seen nothing yet. statistics this morning show inflation in i seen nothing yet. statistics this i morning show inflation in february was 6~2%. — morning show inflation in february was 6.2%, lower than the us and broadly— was 6.2%, lower than the us and broadly in — was 6.2%, lower than the us and broadly in line with the euro area. disruptions— broadly in line with the euro area. disruptions to global supply chains and energy markets combined with the economic— and energy markets combined with the economic response to putin's aggression mean the obr expect inflation — aggression mean the obr expect inflation to rise further, averaging 7~4%_ inflation to rise further, averaging 7~4% this — inflation to rise further, averaging 7.4% this year. but there was a little _ 7.4% this year. but there was a little bit — 7.4% this year. but there was a little bit of— 7.4% this year. but there was a little bit of brighter news. borrowing is lower and the money coming _ borrowing is lower and the money coming into the treasury is higher than previously forecast. which is why not— than previously forecast. which is why notjust the than previously forecast. which is why not just the opposition than previously forecast. which is why notjust the opposition but many conservative mps too have impressed on the _ conservative mps too have impressed on the chancellor to loosen the nation's — on the chancellor to loosen the nation's purse strings. he said it was important that help was targeted where _ was important that help was targeted where it— was important that help was targeted where it is— was important that help was targeted where it is most needed and a cut in fuel duty— where it is most needed and a cut in fuel duty was widely welcomed. toclag.t fuel duty was widely welcomed. today i can fuel duty was widely welcomed. today i can announce — fuel duty was widely welcomed. today i can announce for— fuel duty was widely welcomed. today i can announce for only _ fuel duty was widely welcomed. today i can announce for only the _ fuel duty was widely welcomed. today i can announce for only the second time _ i can announce for only the second time in _ i can announce for only the second time in 20 — i can announce for only the second time in 20 years. _ i can announce for only the second time in 20 years, fuel— i can announce for only the second time in 20 years, fuel duty- i can announce for only the second time in 20 years, fuel duty will- i can announce for only the second time in 20 years, fuel duty will be| time in 20 years, fuel duty will be cut.
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time in 20 years, fuel duty will be cut not _ time in 20 years, fuel duty will be cut not by— time in 20 years, fuel duty will be cut. not by one. _ time in 20 years, fuel duty will be cut. not by one, not— time in 20 years, fuel duty will be cut. not by one, not even- time in 20 years, fuel duty will be cut. not by one, not even by- time in 20 years, fuel duty will be cut. not by one, not even by two, but by— cut. not by one, not even by two, but by 5p — cut. not by one, not even by two, but by 5p per— cut. not by one, not even by two, but by 5p per litre. _ cut. not by one, not even by two, but by 5p per litre. butt— cut. not by one, not even by two, but by 5p per litre.— but by 5p per litre. but the much bi aer but by 5p per litre. but the much bigger demand _ but by 5p per litre. but the much bigger demand was _ but by 5p per litre. but the much bigger demand was to _ but by 5p per litre. but the much bigger demand was to ditch i but by 5p per litre. but the much bigger demand was to ditch the l bigger demand was to ditch the planned rise in national insurance contributions, in effect a tax increase. the chancellor didn't do that but he did ensure fewer people would be hit. it would have started to affect those earning just under 10,000 pounds per year but by raising the starting point for paying national insurance, more lower paid workers will now be entirely exempt and many more will have a lower overall tax bill. from this jul , have a lower overall tax bill. from thisjuly. people _ have a lower overall tax bill. from this july, people will _ have a lower overall tax bill. from this july, people will be _ have a lower overall tax bill. from this july, people will be able i have a lower overall tax bill. from this july, people will be able to i this july, people will be able to earn _ this july, people will be able to earn £12,570 a year without paying a single _ earn £12,570 a year without paying a single penny of income tax or national— single penny of income tax or national insurance. that is a £6 billion— national insurance. that is a £6 billion personal tax cut for 13 million — billion personal tax cut for 13 million people across the united kingdom. million people across the united kinudom. ., million people across the united kinadom. ., . kingdom. however grim the immediate outlook, the chancellor _ kingdom. however grim the immediate outlook, the chancellor wanted - kingdom. however grim the immediate outlook, the chancellor wanted to i outlook, the chancellor wanted to offer the prospect of a brighter future, and income tax cut. though not now, but later, in the electoral
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cycle. i not now, but later, in the electoral cle. .., not now, but later, in the electoral cle. . ., . ., not now, but later, in the electoral cle. , ., cycle. i can confirm before the end of this parliament _ cycle. i can confirm before the end of this parliament in _ cycle. i can confirm before the end of this parliament in 2024, - cycle. i can confirm before the end of this parliament in 2024, for i cycle. i can confirm before the end of this parliament in 2024, for the | of this parliament in 2024, for the first time — of this parliament in 2024, for the first time in— of this parliament in 2024, for the first time in 16 years, the basic rate _ first time in 16 years, the basic rate of— first time in 16 years, the basic rate of income tax will be cut from 20p down — rate of income tax will be cut from 20p down to 19p in the pound, a tax cut for— 20p down to 19p in the pound, a tax cut for workers, for pensioners, for savers, _ cut for workers, for pensioners, for savers, a _ cut for workers, for pensioners, for savers, a £5— cut for workers, for pensioners, for savers, a £5 billion tax cut for 13 million _ savers, a £5 billion tax cut for 13 million people. and let me be clear with the _ million people. and let me be clear with the house, it is fully costed and fully— with the house, it is fully costed and fully paid for in the plans announced today.— and fully paid for in the plans announced today. labour called for the national _ announced today. labour called for the national insurance _ announced today. labour called for the national insurance rise - announced today. labour called for the national insurance rise to i announced today. labour called for the national insurance rise to be i the national insurance rise to be scrapped entirely. the shadow chancellor argued that in the cost of living crisis it is the energy companies and not the consumers that should be shouldering a bigger burden. ~ . should be shouldering a bigger burden. ~ , ., . �*, burden. when i set out labour's alans for burden. when i set out labour's plans for a _ burden. when i set out labour's plans for a windfall _ burden. when i set out labour's plans for a windfall tax - burden. when i set out labour's plans for a windfall tax in i burden. when i set out labour's l plans for a windfall tax in january, we estimated that it would have raised £i.2
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we estimated that it would have raised £1.2 billion. now because of the continued rise in global oil and gas prices, it would today raise over £3 billion. that's money that could be used to help families and pensioners and businesses. with a cut to vat, a real brexit dividend that would help working families and pensioners across our country. the snp called — pensioners across our country. the snp called for _ pensioners across our country. the snp called for the chancellor to do more for people across the uk who are on benefits. the more for people across the uk who are on benefits.— are on benefits. the scottish government _ are on benefits. the scottish government by _ are on benefits. the scottish government by contrast i are on benefits. the scottish government by contrast is i are on benefits. the scottish i government by contrast is doing are on benefits. the scottish - government by contrast is doing what it can _ government by contrast is doing what it can within _ government by contrast is doing what it can within its— government by contrast is doing what it can within its limited _ government by contrast is doing what it can within its limited budget - government by contrast is doing what it can within its limited budget to i it can within its limited budget to support— it can within its limited budget to support people _ it can within its limited budget to support people operating - it can within its limited budget to support people operating the i it can within its limited budget to i support people operating the eight social_ support people operating the eight social security _ support people operating the eight social security benefits _ support people operating the eight social security benefits we - support people operating the eight social security benefits we controli social security benefits we control by 6%, _ social security benefits we control by 6%. increasing _ social security benefits we control by 6%, increasing the _ social security benefits we control by 6%, increasing the scottish - social security benefits we control i by 6%, increasing the scottish child payment— by 6%, increasing the scottish child payment to — by 6%, increasing the scottish child payment to £20 _ by 6%, increasing the scottish child payment to £20 a _ by 6%, increasing the scottish child payment to £20 a week, _ by 6%, increasing the scottish child payment to £20 a week, a - by 6%, increasing the scottish child payment to £20 a week, a lifeline l by 6%, increasing the scottish child | payment to £20 a week, a lifeline to families _ payment to £20 a week, a lifeline to families this— payment to £20 a week, a lifeline to families. this government _ payment to £20 a week, a lifeline to families. this government should . payment to £20 a week, a lifeline to families. this government should bei families. this government should be doing _ families. this government should be doing the _ families. this government should be doing the same _ families. this government should be doing the same. the _ families. this government should be doing the same-— doing the same. the lib dems said the chancellor's _ doing the same. the lib dems said the chancellor's announcement - doing the same. the lib dems said i the chancellor's announcement didn't match the scale of the problem. people are drowning with those higher energy bills, motoring costs, food bills, they needed a lifeboat and the chancellor is utterly failed
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them. , ., ., them. even before today's spring statement rishi _ them. even before today's spring statement rishi sunak _ them. even before today's spring statement rishi sunak has - them. even before today's spring statement rishi sunak has been l statement rishi sunak has been insisting that he has offered real help to hard pressed families, including a reduction in council tax for most households in england. he has been meeting conservative mps privately and some of them have been telling me they are not quite sure he has grasped the scale of the crisis. they will be pleased at the prospect of tax cuts but they will also be closely scrutinising the chancellor's more immediate measures, though the verdict ultimately will lie with the voters. iain watson, bbc news, downing street. let's speak to our political correspondentjonathan blake. who is going to be happy with this, jonathan? and what have the opposition been saying? jonathan? and what have the opposition been saying? well, i think conservative _ opposition been saying? well, i think conservative mps - opposition been saying? well, i think conservative mps will - opposition been saying? well, i think conservative mps will be i opposition been saying? well, i - think conservative mps will be happy to appoint with what the chancellor announced today. there was certainly announced today. there was certainly a good deal of enthusiasm for his detail on income tax which he is cutting the basic rate from 20p down to 19p in the pound before the end of this parliament in 2024, so it
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doesn't coming into effect immediately and we don't know exactly when. —— it isn't coming into effect. and you asked about labour, for them the measures don't go anywhere near far enough, labour, for them the measures don't go anywhere nearfar enough, as labour, for them the measures don't go anywhere near far enough, as we have heard they have criticised the for stubbornly sticking to his planned increase in national insurance contributions, even taking into account the change in the threshold, meaning that lower earners will not pay the higher rate of national insurance payments, and they have also said he doesn't grasp they have also said he doesn't grasp the scale of the cost of living crisis facing many households in the uk at the moment. given what the chancellor has announced, the theme of his statement was security, and i think that was probably designed to reassure people, both in the immediate term that the chancellor is willing to take steps to mitigate the impact of inflation, prices rising and other pressures on
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household finances, but also in the longer term in terms of taking sensible decisions to put the economy on a more even keel after the pandemic. but even with the measures that the chancellor announced today, the analysis shows us it only goes some way to offsetting the tax rises the chancellor has introduced since he took office before the pandemic of course took hold and the current pressures on the economy and the war in ukraine and otherfactors. that, along with the fact, as some people are pointing out, there were not really any direct measures to help those on universal credit or on very low to no incomes, because although those benefits will be rising next month, it doesn't anything like the level of inflation that we are seeing that is forecast to rise further. so those people, some say, didn't have anything to take from what the chancellor announced at the dispatch box this afternoon. but
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aside from the detail, aside from the numbers, there was one big political signal the chancellor sent in that intention to cut income tax before the end of this parliament, which perhaps tells us may be more about where he would like to be in the future than it does about the very strict financial constraints he finds himself in and the government finds himself in and the government finds itself in at the moment. jonathan, for the moment, thank you very much. jonathan blake at the houses of parliament. fiona trott is in darlington today, getting some response to today's announcements. we canjoin we can join her we canjoin her now. good we can join her now. good afternoon. we can 'oin her now. good afternoon. if ou we can join her now. good afternoon. if you want — we can join her now. good afternoon. if you want to — we can join her now. good afternoon. if you want to see _ we can join her now. good afternoon. if you want to see how _ we can join her now. good afternoon. if you want to see how the _ we can join her now. good afternoon. if you want to see how the rise - we can join her now. good afternoon. if you want to see how the rise in - if you want to see how the rise in prices affects the way we live, come to a fruit and veg stall like this one at darlington market. fertiliser is more expensive now that gross produce like this, the rise in energy costs of course to use farm machinery or fuel to produce the fruit and veg as well. and even traders themselves saying to us that despite today's cut in fuel duty,
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one of them is going to leave her car at home, she is going to get the train, she says, because it's cheaper. this is what shoppers in darlington told us about the chancellor's statement earlier. plat chancellor's statement earlier. not enou~h, chancellor's statement earlier. not enough. we — chancellor's statement earlier. not enough, we should rethink the tax system _ enough, we should rethink the tax system entirely. especially as it doesn't — system entirely. especially as it doesn't seem to target the lower people — doesn't seem to target the lower pebble i— doesn't seem to target the lower people. i heara doesn't seem to target the lower people. i hear a lot about lower income. — people. i hear a lot about lower income, but what about no families. they are _ income, but what about no families. they are the — income, but what about no families. they are the ones that should be addressed because there is a lot of people _ addressed because there is a lot of people around here. what addressed because there is a lot of people around here.— people around here. what is frightening _ people around here. what is frightening about _ people around here. what is frightening about this - people around here. what is frightening about this whole | people around here. what is - frightening about this whole thing is the _ frightening about this whole thing is the way— frightening about this whole thing is the way the _ frightening about this whole thing is the way the bills _ frightening about this whole thing is the way the bills are _ frightening about this whole thing is the way the bills are going - frightening about this whole thing is the way the bills are going to l frightening about this whole thingi is the way the bills are going to go up, is the way the bills are going to go up. the _ is the way the bills are going to go up. the oil— is the way the bills are going to go up. the oiiand _ is the way the bills are going to go up, the oil and the _ is the way the bills are going to go up, the oil and the gas _ is the way the bills are going to go up, the oil and the gas and - up, the oil and the gas and electricity— up, the oil and the gas and electricity and _ up, the oil and the gas and electricity and everything. i up, the oil and the gas and| electricity and everything. i husband _ electricity and everything. i husband was _ electricity and everything. i husband was moaning - electricity and everything. ll husband was moaning about electricity and everything. i. husband was moaning about it electricity and everything. i- husband was moaning about it this morning! _ husband was moaning about it this morning! he — husband was moaning about it this morning! he was— husband was moaning about it this morning! he was saying _ husband was moaning about it this morning! he was saying it- husband was moaning about it this morning! he was saying it is- husband was moaning about it this morning! he was saying it is going| morning! he was saying it is going up morning! he was saying it is going up a tremendously _ morning! he was saying it is going up a tremendously high. _ morning! he was saying it is going up a tremendously high.— up a tremendously high. sounds reasonable. _ up a tremendously high. sounds reasonable, i'd _ up a tremendously high. sounds reasonable, i'd like _ up a tremendously high. sounds reasonable, i'd like to _ up a tremendously high. sounds reasonable, i'd like to see - up a tremendously high. sounds reasonable, i'd like to see may. up a tremendously high. sounds i reasonable, i'd like to see may be up a tremendously high. sounds - reasonable, i'd like to see may be a bit more in terms of big corporations paying a bit more. it's probably going to put a few extra quid in the pocket but probably won't make a huge dent, especially with gas and electric prices at the moment. . . , ., with gas and electric prices at the moment. . . , . , ., moment. yeah, that is a big one. that is the _ moment. yeah, that is a big one. that is the one _ moment. yeah, that is a big one. that is the one that _ moment. yeah, that is a big one. that is the one that has _ moment. yeah, that is a big one. that is the one that has affected l moment. yeah, that is a big one. i that is the one that has affected us the most _ that is the one that has affected us the most recently. the that is the one that has affected us the most recently.—
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the most recently. the price of oil has one the most recently. the price of oil has gone down — the most recently. the price of oil has gone down so _ the most recently. the price of oil has gone down so that _ the most recently. the price of oil has gone down so that should - the most recently. the price of oil. has gone down so that should bring the price _ has gone down so that should bring the price of— has gone down so that should bring the price of petrol— has gone down so that should bring the price of petrol down. _ has gone down so that should bring the price of petrol down. not- has gone down so that should bring the price of petrol down. not yet. l the price of petrol down. not yet. 5p off, _ the price of petrol down. not yet. so off, welt, — the price of petrol down. not yet. so off, welt, a _ the price of petrol down. not yet. 5p off, well, a little _ the price of petrol down. not yet. 5p off, well, a little help, - the price of petrol down. not yet. 5p off, well, a little help, but - the price of petrol down. not yet. 5p off, well, a little help, but youi 5p off, well, a little help, but you will spend — 5p off, well, a little help, but you will spend more _ 5p off, well, a little help, but you will spend more starting - 5p off, well, a little help, but you will spend more starting your- will spend more starting your engine! — will spend more starting your engine! 50— will spend more starting your engine! so not— will spend more starting your engine! so not great, - will spend more starting your engine! so not great, no. - will spend more starting your engine! so not great, no. it’s will spend more starting your engine! so not great, no. it's never enou:h. engine! so not great, no. it's never enough- nothing — engine! so not great, no. it's never enough. nothing is _ engine! so not great, no. it's never enough. nothing is ever _ engine! so not great, no. it's never enough. nothing is ever enough, i engine! so not great, no. it's never. enough. nothing is ever enough, but he's doing his best because he's having one disaster after another and his having to try to keep people happy and he can't do it. let’s happy and he can't do it. let's seak happy and he can't do it. let's speak to _ happy and he can't do it. let's speak to the _ happy and he can't do it. let's speak to the ceo _ happy and he can't do it. let's speak to the ceo of _ happy and he can't do it. let's speak to the ceo of the - happy and he can't do it. let's| speak to the ceo of the charity happy and he can't do it. let's speak to the ceo of the charity the bread and butter think who help struggling families with food and make sure they get the right advice about housing benefits and that type of thing. what is your reaction to what the chancellor said? more importantly our members' reaction, they will be left with more anxiety and worry about how they will get through this crisis. what about the reaction to what the chancellor said about the household support fund, for example? doubling the amount of money local councils get for hardship funds, or help with
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bills and i kind of thing? the household — bills and i kind of thing? tie: household support bills and i kind of thing? tte: household support fund is a great initiative. lip household support fund is a great initiative. . household support fund is a great initiative. , ., household support fund is a great initiative._ if. initiative. up the darlington. if ou are initiative. up the darlington. if you are leaving _ initiative. up the darlington. if you are leaving 300 _ initiative. up the darlington. if you are leaving 300 teams - initiative. up the darlington. if you are leaving 300 teams to l initiative. up the darlington. if- you are leaving 300 teams to decide what to do with that it is a bit of a postcode lottery but some initiatives will work really well, others may leave things left to be desired. ~ . . ., , others may leave things left to be desired. . . . , ~ others may leave things left to be desired. ~ . . . , ~ . desired. what we already knew about was help with. _ desired. what we already knew about was help with, we _ desired. what we already knew about was help with, we are _ desired. what we already knew about was help with, we are always - desired. what we already knew about was help with, we are always talkingl was help with, we are always talking about our energy bills, this is crucialfor about our energy bills, this is crucial for the about our energy bills, this is crucialfor the families about our energy bills, this is crucial for the families that you look after, the £150 this spring in a rebate in council tax, later in the year £200 from energy companies, of course, that is something they will have to pay back. but from the people you give advice to, is that going to help them? trlat people you give advice to, is that going to help them?— people you give advice to, is that going to help them? not really, £150 will not touch — going to help them? not really, £150 will not touch the _ going to help them? not really, £150 will not touch the sides _ going to help them? not really, £150 will not touch the sides for _ going to help them? not really, £150 will not touch the sides for a - going to help them? not really, £150 will not touch the sides for a lot - will not touch the sides for a lot of our members. you have to remember if you are living in private rented accommodation with a pay as you go
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energy me the tariffs you are on are already up to 50% higher than what you or i would regularly pay against it and because they have to pay it in advance, they are already paying those higher premiums today. so that £150 is not going to help. and as for the £200 rebate that is repayable, well, it isjust for the £200 rebate that is repayable, well, it is just a for the £200 rebate that is repayable, well, it isjust a debt, we are having to repay it over time and it's not necessarily going to help them and it depends what else comes in the future. you talk about debt. d0 comes in the future. you talk about debt. ,., , .,, comes in the future. you talk about debt. , ., comes in the future. you talk about debt. . debt. do people come to you and say the have debt. do people come to you and say they have been _ debt. do people come to you and say they have been approached - debt. do people come to you and say they have been approached by - debt. do people come to you and say they have been approached by loan l they have been approached by loan sharks? because that is something that has been talked about this week as well. ., ., , , . as well. some of our members are stretched and _ as well. some of our members are stretched and struggling, - as well. some of our members are stretched and struggling, we - as well. some of our members are stretched and struggling, we are i stretched and struggling, we are talking about low—income families, the working poor, and many of them, in fact nearly half of them, have told us they are going to have to look at and consider debtjust to pay their energy bills this year. and that's really tough.- pay their energy bills this year. and that's really tough. thank you ve much and that's really tough. thank you very much for— and that's really tough. thank you very much for speaking _ and that's really tough. thank you very much for speaking to - and that's really tough. thank you very much for speaking to us - and that's really tough. thank you very much for speaking to us this. very much for speaking to us this afternoon. and the more people we
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speak to around darlington here today, they are telling us they don't feel more optimistic after the chancellor's statement. yes, some announcements have been made that will help them, but what you have to remember in this part of the world that in many parts of the north—east of england people were on the back foot and charities like this one will still be needed to help them of course because they were struggling before the rise in global prices, before the rise in global prices, before the rise in global prices, before the pandemic come out before the war in ukraine. fiona, for the moment, thank you very much. fiona trott in darlington. with me now is tony danker, the director general of the confederation of british industry — which speaks for hundreds of thousands of businesses across the uk. welcome. we know that confidence is what businesses need to feel. what confidence did this spring statement give to you? t confidence did this spring statement rive to ou? ~ ., confidence did this spring statement rive to ou? ,, ., ., . give to you? i think it has done a lot for tomorrow _ give to you? i think it has done a lot for tomorrow if _ give to you? i think it has done a lot for tomorrow if you _ give to you? i think it has done a lot for tomorrow if you are - give to you? i think it has done a lot for tomorrow if you are a - lot for tomorrow if you are a business. not much for today. the chancellor for tomorrow set out a
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plan for incentivising business investment and skills and innovation. that stuff is really great but it doesn't come on stream for a year. so if you are a firm dealing with incredibly high energy costs. remember businesses don't have a price cap on their energy. 0r have a price cap on their energy. or you are dealing with inflation costs on wages and your materials, then there is nothing really here to change your sense of anxiety about whether or not the economy is going to continue to grow. so, good for tomorrow, less good for today. taste to continue to grow. so, good for tomorrow, less good for today. we do know, tomorrow, less good for today. we do know. though. — tomorrow, less good for today. we do know, though, that _ tomorrow, less good for today. we do know, though, that the _ tomorrow, less good for today. we do know, though, that the employment allowance which allows certain companies to reduce their national insurance contributions by, in the past, £4000, is going to be £5,000. how significant is that?— how significant is that? look, that is clearly a — how significant is that? look, that is clearly a good _ how significant is that? look, that is clearly a good move _ how significant is that? look, that is clearly a good move forward, i how significant is that? look, that is clearly a good move forward, as is clearly a good move forward, as is the chancellor's move on national insurance for everybody in the country in terms of raising the threshold. i think probably the chancellor did much more than he would have thought he would ever do
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in a spring statement but much less than probably people were expecting. they were hoping for a budget today but rishi sunak is standing firm and saying i don't want to do the budget twice a year, just once a year. i think you will hear the same sentiment from consumers and businesses today which is thanks for what you've done but i'm not sure it is enough to really change the game. the 5p fuel duty per litre tax cut which comes into effect tonight, a lot of people have said it is not a lot of people have said it is not a lot but it is better than nothing. and that affects pretty much everything we touch, doesn't it? all businesses have to use petrol or diesel to some extent, so will they feel the benefit greatly? t diesel to some extent, so will they feel the benefit greatly?— feelthe benefit greatly? i think the will. feelthe benefit greatly? i think they will. small— feelthe benefit greatly? i think they will. small businesses - feelthe benefit greatly? i think| they will. small businesses who feel the benefit greatly? i think- they will. small businesses who are relying on their transport will definitely feel it, of course, and the haulage industry will feel it, of course. but let's be honest, the scale of challenges in terms of energy prices, in terms of wage inflation, in terms of cost inflation, in terms of cost inflation is well in excess of what the government probably could do
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completely and certainly have done today. for me as you said at the beginning, does this change the confidence of businesses about the year ahead? confidence of businesses about the yearahead? i don't confidence of businesses about the year ahead? i don't think it does, and i don't think we should wait until october for the government to keep injecting confidence into the economy. from everything from the way we run our energy markets, to the electric vehicle charging infrastructure, to the way we regulate firms, there is lots the government can be doing between now and october to actually build that sense of confidence in the economy, to build that sense that we can get through this. he to build that sense that we can get through this-— through this. he did say that he wants to make _ through this. he did say that he wants to make sure _ through this. he did say that he wants to make sure that - through this. he did say that he - wants to make sure that businesses in this country are good to invest in, that there is innovation, that he wants to stimulate investment in this country. how is that going to happen? how clear are you about the mechanisms by which it is going to be made easier? i will give the chancellor some credit there today. today he has published some very firm recommendations about his
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options, that he wants to confirm in october, that will come into place next april. so look, we have been asking him to do that for a long time so i have to give him real credit today for setting that out and we will work with him in the months ahead on that. but look, we can't have just twice a year the government has a chance to help support the economy. we need a relentless campaign now from government that in the face of all these headwinds, the energy bills, these headwinds, the energy bills, the inflation, the results, i'm afraid, of the ukraine crisis, that actually government is finding every opportunity, working with firms big and small around the country to find new ways to grow, new investments to make. that's something that should be happening every week, notjust twice a year. be happening every week, not 'ust twice a year.— twice a year. tony danker, director-general— twice a year. tony danker, director-general of - twice a year. tony danker, director-general of the - twice a year. tony danker, l director-general of the cbi, twice a year. tony danker, - director-general of the cbi, thank director—general of the cbi, thank you for talking to us. among the announcements, cut to the basic rate of income tax rate from 20p down to 19p before the end of the current
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parliament. our economics correspondent has been looking at this. inflation was the big story. inflation was up 6.2% in the year to february, and let's look at how it goes going back a0 years. still quite small and what it says inflation has been relatively benign for the last 30 years, compared to that great big mountain at the beginning of this chart, the late 19705 and early 19805 when you had the oil shocks and the prediction now, though, is we are going to get a peek in inflation this year of 8.7%. now that is a level we haven't seenin 8.7%. now that is a level we haven't seen in a0 years, so that is quite serious corrosion of living standards. we can look at how it will affect living standards compared to the last 60 years on record. the office for responsibility is predicting that this year will be the worst for improvements in living standards, the biggest fall in living standards on record for the last 66 years. you can see down there the red line at the end is what we are going through
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this year. that's twice as big as the oil shocks of the early 19705 and late 19705, so a serious corrosion of living standards. it is also affecting economic growth because of people have to spend more on energy bills, they have less to spend on other things so there will be less economic activity there. the prediction in october was we get growth of 6%, but now the prediction is that this year the economy will grow byjust 3.8%, and bear in mind we are supposed to be bouncing back from the pandemic. what is rishi sunak doing in order to alleviate this cost of living crisis? he has announced a few measures today, one of which was quite widely predicted, the cut in fuel duty, 5p off per litre of petrol but remember the average price is about £1.65 now so that will not take away much of the extra you are already having to pay. national insurance, again, he is giving back what he has taken away. national insurance is rising next
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month by 1.25% for all people above the threshold that is raising the threshold by £3000 to £12,500 and that will remove some of the poorest families from the position where they have to pay national insurance, but on the other hand it is only giving back some of what he's taking away. then there is an income tax giveaway, but that is promised two years from now. there will be a degree of scepticism about promises from a government which said before the election it was never going to raise personal income taxes. it is now. but nevertheless the chancellor wants us to believe him when he says in a couple of years time income tax will go down to 19p in the pound. but overall the office for budget responsibility is saying that over the forecast period, that's the next five years, we will have stagnating real incomes, so i'm afraid they are not predicting much of an improvement in living standards over the next five years.— the next five years. doesn't sound like it at all. _ the next five years. doesn't sound like it at all, thank— the next five years. doesn't sound like it at all, thank you _ the next five years. doesn't sound like it at all, thank you very - the next five years. doesn't sound | like it at all, thank you very much, andy verity.
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what impact has the chancellor's announcement had on energy bills? emma pinchbeck is ceo of energy uk — the trade association for the energy industry. shejoins us now. thank you she joins us now. thank you for joining us. how much difference is this really going to make, this statement? it wasn't a budget but it is at a time when we are seeing huge costs of cost of living increases. that is where people were looking for some kind of movement stop i'm afraid i will echo a lot of what has been said by other spokespeople for different bits of the economy. there were two major— different bits of the economy. ii—t” were two major announcements that affect bills today, one of them is cutting vat on green technologies which will help many households in the long run reduce their dependence on gas and therefore also reduce energy bills and that is really welcome. it is something we have called for, so credit to the chancellor on that score. the more short term thing he has done is increase the amount of support he announced in february targeting vulnerable households through something called the household support scheme that will come through local authorities but it's
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an additional 500 million and our sense of where energy prices are going to go and where bills will be an october is that whilst in absolute terms this is a big package for any treasury, in relative terms to what else is going on in the economy it is probably not enough and as tony danker sat on behalf of british business, for british households we think the treasure will will need to keep support under review. �* . will will need to keep support under review. . , ,. ., ,, will will need to keep support under review. . , ,. ., , , ., ., review. vat being scrapped on home ener: review. vat being scrapped on home energy saving _ review. vat being scrapped on home energy saving measures _ review. vat being scrapped on home energy saving measures like - energy saving measures like insulation, solar panels and heat pumps. —— of the treasury will need to keep support under review. how significant is that when people will not have the money set aside to put those measures in? that not have the money set aside to put those measures in?— those measures in? that definitely su ort those measures in? that definitely support helps _ those measures in? that definitely support helps people _ those measures in? that definitely support helps people who - those measures in? that definitely support helps people who can - those measures in? that definitely. support helps people who can afford to access those technologies today and actually we hope that when the energy security strategy comes out in the next week or so the government looks at how we can help more households and businesses reduce their exposure to gas prices by getting these technologies in their homes. so it is the right long—term instinct but it won't help
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everyone and it won't help in the short term with rising bills, which again is why we are saying they will probably need to keep their targeted support under review, and possibly do more before october when we are expecting really high energy bills, higher than we are even seeing in april. higher than we are even seeing in aril. . , ,, , higher than we are even seeing in aril. . , ,, ., ., april. clearly russia's invasion of ukraine has _ april. clearly russia's invasion of ukraine has had _ april. clearly russia's invasion of ukraine has had a _ april. clearly russia's invasion of ukraine has had a big _ april. clearly russia's invasion of ukraine has had a big impact - april. clearly russia's invasion of ukraine has had a big impact on. april. clearly russia's invasion of. ukraine has had a big impact on fuel supplies, energy supplies. but the problem we are now in with the rising cost of energy predates that by a long way. to what extent do you agree with what the shadow chancellor rachel reeves said that rishi sunak�*s announcements today follow 12 years of failure on energy efficiency? taste follow 12 years of failure on energy efficien ? ~ . , .., follow 12 years of failure on energy efficien ? ~ . , .. ., efficiency? we have been calling for ener: efficiency? we have been calling for energy efficiency — efficiency? we have been calling for energy efficiency support _ efficiency? we have been calling for energy efficiency support in - efficiency? we have been calling for energy efficiency support in the - efficiency? we have been calling for energy efficiency support in the uk. energy efficiency support in the uk for a long time and we have had lots of stop start mechanisms. on the practicalities it is a real silver bullet to helping ordinary householders reduce their bills in the long run because our buildings in the uk are much more leaky than other countries, they are older and
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less efficient, they use more fuel to heat them and we have a lot of gas boilers in our homes, so we have not decarbonise our buildings and thatis not decarbonise our buildings and that is having an impact in terms of our exposure to russian gas. taste that is having an impact in terms of our exposure to russian gas. we were about to say _ our exposure to russian gas. we were about to say goodbye _ our exposure to russian gas. we were about to say goodbye to _ our exposure to russian gas. we were about to say goodbye to emma - about to say goodbye to emma pinchbeck from energy uk but the technology has done it for us. the prime minister borisjohnson has said the government will be taking legal action against p&0 ferries after it sacked 800 staff without consultation last week. our transport correspondent katy austin is here. this came up in prime minister's questions today. what did the primaries to commit to? it is questions today. what did the primaries to commit to? it is worth takin: it primaries to commit to? it is worth taking it back _ primaries to commit to? it is worth taking it back a _ primaries to commit to? it is worth taking it back a step _ primaries to commit to? it is worth taking it back a step and _ primaries to commit to? it is worth taking it back a step and saying - taking it back a step and saying that yesterday the boss of piano varies peter hebblethwaite wrote a letter to ministers where he said that he didn't think an offence had been committed when it comes to notification requirements that employers in the uk are meant to follow if they plan to make large numbers of staff redundant. ——p&0.
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he said no rules have been broken because these workers were employed by a jersey —based arms of p&0 ferries and the vessels they were working on were not uk registered so he said that meant actually no rules had been broken. but today we heard the prime minister say in the house of commons at prime minister's question time that it looks to me as though the company concerned has broken the law and the government would therefore be taking action, and also encouraging workers to take action to do with employment rights and their employment rights in the situation. this afternoon some employment lawyers have said, or have questioned whether the government can take legal action in the way the prime minister was suggesting. because of an amendment to the act, the bit of legislation that they were talking about there. we haven't really yet had a full explanation from the government about what they meant by that and what exactly their plans are, the exact grounds for their legal action
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in detail there. meanwhile, today we have for the first time had an apology from peter hebblethwaite of p80! ferries saying he is sorry to p&0! ferries saying he is sorry to the workers and their families, but also saying that he thought this was the only option and all other courses of action would have meant the company went under, there would be no p&0 any longer. despite the political pressure we have heard and today's developments there is no sign that p&0 ferries is looking to change course and is looking still to be getting its ferries ready to sail again onto their new crews at the moment. in afghanistan the taliban has reversed a decision to allow most teenage girls to return to secondary school. they were due back in lessons today for the first time since last august — but in a sudden u—turn, the government claimed it needed more time to decide whether girls should wear a veil that covers part of their face. our correspondent secunder kermani has this report.
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the day started so promisingly. all the girls who are gathered here have been telling us how much it meant to them to be back in school. there are far fewer than usual, perhapsjust10%, maybe because some of them were nervous about what would happen or unsure about what would happen, but the ones that did come, they have now been left devastated by news that they have just received that apparently secondary schools for girls will not be reopening. i have seen girls crying. translation: i came here full of hope. - that we would be resuming our studies. but we were told that our classes won't be happening. it feels really bad. why aren't we allowed to study? learning is compulsory for both men and women. i don't understand why we are not given this right. we had been expecting that secondary schools right across afghanistan would be opening up today for teenage girls, many of them for the first time since the taliban took power in august.
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translation: all girls' high school are informed they will remain - closed until further noticed, when a comprehensive plan has been prepared according to sharia and afghan culture, the leadership of islamic mandatory issue and order. we were at a school in the west of kabul today. there were teenage girls in tears because they have been told that they have to go home again. who should they blame for this? translation: each drop - of our sisters' tears is valuable. i can only comment on issues related to the education ministry. we had made all our preparations. this order came from their top leadership, so only their spokesmen can comment on it. we do know that female education is a sensitive, controversial issue amongst, let's say the most hard—line, most ultraconservative elements of the taliban.
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perhaps that is why we have had this sudden and unexpected u—turn. telling girls' schools they should close once again. sport and for a full round—up, from the bbc sport centre, with louisa. good afternoon. world number one ashleigh barty has shocked the sporting world by announcing she will retire from professional tennis atjust 25. the australian made the announcement on social media today, saying she was leaving to "chase other dreams"as laura scott reports. it's not the first time ash barty has stunned the sporting world. just like some of the best shots, nobody saw this one coming. t will like some of the best shots, nobody saw this one coming.— saw this one coming. i will be retirin: saw this one coming. i will be retiring from _ saw this one coming. i will be retiring from tennis _ saw this one coming. i will be retiring from tennis and - saw this one coming. i will be retiring from tennis and it - saw this one coming. i will be retiring from tennis and it is l saw this one coming. i will be i retiring from tennis and it is the first time i have actually said it out loud. it is hard to say, but i am so happy and i am so ready and i just know at the moment, in my heart
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for me as a person, this is right. she steps away at the top of her game, ranked world number one since 2019, the year she won the french open. last summer brought the trophy she had always dreamt of. the wimbledon title. then her status as a national hero needed cementing, she did that injanuary, winning the australian open. less than two months on, barty said she felt absolutely spent with nothing left to give. former number one andy murray, said he was happy for barty, but got it for tennis. petra kvitova said tennis would never be the same without her, but praised her class. youngsters at her home club in brisbane said she had inspired them to pick up a racket. tia brisbane said she had inspired them to pick up a racket.— to pick up a racket. no words for her, she to pick up a racket. no words for her. she is _ to pick up a racket. no words for her, she is perfect. _ to pick up a racket. no words for her, she is perfect. the - to pick up a racket. no words for her, she is perfect. the reason l to pick up a racket. no words for. her, she is perfect. the reason why i -la her, she is perfect. the reason why i play tennis _ her, she is perfect. the reason why i play tennis is _
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her, she is perfect. the reason why i play tennis is because _ her, she is perfect. the reason why i play tennis is because of - her, she is perfect. the reason why i play tennis is because of ash - i play tennis is because of ash barty — i play tennis is because of ash ba . ~ i play tennis is because of ash ba . . , ., , ., i play tennis is because of ash ba .~ ., barty. while stars of the sport are -la in: barty. while stars of the sport are playing into _ barty. while stars of the sport are playing into their— barty. while stars of the sport are playing into their 40s, _ barty. while stars of the sport are playing into their 40s, she - barty. while stars of the sport are playing into their 40s, she is - playing into their a05, she is stopping atjust 25. a tennis has never been her be all and end all. the 201a she took a break to blame professional cricket, blaming the intensity of the tour. ash professional cricket, blaming the intensity of the tour.— intensity of the tour. ash barty, the person. _ intensity of the tour. ash barty, the person, has— intensity of the tour. ash barty, the person, has so _ intensity of the tour. ash barty, the person, has so many- intensity of the tour. ash barty, | the person, has so many dreams intensity of the tour. ash barty, - the person, has so many dreams she wants to chase after that don't necessarily mean travelling the world, being away from my family and being away from my home, which is where i have always wanted to be. only she knows what is next, but going out on a high and on her terms is the ash barty way. heavyweight boxing champion oleksandr usyk has left his native ukraine to prepare for his rematch with britain's anthonyjoshua. 35—year—old usyk has been helping to defend his country from the russian invasion after enlisting in ukraine's military. he beatjoshua in september to become the unified heavyweight champion and is set to face the briton again injune. usyk will now begin his training camp but, contrary to some reports,
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the bbc understands the camp is not in neighbouring poland. russia have declared an interest in rivalling the uk and ireland for the right to host euro 2028 despite their current ban from international football. russian clubs and national teams are suspended by fifa and uefa over the country's invasion of ukraine, pending the outcome of an appeal by the football union of russia to the court of arbitration for sport. however, that has not stopped the union's executive committee giving its backing for a bid for 2028 and 2032. the deadline for expressions of interest is five o'clock today. manchester united have officially spoken to ajax coach erik ten hag about the possibility becoming their next manager. bbc sport understand the meeting took place on monday, as united begin to focus their thoughts around their future. interim manager ralf rangnick has been in charge since ole gunnar solskjaer
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was sacked in november. psg boss mauricio pochettino is also on the short—list, with sevilla coachjuelien lopetugi and spanish coach luis enrique. that's all the sport for now. i'll have more for you a bit later. let's return to our top story and the spring statement — where chancellor, rishi sunak, has set out his plan to address the cost of living crisis. he told mps that fuel duty would be cut by 5 pence per litre from 6pm tonight until march next year and that the threshold at which people will have to pay national insurance will rise by £3,000, to £12,570. joining me now is the chief executive of spice village
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restaurants suleman raza who told us the morning his suppliers where worried about the cost of fuel. how much difference will that make to your suppliers? tlat how much difference will that make to your suppliers?— to your suppliers? not a lot. there are so many _ to your suppliers? not a lot. there are so many other _ to your suppliers? not a lot. there are so many other elements - to your suppliers? not a lot. there i are so many other elements bringing this price hike into the equation. over the past few years we have just been able to keep our heads above water. but the rate increase, we were hoping they would hold it for a little bit more time. the 5p reduction in the fuel duty, how far it is going to take us? that reduction in the fuel duty, how far it is going to take us?— it is going to take us? that is questionable _ it is going to take us? that is questionable for _ it is going to take us? that is questionable for now. - it is going to take us? that is questionable for now. how. it is going to take us? that is - questionable for now. how likely is it your customers will see prices go up? tt it your customers will see prices go u . ? , , it your customers will see prices go u? , , " , ~ it your customers will see prices go u . ? , , ~' , . ., it your customers will see prices go up? it is very likely. we have lost control over _ up? it is very likely. we have lost control over our _ up? it is very likely. we have lost control over our profit _ up? it is very likely. we have lost control over our profit margins i control over our profit margins already. we have no idea how to run our profit options, mechanisms we are going to adopt, looking at this
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inflation out there. the customers are already not happy. after the prices have already increased because we were not able to absorb this inflation and we were getting bad reviews on social media where people were not happy with the price increase. now we are not happy we will have to go full on with a price increase and it is not a good sign for businesses who have been struggling for two years because of the covid restrictions. and i because of this crisis, we do not know where we stand.— because of this crisis, we do not know where we stand. what do your customers tell _ know where we stand. what do your customers tell you _ know where we stand. what do your customers tell you about _ know where we stand. what do your customers tell you about the - customers tell you about the difficult decisions they will have to face if your prices rise? the chancellor _ to face if your prices rise? the chancellor has _ to face if your prices rise? tte: chancellor has already pretty to face if your prices rise? tt9: chancellor has already pretty much neglected the restaurant industry which contributes billions of pounds into the uk economy. i think it is going to add more pressure on us and the customers who are literally
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going to be taking all this burden is the ordinary people. we are not michelin star restaurants who attract, you know, big, posh kind of customers. we attract everyday, normal customers and they cannot afford these prices. this mini budget is definitely not for ordinary people.— ordinary people. given the chancellor _ ordinary people. given the chancellor cannot - ordinary people. given the chancellor cannot control. ordinary people. given the i chancellor cannot control the ordinary people. given the - chancellor cannot control the prices of petrol, diesel, oil, gas, but he can look at things like vat, can look at tax, what more would you like him to be doing for a business like him to be doing for a business like yours in october when we have the budget? t like yours in october when we have the budget?— like yours in october when we have the budget? i think one of the ways we could have _ the budget? i think one of the ways we could have tackled _ the budget? i think one of the ways we could have tackled inflation i the budget? i think one of the ways we could have tackled inflation is i we could have tackled inflation is by keeping the vat at the 12.5%, which was already there. we were really hoping that this could help us tackle this issue for the timing. i know it is not a long—term
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solution, howeverwe i know it is not a long—term solution, however we were banking on the fact that if the vat reduction could help us match the inflation rate, which is currently going above 8% and we are expecting it will be 9% next month. in october we are really hoping that the chancellor looks into this and he really listens to the ordinary people out there, the small and medium businesses are definitely not getting any benefits out of this reduction, the 80 of the scrapping of vat from the solar panel industry. this is probably going to benefit the bigger industry, but not small industry, definitely not the restaurant business.— small industry, definitely not the restaurant business. thank you for our time restaurant business. thank you for your time today. _ as we've heard with prices rising by more than 6% in the 12 months to february, the chancellor has been under pressure to provide more support for households. our consumer affairs correspondent
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colletta smith has been talking to people in halifax about how they are feeling the squeeze. it's a gorgeous day, and everyone's making the most of the sunshine. this is my little boy, tiger. ah, hello. we're just trying to do more like this, like go out on days out like this. i used to love going to the beach, but i can't even afford that in fuel now. because i've got a car to run as well. so we just do little things like this now. sometimes we'll even get the bus, won't we, instead? stevie's rent went up by £200 last month, and she's already behind on the gas and electricity bills. we're just trying to get by. just try and keep upbeat about it, anyway. paul and charlotte have been feeling the bite of energy bills this winter, too. if the gas goes on, it, you know, it takes a while to kind of kick in. and perhaps back in the day when we were students, we would have just not put the heating on, but we can't do that any more because we've got lois. morning. all right, you? costs are rising for mark
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at his coffee shop, but he doesn't want to put prices up because he knows how tough everyone's finding it. we do have to pay a wage, i pay ourselves, pay your rent. it all has a huge impact. and to keep that quality experience going, people might have to pay. that extra pound to enjoy it. but that's something stevie just can't afford. i don't think i'd be able to save a pound. so you're literally living, everything that comes in... month by month, yeah. ..just gets spent. straight out, yeah. yeah. and if you can't meet those bills, then where will you turn? i either don't pay them, and then its debt, or... i don't really want to have to ask family, but... i do. colletta smith, bbc news, at the piece hall in halifax.
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we have the national chair of the federation of small businesses who would have listened to what rishi sunak was saying. thank you for joining us. what of any optimism and promise was there for small business? t promise was there for small business?— promise was there for small business? ~' :, , :, :, :, business? i think there was a lot to be optimistic _ business? i think there was a lot to be optimistic about. _ business? i think there was a lot to be optimistic about. there - business? i think there was a lot to be optimistic about. there were i be optimistic about. there were positive announcements in the statement. we were pleased with the fuel duty cut, because i think a lot of businesses were feeling the pressure of the massive increase. also the vat treatment of low carbon installs was very welcome. but most importantly was the announcement of an increase in the employment allowance, which is very important for some of the smallest businesses. it is something that was an idea of ours a few years ago. it has now been expanded three times and we
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think it is vitally important to protect the smaller businesses. 5p a litre cut in duty _ protect the smaller businesses. 5p a litre cut in duty coming on tonight, not to be sniffed at. how long is the effect of that going to be felt? because we are seeing the cost of petrol and diesel rise each month? t don't think we are finished with the increases, so it is a bit of a temporary relief. however, i don't want to be sniffy about it, it is something in terms of 1p when they were down to downplay expectations for this statement. 5p is very welcome. for this statement. 5p is very welcome-— for this statement. 5p is very welcome. :, :, welcome. you have said in the past she wanted — welcome. you have said in the past she wanted the _ welcome. you have said in the past she wanted the chancellor- welcome. you have said in the past she wanted the chancellor to i welcome. you have said in the past| she wanted the chancellor to deliver on his pledge to create a low tax economy and a culture of enterprise. we are being promised an income tax drop, but not for another two years, how much of a missed opportunity was this? t
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how much of a missed opportunity was this? ~' :, , ,:, :, :, this? i think there was some good sins this? i think there was some good signs about _ this? i think there was some good signs about where _ this? i think there was some good signs about where he _ this? i think there was some good signs about where he wants i this? i think there was some good signs about where he wants to i this? i think there was some good. signs about where he wants to take the tax system. you are right, it is a bitjam tomorrow but there was some good signals about what he wants to do in the autumn about r&d tax credits, help in training and investment and all of those things will make a significant difference to the way in which businesses invest and the way they see the future. :, ,:, :, , ~ :, future. how important is vat going to be in the — future. how important is vat going to be in the future? _ future. how important is vat going to be in the future? they _ future. how important is vat going to be in the future? they had i future. how important is vat going to be in the future? they had all i to be in the future? they had all the help in the pandemic and now we have got the effects of the war, russia's invasion of ukraine and also some of the effects of brexit beginning to bite? tsqt also some of the effects of brexit beginning to bite?— also some of the effects of brexit beginning to bite? vat has a massive im act on beginning to bite? vat has a massive impact on some _ beginning to bite? vat has a massive impact on some of— beginning to bite? vat has a massive impact on some of the _ beginning to bite? vat has a massive impact on some of the consumer i impact on some of the consumer facing businesses, the ones that iump facing businesses, the ones that jump out our hospitality, retail and leisure, that suffered through the pandemic. they know they will be returning to the relatively high
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rates of vat that they have been labouring under prior to the pandemic. it is a shame we couldn't do more on that. i think there are enough positives there that we can welcome the statement.— enough positives there that we can welcome the statement. martin mate, thank ou welcome the statement. martin mate, thank you very — welcome the statement. martin mate, thank you very much _ welcome the statement. martin mate, thank you very much for _ welcome the statement. martin mate, thank you very much for your - welcome the statement. martin mate, thank you very much for your time i thank you very much for your time this afternoon. ukrainian forces are fighting back against russian troops. it has been reported that ukrainian forces have taken back the town west of kyiv and south of the country. the southern town has already seen off an attack by the russian army. vladimir talansky around —— president zelensky says thousands of civilians are trapped. this war was always russia's
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invasion, but it has become the story of ukraine's resistance. today, fight back. the regional chief of police posted this patriotically video. complete with dramatic music. russia isn't stopping, it continues to bombard mikel i have, where this lady is in labour. translation: , , labour. translation: , :, translation: it is scary, but not as much of february _ translation: it is scary, but not as much of february the _ translation: it is scary, but not as much of february the 24th _ translation: it is scary, but not as much of february the 24th when i translation: it is scary, but not as much of february the 24th when the | much of february the 2ath when the russians began to shell from all sides. everyday you get used to it more and more. especially when the explosions are far away, it seems they are in another state. then yesterday, nearthe they are in another state. then yesterday, near the hospital, just 500 metres away from the hospital, it became scary again.— it became scary again. doctor say there has been _ it became scary again. doctor say there has been a _ it became scary again. doctor say there has been a new _ it became scary again. doctor say there has been a new wave i it became scary again. doctor say there has been a new wave of- it became scary again. doctor say i there has been a new wave of birth, caused by women going into labour through stress. in the south—east, president zelensky says they will
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nothing left of mariupol where 100,000 people are still trapped. one of the bosses at the port has told the bbc, it is still intact, reflecting how strategically significant the russian see it. in a kyiv hospital, this lady recovers after a shell landed close to her home. she is shielded her one—month—old baby with her body. translation: t one-month-old baby with her body. translation:— translation: i woke up with her screamin: translation: i woke up with her screaming and — translation: i woke up with her screaming and was _ translation: i woke up with her screaming and was accompanied i translation: | woke up with her. screaming and was accompanied by translation: | woke up with her- screaming and was accompanied by the sound of glass smashing, fire and cracking. i heard her shouting. sound of glass smashing, fire and cracking. i heard hershouting. tn cracking. i heard her shouting. in the capital, people are making the most of a curfew ending, as well as this warm, spring sunshine to claw back some lost normality in their lives. the sound of artillery and light gun fire can occasionally be heard echoing through neighbouring streets, as both sides start to dig in. ukraine cosmic government has announced nine new temporary ceasefire is to try and help people
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escape the fighting. more sanctions, economic punishments are expected to be announced by us president biden today. so far they have not slowed the fighting at all. as james reported, there are signs of ukrainian forces fighting back in various parts of the country. for the latest on where things stand, lets join the latest on where things stand, letsjoin gordon corera. thank you. if we look at the map we can see russia came into ukraine on a number of fronts from the north, from the east and from the south. that effectively stalled some progress in the south, but what we have heard about in recent days is the ukrainian is fighting back, counter attacking. as we have had, they have driven the russians out a few days ago and just outside the capital, they also managed to have
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driven russian forces out and have raised the ukrainian flag once again. that is important because of its proximity to the capital, kyiv. if you take a closer look here, the russian plan originally was for a lightening strike to try and take the capital to get rid of the government. in practice, they have only been able to encircle the top of the city and not the whole of the city with their forces. they have not managed to get right inside it or even into the city centre to fight. what we have seen its a pretty terrible devastation but that has been largely missile strikes. this looks like rockets launched today. if we take a closer look at the map, this is also interesting. over here, there has been pretty heavy fighting. there is some claims that ukrainian forces have encircled the russians and they have never been able to hold it, and there has been able to hold it, and there has been consistent fighting. the reason
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this is crucial is because if the russians get closer, they might be able to launch artillery into the city centre. why that would matter is, if we take a look at what we heard about happening in mariupol in the south, the russians were able to encircle the city and have been able to pound it and do some pretty terrible damage. talk about up to 90% of the city being destroyed and still with 100,000 civilians being in there, as we have heard. the concern will be mariupol�*s fete could be that of kyiv. but kyiv is a much bigger city. it is much harder to encircle it as well and to get there from the south, it is not on there from the south, it is not on the coast like mariupol and the river runs through it, which provides an additional obstacle for the russians. that does look like a much harder target. gordon, thank you very much. nato says it will approve major increases
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in the forces deployed on its eastern flank in response to the invasion. the organisation's secretary general had this to say ahead of the talks that will include the us president. nato leaders will meet in brussels tomorrow at a pivotal moment for our security. and i look forward to welcoming president zelensky, who will address us during the meeting. president putin's brutal invasion of ukraine is causing death and destruction every day. allies stand united in support for the brave people of ukraine and against the kremlin's cruelty. putin must end this war. allow aid and safe passage of civilians and engage in real diplomacy.
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nato allies have responded to this crisis with strong support for ukraine and unprecedented costs for russia. a number of people are being treated for breathing difficulties at the aquatics centre in the queen elizabeth park in stratford in east london, after a high quantity of chlorine gas was released. the centre was evacuated and 29 patients were take to hospital, and a further a8 patients were assessed at the scene. people nearby have been asked to close their doors and windows. the duke and duchess of cambridge have arrived injamaica, for the second leg of their week—long caribbean tour. activists there have been calling on the uk to pay reparations for slavery, an issue prince william is expected to address in a speech later today. the couple began their visit in the centre of the capital, kingston. a warning that this report from our royal correspondent, jonny dymond, contains flash photography.
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a rather formal start to what would become a pretty informal day. just before their arrival... shouting. ..a demonstration outside britain's high commission, its embassy to jamaica. a protest against britain's use of the slaves here whenjamaica was its colony. and the demand for financial compensation. it's an insult to us for these young people to be here to try to persuade us to keep the status quo in place when our goal is to loosen and remove the hands, the gloved hands, of the queen, from around our necks. prince william is expecte to discuss slavery in the same sort of frank terms that his father used recently in barbados. he talked about it being a stain on history.
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but that will come later. cheering. first, there was a visit to downtown kingston. the crowds were waiting. the royals can still pull a crowd injamaica. and they pull celebrities, too. manchester city's raheem sterling and aston villa's leon bailey, the jamaican international. then it was down to business, with william setting up a goalfor raheem sterling. applause. but it was the couple's off—pitch walkabout that sent the crowd wild. down the street they swept, surrounded by a cheering throng. cheering.
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and then into one of jamaica's cultural shrines. a place where bob marley once lived and hung out with other musicians. this was a musical celebration. and a chance to kick back and relax. the royals got stuck in and the beat went on. here was a couple enjoying life together. all good things come to an end. eventually, they said their goodbyes. thank you so much. trench town will remember
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their visit for a long time to come. jonny dymond, bbc news, kingston, jamaica. now it's time for a look at the weather with chris. hello. most of us, we've got lots more of this warm spring sunshine to come over the next few days, this was dover castle, an old roman lighthouse overlooking the modern day ports. the skies a little on the hazy side, but lots of sunshine around. and the sunshine isn'tjust with us here in the uk with largely clear skies, but across the vast majority of europe, the skies are clear, thanks to a very big area of high pressure. now, over the next several days, very gradually, that high pressure is going to drift westwards against the usual flow of traffic, and eventually it will move to the west of the uk as it does so into next week. we get a cold blast of northerly winds coming down and that will really knock the temperatures down.
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spring can be a very fickle month, so make the most of the warm sunshine whilst it lasts. i think that's the main message, and for the vast majority of us, today is a dry day. lots of sunshine, a little bit hazy in places. top temperatures likely to reach 21 degrees in the greater london area over the next few hours. overnight tonight. we'll keep clear skies initially could be one or two mist and fog patches developing later in the night. unlike recent nights, it will be a cold one, with temperatures getting down into low single figures, perhaps one or two patches of frost in the countryside to take us into the first part of thursday. but essentially it's a case of rinse and repeat for thursday. we've got a lot of dry weather to come again, the sunshine a little bit hazy at times, but there will be loads of that sunshine to come for all of us, perhaps an odd shower across northern scotland, but essentially it's dry for the vast majority. so temperatures still into the high teens, perhaps the low 205 across parts of east anglia southeast england. now heading to the end of the week, we've still got high pressure firmly in charge.
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again, there could be a few mist and fog patches. tendency for the weather turn just a little bit cloudier across the northwest. that will tend to reduce the temperatures a little bit across some northern areas of scotland. we're looking at highs of around 12, for example in stornoway, nine in shetland, but it's across most areas. it's still very warm for this stage of the year. on into the weekend, we keep the fine weather more of that sunshine to come through. temperatures still well above average, but it's into next week that we see things turning a lot colder. frosts become more widespread, and it might even be cold enough for some wintry showers over the high ground in the north. that's the latest.
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this is bbc news i'm martine croxall. the headlines at a:00 — as the cost of living rises at the fastest rate in 30 years, the chancellor announces new measures to soften the blow, a hike in national insurance tax will go ahead from april, but the threshold for the amount people need to earn before they start to pay it will also rise. the chancellor defended his measures, and said a cut in income tax will happen before the end of 202a. my tax plan delivers the biggest net cut to personal taxes in over a quarter of a century and i commend it to this house. the truth is, mr speaker, people can no longer afford the conservatives. working families can't. pensioners can't.
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and businesses can't the uk's public finance watchdog says households will see disposable income fall, by the largest amount in a single year since records began. in other news the prime minister tells the commons he believes p&0 broke the law when they fired hundreds of staff last week without proper consultation. just hours after they're re—opened — the taliban shut down secondary schools for girls — with many left broken hearted by the ruling. and the women's world number one — australia's ash barty — says she's hanging up her tennis racket — atjust 25—years—old. good afternoon.
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welcome to bbc news. the chancellor rishi sunak has unveiled his spring statement in the house of commons. his update on the state of the country's finances comes as the cost of living continues to soar — with figures released this morning showing prices rose by 6.2% in the 12 months to february — the fastest for 30 years. let's take a look at what was announced, starting with three immediate measures. the chancellor announced help for motorists, with fuel duty cut by 5p per litre. the cut will come into force at 6pm tonight and last until march next year. vat is being abolished on insulating homes, measures such as using solar panels or heat pumps, for the next five years. in northern ireland it will be funded differently. the government's household support fund — money for councils to support vulnerable households — will be doubled to £1 billion with £500 million of new funding. local authorities will receive money from april. looking further out, from july — the threshold for paying national insurance will increase by £3,000. that means people must earn £12,570
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per year before paying income tax or national insurance. and, in his final announcement, the chancellor pledged that before the end of this parliament in 202a, the basic rate of income tax will be cut from 20p to 19p in the pound. but labour accused the government of making the wrong choices, and of failing to grasp the financial pain facing millions of families. the office for budget responsbility — the uk public finances watchdog — says households will see disposable income fall, by the largest amount in a single year since records began more than 60 years ago. here's our political correspondent, iain watson. is this the chancellor looking at his growing energy bills? well, actually, he is poring over his spring statement, a mini budget, and is under pressure to do more to tackle the cost of living. prices are rising at the fastest level in 30 years outstripping increases to wages and benefits. is there more pain
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to come, chancellor? and if you think you are really feeling the pinch right now, the message from the chancellor today that you may have seen nothing yet. statistics published this morning show inflation in february was 6.2%, lower than the us and broadly in line with the euro area. disruptions to global supply chains and energy markets combined with the economic response to putin's aggression mean the obr expect inflation to rise further, averaging 7.a% this year. but there was a little bit of brighter news. borrowing is lower and the money coming into the treasury is higher than previously forecast. which is why notjust the opposition but many conservative mps too have been pressing the chancellor to loosen the nation's purse strings. been pressing the chancellor to loosen the nation's purse strings. he said it was important that help was targeted where it is most needed
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and a cut in fuel duty was widely welcomed. today i can announce for only the second time in 20 years, fuel duty will be cut. not by one, not even by two, but by 5p per litre. the much bigger demand was to ditch the planned rise in national insurance contributions, in effect a tax increase. the chancellor didn't do that but he did ensure fewer people would be hit. it would have started to affect those earning just under £10,000 per year but by raising the starting point for paying national insurance, more lower paid workers will now be entirely exempt and many more will have a lower overall tax bill. from this july, people will be able to earn £12,570 a year without paying a single penny of income tax or national insurance. that is a £6 billion personal tax cut for 30 million people across the united kingdom. however grim the immediate outlook,
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the chancellor wanted to offer the prospect of a brighter future, an income tax cut. though not now, but later in the electoral cycle. i can confirm before the end of this parliament in 2024, for the first time in 16 years, the basic rate of income tax will be cut from 20p to 19p in the pound, a tax cut for workers, for pensioners, for savers, a £5 billion tax cut for 30 million people. and let me be clear with the house, it is fully costed and fully paid for in the plans announced today. labour called for the national insurance rise to be scrapped entirely. the shadow chancellor argued that in the cost of living crisis it is the energy companies and not the consumers that should be shouldering a bigger burden. when i set out labour's plans for a windfall tax injanuary, we estimated that it would have raised £1.2 billion.
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now because of the continued rise in global oil and gas prices, it would today raise over £3 billion. that's money that could be used to help families and pensioners and businesses. with a cut to vat, a real brexit dividend that would help working families and pensioners across our country. the snp called for the chancellor to do more for people across the uk who are on benefits. the scottish government by contrast is doing what it can— within its limited budget to support people uprating the eight _ social security benefits - we control by 6%, increasing the scottish child payment to £20 a week, a lifeline to families. i this government should be doing the same. i the lib dems said the chancellor's announcement didn't match the scale of the problem. people are drowning with those higher energy bills, motoring costs, food bills,
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they needed a lifeboat and the chancellor has utterly failed them. even before today's spring statement rishi sunak has been insisting that he has offered real help to hard pressed families, including a reduction in council tax for most households in england. he has also been meeting conservative mps privately and some of them have been telling me they are not quite sure he has grasped the scale of the crisis. they will be pleased at the prospect of tax cuts but they will also be closely scrutinising the chancellor's more immediate measures, though the verdict ultimately will lie with the voters. iain watson, bbc news, downing street. let's speak to our political correspondentjonathan blake. he is in the houses of parliament. jonathan, whatever the chancellor was going to offer today it had to be borne in mind that it is set against rising inflation rates and also a drop in the growth forecast. yes, the spring statement is not a big moment like the budget, at least
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it doesn't normally expected to be that, the chancellor comes to the commons and gives mps an update on how the economy is performing, perhaps with a few new economic measures announced around the edges but such are the circumstances that today's statement has come in. there was huge expectation on rishi sunak to step in and put in place measures to step in and put in place measures to attempt to mitigate the impact of the cost of living crisis, as many call it, that people are facing across the uk. that is of course happening in the aftermath of the pandemic, in itself a huge shock and also the war in ukraine which is also the war in ukraine which is also having an impact. the theme of his statement was security and that i think was designed to encourage people and reassure them that he was standing by them as he said he would. so he had some short—term measures, that cut on fuel duty you have heard about. also eliminating vat on energy—saving measures for the home, and then there was the
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move to increase the threshold on national insurance payments which will protect lower earners from paying more in terms of that tax for a little longer. but almost as soon as the chancellor sat down he had his thunder stolen by the analysis, the forecasts published alongside his statement from the government's official forecaster, his statement from the government's officialforecaster, the his statement from the government's official forecaster, the office for budget responsibility, which had painted a terribly bleak picture about the state of the economy at the moment, showing that people are facing a drop in living standards that won't recover to pre—pandemic levels for at least another 2—3 years, rising inflation which continues to be a big strain on the economy, and then there are the tax rises which rishi sunak has already brought in, and the analysis shows that today's measures, even given the cut in income tax from 20p down to 19p in the pound at the basic rate which will not come in yet, it will be at some point before the end
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of this parliament in 202a, only goes some way to addressing the tax increase is put in place by this government so far. so, step back and take a look at the big picture, there are some measures announced today which went down very well with conservative mps and will have a significant effect for many people in terms of mitigating the rise in the cost of living across the board, but the bigger picture economically is that the tax burden, the proportion of tax paid by people as a chunk of the size of the economy as a whole is still very significant when compared with historical levels in people across the board are facing higher taxes in many areas. jonathan blake, for the moment, at the houses of parliament, thank you. our correspondent, jenny kumah, has spent the day at a laundry business in axminster in devon to see what they make of today's announcements. this laundry business in east devon is relatively new. they started the business
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back in may last year, enjoyed a strong start due to the boom in staycations. most of the clients here are hotels, b&bs and self—catering accommodation. however, this year they have been hit by the rise in the cost of fuel and energy bills. i'm joined by ava mcfarlane. ava, just talk us through the kind of hit you are seeing because of those rising prices. so, our largest expenditure in this business is transport costs, so fuel prices ultimately, and electric for all our machines. so they are being really hard hit. we have introduced a delivery charge which our customers have been supportive and understanding of to try and cushion the impact. but ultimately a squeeze on profits. for any new business it is not ideal but we are trying to stay positive and keep moving forwards. so what do you make of what the chancellor announced today? in one word, disappointing, i would say. 5p a litre off isn't really going to make any difference. but there was going to be no big surprises, i don't think.
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good news for my workers who now are below the threshold, they will see a good saving, but nothing really significant to make any impact on us as a business. and how are you feeling about the next few months going forward? yes, it will be tighter than we planned but stay positive, we are a growing customer base, so, you know, i'm optimistic and confident we will be ok as a business. that's great, thank you, ava. i will talk now to louise, you are a worker here. talk us through kind of the struggles you are having in terms of rising prices. rising gas and electric, food costs, internet bills, electric bills, it's all going up, it's all affecting us quite a lot. and how is it affecting you? what kind of decisions are you having to make? i'm having to decide whether it is gas and electric in the week or food for my children, or silly things like that. so we have heard today that the national insurance threshold will go up,
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so you will only start paying national insurance when you are earning £12,500. that's to counteract an increase in contributions that's coming in in april. how do you feel about that? ok, but it's not something that's amazing. it's not going to look like boost us all up it's not going to, like, boost us all up and give us what we actually all need. it's the energy levels and food and fuel costs to go down considerably, notjust 5%. and also the chancellor announced a cut in fuel duty. how much of a difference do you feel that will make? 5p cut in fuel duty? yeah, i don't think it's going to make much of a difference, not to _ me, not really, 5p on fuel, no, not really. so what would you like to have heard today? i don't know, 50% less fuel! that would have been amazing. but we are expecting a lot but it's not going to happen. that's great, thank
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you for talking to us, louise. that's the picture here in east devon. jenny kumah in axminster. among the announcements, a cut to the basic rate of income tax from 20p to 19p before the end of the current parliament. our economics correspondent andy verity is here and has been looking at the detail. inflation is what everybody is talking about, we have the highest inflation in 32 years, talking about, we have the highest inflation in 32 years, 6.2%. talking about, we have the highest inflation in 32 years, 6.2%. that was the orange line that was before the forecast today. now this peak shooting up—and—down is what they are now forecasting because of energy prices essentially. that inflation is going to be 8.7% they are predicting is the peak, and of course wages are also growing, we have a tight labour market, 5.3% wage inflation but it won't be enough to keep up, so if you look at
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what that does to living standards, then you see we have a really nasty knock to living standards. that's the red line right there at the end. you can see it is actually twice as big as the oil shocks over the 19705. that is our mythical folk memory of inflation really hurting our living standards but it will hurt twice as much this year according to the office for to responsibility. and then you look at what is happening to growth, because if you are spending more on the petrol and energy bill you have less to spend on other things. the obr predicts weaker economic growth. it was predicting 6% in october. now it has cut the forecast to 3.8%. that is still quite a healthy rate of growth by normal standards but remember we are supposed to be bouncing back from a pandemic. and then you look at what rishi sunak has done in order to try and ameliorate those nasty economic shocks. it is not really the government's finances having a tough time here, it is household finances, so he's trying to help by cutting
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fuel duty by 5p per litre, remember it costs £1.65 per litre, it only wipes out some of the increase we have seen. then the national insurance threshold. he is raising national insurance rates, but this gives some of that back but not all of it. raising the threshold to £3000 means you will not pay any national insurance until you earn £12,570, much higherthan national insurance until you earn £12,570, much higher than the previous threshold, or the planned threshold for this year, so that will soften the blow for a lot of people as they pay higher national insurance next month. the other thing he is doing is promising to cut income tax in a couple of years time, so it is not 20p but 19p in the pound, so taking away with next month's national insurance rise and promising to give back in a couple of years time. we asked the institute for fiscal studies what they thought about the logic of what rishi sunak is doing here. paul johnson gave us an answer. tt is johnson gave us an answer. it is worth bearing — johnson gave us an answer. it is worth bearing in _ johnson gave us an answer. it is worth bearing in mind that despite all of— worth bearing in mind that despite
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all of those tax giveaways the tax burden _ all of those tax giveaways the tax burden is — all of those tax giveaways the tax burden is now planned to be higher in three _ burden is now planned to be higher in three or— burden is now planned to be higher in three or four years time than was planned _ in three or four years time than was planned a _ in three or four years time than was planned a year ago and that is what inflation _ planned a year ago and that is what inflation does, it creates this thing called fiscal drag, more of our money— thing called fiscal drag, more of our money will be pulled into the tax brackets.— our money will be pulled into the tax brackets. pauljohnson talking about the tax _ tax brackets. pauljohnson talking about the tax burden _ tax brackets. pauljohnson talking about the tax burden which - tax brackets. pauljohnson talking about the tax burden which of i tax brackets. pauljohnson talking about the tax burden which of the | about the tax burden which of the obr says will be at its highest since the 19a05, and that's one of the reasons they are predicting that we will have pretty much stagnating living standards for the next five years. abs. living standards for the next five ears. : :, :, :, , :, :, living standards for the next five ears. :, :, :, :, :_ years. a lot to worry about for many --eole. years. a lot to worry about for many people- thank _ years. a lot to worry about for many people- thank you _ years. a lot to worry about for many people. thank you very _ years. a lot to worry about for many people. thank you very much, i years. a lot to worry about for many| people. thank you very much, andy. let's talk about that now. joining me now from our westminster studios lindsayjudge research director of the resolution foundation, an independent think—tank focused on improving the living standards for people on low to middle incomes. lindsayjudge, thank you forjoining us. what respite, if any, is there in this statement today for people who are worried about the cost of living and how they are going to make ends meet? t living and how they are going to make ends meet?— living and how they are going to make ends meet? ~ :, make ends meet? i think what we saw in the spring — make ends meet? i think what we saw in the spring statement _ make ends meet? i think what we saw in the spring statement today - make ends meet? i think what we saw in the spring statement today is i make ends meet? i think what we saw in the spring statement today is a i in the spring statement today is a chancellor who has really lost sight of the scale of this living
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standards crisis, and in particular lost sight of who is really hurting. the package he has put on the table todayis the package he has put on the table today is definitely going to give some kind of respite for those on middle and higher incomes, but for those on the lowest incomes there was really very little there at all. how big a fall in living standards are they going to have to juggle? the obr, office for budget responsibility, made very clear today that the living standards hit in the coming year is going to be the highest on record since the 19505 when records began. we estimate that is probably for the average family a loss of about £1000 in real terms. average family a loss of about £1000 in realterms— in realterms. what could he have done? he — in realterms. what could he have done? he was— in realterms. what could he have done? he was very _ in realterms. what could he have done? he was very clear- in realterms. what could he have done? he was very clear at - in realterms. what could he have done? he was very clear at the i done? he was very clear at the beginning to set the context that we are living in, and he referred to the russian invasion of ukraine, which of course has had impact on oil and gas supplies and also supplies on basic foodstuffs, particularly wheat. tt is supplies on basic foodstuffs, particularly wheat. it is absolutely true that the _ particularly wheat. it is absolutely true that the inflation _ particularly wheat. it is absolutely true that the inflation we - particularly wheat. it is absolutely true that the inflation we are i true that the inflation we are facing at the moment is largely driven by global events and those
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are entirely out of the control of the chancellor. but i think where he really missed a trick was he didn't think about those on the lowest incomes. the most obvious thing he could have done though is he could have increased benefits, and indeed the state pension, by more than they are due to go up come this april. they are based on the september inflation rate which was 3.1% back last year. now we are looking at 8% or 9% of inflation, that's a very big, large real—time cost for low—income families. we big, large real-time cost for low-income families. ~ ., ., ., low-income families. we are going to see the level — low-income families. we are going to see the level at _ low-income families. we are going to see the level at which _ low-income families. we are going to see the level at which you _ low-income families. we are going to see the level at which you begin - low-income families. we are going to see the level at which you begin to i see the level at which you begin to pay national insurance contributions go pay national insurance contributions 9° up pay national insurance contributions 9° up by pay national insurance contributions go up by £3000 to bring it in line with the point at which you start paying income tax at £12,570. how progressive is that as an idea? essentially that helps those on middle and highest incomes. it doesn't help those not in work at all, so pensioners, students, those staying at home looking after their kids, and it also doesn't help those of course on the lowest earnings who
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are already not playing —— paying any national insurance. are already not playing -- paying any national insurance.— any national insurance. looking ahead to october, _ any national insurance. looking ahead to october, what - any national insurance. looking ahead to october, what would l any national insurance. looking i ahead to october, what would you hope for in the budget? this was just a spring statement but a lot was being pinned on it.— just a spring statement but a lot was being pinned on it. come october inflation will — was being pinned on it. come october inflation will be _ was being pinned on it. come october inflation will be rising _ was being pinned on it. come october inflation will be rising even _ inflation will be rising even faster, we anticipate, not least because we will see another fuel price cap lift come the autumn. at that point we really have to be looking for some very serious measures to help those on the lowest incomes. h, , measures to help those on the lowest incomes. u, g measures to help those on the lowest incomes. my g ., incomes. lindsay judge from the resolution _ incomes. lindsay judge from the resolution foundation, - incomes. lindsay judge from the resolution foundation, thank. incomes. lindsay judge from the | resolution foundation, thank you incomes. lindsay judge from the - resolution foundation, thank you for your time. the prime minister borisjohnson has said the government will be taking legal action against p&o ferries after it sacked 800 staff without consultation last week. earlier, ourtransport correspondent katy austin gave me the background to this. yesterday the boss of p&o ferries wrote a letter to ministers where he said he didn't think an offence had been committed when it comes to notification requirements that employers in the uk are meant to follow if they planned to make large
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numbers of staff redundant. he said that actually no rules had been broken there because these workers were employed by a jersey —based arm of p80 were employed by a jersey —based arm of p&o ferries and actually the vessels they were working on were not uk registered, so he said that meant that no rules had been broken. but today we heard the prime minister say in the house of commons at prime minister's question time it looks to me as though the company concerned has broken the law and the government would therefore be taking action and also encouraging workers to take action to do with employment rights, their employment rights in this situation. this afternoon some employment lawyers have said, or have questioned whether the government can take legal action in the way the prime minister was suggesting because of an amendment to the act, the bit of legislation they were talking about there. we haven't yet really had a full explanation from the government about what they meant by that and what their plans are, the grounds
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for their legal action in detail there. meanwhile today, we have for there. meanwhile today, we have for the first time had an apology from peter hebblethwaite of p&o ferries saying he is sorry to workers and their families, saying he is sorry to workers and theirfamilies, but also saying he is sorry to workers and their families, but also saying he felt this was the only option and it was a difficult decision, but all other courses of action, he indicated, would have meant the company went under, there would be no p&o ferries any more. despite the political pressure we have heard and despite today's developments there is no sign that p&o ferries is looking to change course here and it looks to be still trying to get its ferries ready to sail again onto their new crews at some point. kati; their new crews at some point. katy austin. ajury has heard details before a jury has heard details before the fatal stabbing of the sir david amess at a constituency service. members of thejury amess at a constituency service. members of the jury have heard what happened. ali harbi ali denies
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terrorism. our home affairs correspondent daniel sandford is at the old bailey in central london. we heard from four eyewitnesses, two members of sir david amess's staff who were with him today and two people who arrive just afterwards. first we heard from rebecca hatem, his parliamentary pa who travelled with him to belfairs methodist church, and was there to escort the constituents from the lobby of the church to the vestry beside the altar where he was meeting the constituents. she remembers around midday going and collecting ali harbi ali who seemed chatty and friendly. she took him through to sir david amess's office but not long after they had started talking ali harbi ali stood up and leaned over sir david amess, said sorry, and stabbed him in the side. she said that david screamed loudly and sort of panicked. she was talking in a police interview that was recorded on that day that was then played to the jury. on that day that was then played to
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thejury. she said on that day that was then played to the jury. she said that ali harbi ali continued to stab sir david amess. as i was getting up, hejust kept going, she said. she ran off to get some help and she quite soon bumped into the other woman who was working with sir david amess that day. call the police, sir david has been stabbed and the two women went out together to see if they could get more help. there they found if eves and darren king, two other constituents who had just arrived to meet sir david amess and darren king described having gone into the church, found a man in the aisle, also talking in an interview he gave to the police on the day of the attack, he said all i can remember is that he had the knife, which was a lime green coloured knife, the size of a carving knife, on the end there was blood, it wasn'tjust drips of blood, it was covered in blood, she said. —— he said. rebecca, who was behind darren king, said she remembered the man with the knife and said he wasn't going to
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hurt anyone else, just call the police. she said he said don't come anywhere near me, i will stab you. yvonne eves who was also there said he was pacing and he seemed like he knew what he had done, he had achieved something, he wasn't remorseful, she said. he was like, oh, my god, i've done it. i've achieved something. darren king said he tried to keep the man with the knife talking so that he couldn't harm anyone else. the man was saying he wanted to kill everyone who had voted for the iraq war. darren king said that for much of the time the suspect seems to be on the phone to his sister who was saying, why have you done it? why have you done it? and eventually two police officers arrived, managed to disarm the man with the knife and take him away in handcuffs. julie, one of the assistance, told the jury the image of ali's face as he was led away would stay with her for the rest of her life. it was kind of
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self—satisfaction, she said. ali harbi ali denies murder and preparing terrorist acts. daniel, thank you very much. daniel sandford with the latest from the old bailey. a number of people are being treated for breathing difficulties at the aquatics centre in the queen elizabeth park in stratford in east london, after a high quantity of chlorine gas was released. the centre was evacuated and 29 patients were take to hospital and a further 48 patients were assessed at the scene. people nearby have been asked to close their doors and windows. today marks two years since the prime minister announced the uk's first official lockdown, telling the country: "you must stay at home." since then, nearly 164,000 people have died with covid—i9 in the uk. a memorial concert is being held at st paul's cathedral this evening. the world number one women's tennis player, ash barty, has announced she's retiring at the age of 25. the australian star made the announcement on social media saying she was leaving the sport
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to chase other dreams. our senior sports news reporter laura scott has more. it's not the first time ash barty has stunned the sporting world. just like some of the best shots, nobody saw this one coming. i will be retiring from tennis and it is the first time i have actually said it out loud. it is hard to say, but i am so happy and i am so ready and i just know at the moment, in my heart for me as a person, this is right. she steps away at the top of her game, ranked world number one since barty steps away at the top of her game, ranked world number one since 2019, the year she won the french open. last summer brought the trophy she had always dreamt of. the wimbledon title. then if her status as a national hero needed cementing, she did that injanuary, winning the australian open.
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today, less than two months on, barty said she felt absolutely spent with nothing left to give. former number one andy murray, said he was happy for barty, but gutted for tennis. two—time grand slam champion petra kvitova said tennis would never be the same without her, but praised her class. youngsters at her home club in brisbane said she had inspired them to pick up a racket. no words for her, she is perfect. the reason why i play tennis is ash barty. l while stars of the sport are playing into their 405, barty is stopping atjust 25. but tennis has never been her be all and end all. in 2014 she took a break to play professional cricket, blaming the intensity of the tour. ash barty, the person, has so many dreams she wants to chase after that don't necessarily mean travelling the world, being away from my family and being away from my home,
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which is where i have always wanted to be. only she knows what is next, but going out on a high on her terms is the ash barty way. time for the weather forecast with chris fawkes. that looks very appealing. appeal' me? |ng. me? always! this was the highlands of scotland earlier today, thanks to one of our weather watchers for sending that one in. most of us have had skies like these today, the suncheon has been on the hazy side, but we have more of this fine weather to come. we have plenty of sunshine at the moment but overnight tonight clear skies will take hold. we will get one or two mist and fog patches forming, temperatures like recent nights getting into low single figures, perhaps a few patches of frost here in the first thing thursday morning but we are going to do the same kind of forecast for tomorrow. again, loads of sunshine across the board, slightly hazy, any
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mist and fog patches not lasting long at all and as far as the temperature goes it will continue to be very warm for the stage of the year. we are looking at highs reaching 20 celsius in the warmest parts of england, but a word of caution, we have high levels of pollution, high levels across east anglia and south—east england, partly due to the air coming from germany of north—west europe. the pollution we are adding to it, but as well we have high pressure which means the air doesn't get mixed around much. forthose means the air doesn't get mixed around much. for those with certain health conditions, asthma, copd, you might want to bear this in mind for tomorrow, high levels of pollution. that's the latest. hello this is bbc news. the headlines: as the cost of living rises at the fastest rate in 30 years, the chancellor announces new measures to soften the blow, including a 5p cut in fuel duty. a hike in national insurance tax will go ahead from april, but the threshold for the amount people need to earn before
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they start to pay it will also rise. the chancellor defended his measures, and said a cut in income tax will happen before the end of 2024. the uk's public finance watchdog says households will see disposable income fall, by the largest amount in a single year since records began. in other news... the prime minister tells the commons he believes p&0 broke the law when they fired hundreds of staff last week without proper consultation. just hours after they're re—opened — the taliban shut—down secondary schools for girls — with many left broken hearted by the ruling. and the women's world number one, australia's ash barty, says she's hanging up her tennis racket — atjust 25—years—old. ukrainian forces are fighting back successfully against russian troops, according to the pentagon in the united states. it's been reported that ukrainian forces have retaken the town of makariv, west of kyiv and are also attacking russian forces in the south of the country.
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the southern town of voznesens'k has already seen off an attack by the russian army. but in the port of mariupol, ukraine's president, volodymyr zelensky, says around 100,000 civilians are now trapped without food, water or heat. officials say russian bombing raids have turned the city into "ashes". our correspondent james waterhouse has this report from kyiv. this war was always russia's invasion, but it's also become a story of ukraine's resistance. and today, fightback. makariv, to the west of kyiv, has reportedly been retaken. the regional chief of police there posted this patriotic video, complete with dramatic music. russia isn't stopping, though. it continues to bombard mykolaiv, where tamara is in labour. translation: it is scary, - but not as much as on february 24, when the russians began to shell mykolaiv from all sides. over time, every day,
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you get used to it, more and more. especially when the explosions are somewhere far away. it seems like they are in another state. and then yesterday, here, near the hospital, just 500 metres opposite the maternity hospital it became scary again. doctors say there has been a new wave births here, caused by women going into labour through stress. in the south—east, president zelensky reckons there will soon be nothing left of mariupol, where 100,000 people are still trapped. however, one of the bosses at the city's port has told the bbc it is still intact, reflecting how strategically significant the russians see it. in a kyiv hospital, ola recovers after a shell landed close to her home. she shielded her one—month—old daughter with her body, meaning victoria was not hurt. translation: | woke up - with her screaming, accompanied by the sound of glass i crashing, fire cracking. it was like a catastrophe. ijust heard her shouting.
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here in the capital people are making the most of the curfew ending, as well as this warm spring sunshine, to claw back some lost normality in their lives. the sound of artillery and light gunfire can occasionally be heard echoing through neighbouring streets as both sides start digging. ukraine's government has announced nine new temporary ceasefire to try and help people escape the fighting. more sanctions, economic punishments, are expected to be announced by us president joe biden today. so far, they have not slowed the fighting at all. james waterhouse, bbc news, kyiv. in afghanistan the taliban has reversed a decision to allow most teenage girls to return to secondary school. they were due back in lessons today for the first time since last august — but in a sudden u—turn, the government claimed it needed more time to decide whether girls should wear a veil that covers part of their face.
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our correspondent secunder kermani has this report. the day started so promisingly. all the girls who are gathered here have been telling us how much it meant to them to be back in school. there are far fewer than usual, perhapsjust10%, maybe because some of them were nervous about what would happen or unsure about what would happen, but the ones that did come, they have now been left devastated by news that they have just received that apparently secondary schools for girls will not be reopening. i have seen girls crying. translation: i came here full of hope. - that we would be resuming our studies. but we were told that our classes won't be happening. it feels really bad. why aren't we allowed to study? learning is compulsory for both men and women. i don't understand why we are not given this right. we had been expecting that secondary schools right across afghanistan would be opening up today for teenage girls,
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many of them for the first time since the taliban took power in august. translation: all girls' high school are informed they will remain - closed until further noticed, when a comprehensive plan has been prepared according to sharia and afghan culture, the leadership of islamic mandatory issue and order. we were at a school in the west of kabul today. there were teenage girls in tears because they have been told that they have to go home again. who should they blame for this? translation: each drop - of our sisters' tears is valuable. i can only comment on issues related to the education ministry. we had made all our preparations. this order came from their top leadership, so only their spokesmen can comment on it. we do know that female education is a sensitive, controversial issue amongst, let's say the most hard—line, most ultraconservative
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elements of the taliban. perhaps that is why we have had this sudden and unexpected u—turn. telling girls' schools they should close once again. we have some breaking news regarding this story from the secretary general of the united nations talking about the taliban's decision to suspend high school for girls. he said it was a profound disappointment and deeply damaging for afghanistan. disappointment and deeply damaging forafghanistan. he disappointment and deeply damaging for afghanistan. he went to say the denial of education not only violates the equal rights of women and girls to education, but i urge the taliban and authorities to open schools to all students without any further delay. you are watching bbc news. now on bbc news, your questions answered.
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with me is yael selfin, who is the chief economist at kpmg uk and danni hewson, a financial analyst at aj bell. thank you both, has been a lot for you to chew over this afternoon and we have quite a few questions from people who are obviously wondering how this announcement is going to affect them. let's start with the question, how will this announcement help reduce the cost of living for the average family?— the average family? there are a number of _ the average family? there are a number of things _ the average family? there are a number of things that _ the average family? there are a number of things that have - the average family? there are a| number of things that have been announced, cheaperfuel for number of things that have been announced, cheaper fuel for example, we have 5p less per litre on fuel. also lower energy bills that has been announced from october once the treasury discount will kick in. and then we also have less national insurance contribution to pay with
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the cat that is estimated at around £300 per household. —— the cat. some £300 per household. -- the cat. some measures peeple _ £300 per household. -- the cat. some measures people will _ £300 per household. —— the cat. some measures people will certainly feel but some of the measures depend on you being in work and earning the right amount of money. david and cardiff ask, what is the additional rise in income for someone who is on benefits, people scurrying around to see how they were mentioned. the? see how they were mentioned. they were not mentioned _ see how they were mentioned. they were not mentioned at all, we know universal_ were not mentioned at all, we know universal credit will go up by 3.1%, the level_ universal credit will go up by 3.1%, the level of— universal credit will go up by 3.1%, the level of inflation in september. that was— the level of inflation in september. that was announced in the autumn statement — that was announced in the autumn statement. there has been nothing else on_ statement. there has been nothing else on top— statement. there has been nothing else on top of that. the only thing people _ else on top of that. the only thing people will get extra is if they are earning. — people will get extra is if they are earning, still claiming benefits, but earning at all, they will get help because the change in threshold for national insurance. if they drive — for national insurance. if they drive a — for national insurance. if they drive a car, _ for national insurance. if they drive a car, they will get help
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because _ drive a car, they will get help because 5p a litre has been cut as welt _ because 5p a litre has been cut as welt they— because 5p a litre has been cut as well. they have already been a number — well. they have already been a number of _ well. they have already been a number of measures announced to help at the _ number of measures announced to help at the cost _ number of measures announced to help at the cost of— number of measures announced to help at the cost of living crisis, but people — at the cost of living crisis, but people will have already have factored _ people will have already have factored those in. the people will have already have factored those in.— people will have already have factored those in. the risk and increase household _ factored those in. the risk and increase household support i factored those in. the risk and l increase household support fund factored those in. the risk and - increase household support fund for people who are vulnerable, but that through the local authority and through the local authority and through your local council? yes. through the local authority and through your local council? yes, it is kind of like — through your local council? yes, it is kind of like a _ through your local council? yes, it is kind of like a food _ through your local council? yes, it is kind of like a food for— through your local council? yes, it is kind of like a food for those - is kind of like a food for those kind _ is kind of like a food for those kind of— is kind of like a food for those kind of bills and services for the people — kind of bills and services for the people who really need additional help _ people who really need additional help. but when you think about how much _ help. but when you think about how much energy prices are rising by an how much— much energy prices are rising by an how much the measures that the chancellor— how much the measures that the chancellor has already announced to help people with energy, and worth, an extra _ help people with energy, and worth, an extra £500 million for this household support fund, seems to be a tiny— household support fund, seems to be a tiny drop _ household support fund, seems to be a tiny drop in the ocean. but for the most — a tiny drop in the ocean. but for the most vulnerable, anything at all will be _ the most vulnerable, anything at all will be help. 5, the most vulnerable, anything at all will be help-— will be help. s, paolo asks, why hasn't the _ will be help. s, paolo asks, why hasn't the chancellor _ will be help. s, paolo asks, why hasn't the chancellor taxed - will be help. s, paolo asks, why. hasn't the chancellor taxed those giant profits energy companies have
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made? wholesale oil and has gone up at times, but they have posted some big profits, those companies that are still in business? the chancellor _ are still in business? the chancellor at _ are still in business? the chancellor at this - are still in business? the chancellor at this point i are still in business? the: chancellor at this point wasn't really looking to tax more, we already have corporation tax increasing quite significantly on the horizon. and finances were in a better shape, the horizon. and finances were in a bettershape, if the horizon. and finances were in a better shape, if you like. the purpose wasn't to increase taxation but to help households. the other thing we need to bear in mind is that especially now, with people trying to get more energy security in the uk, potentially increasing energy storage and becoming less vulnerable to global energy prices, what you do want is for energy companies to invest more and potentially by taxing them all, it makes it more difficult for them to invest more. energy companies have
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to deal with fluctuating global energy prices, so sometimes they earn more, sometimes they earn less as a result of it. overall, i think thatis as a result of it. overall, i think that is some of the reason why he chose not to take that move, which may potentially look popular in the short term, but not necessarily benefit the uk public in the longer term. ., ~ benefit the uk public in the longer term. . ,, i. benefit the uk public in the longer term. ., ~' ,, �* benefit the uk public in the longer term. . ,, ~ , ., ., term. thank you. a question from caroline, pensioners _ term. thank you. a question from caroline, pensioners cannot - term. thank you. a question from | caroline, pensioners cannot afford these high price rises, what is in place to support us?— these high price rises, what is in place to support us? there had been a hue call place to support us? there had been a huge call for _ place to support us? there had been a huge call for the _ place to support us? there had been a huge call for the government - place to support us? there had been a huge call for the government to i a huge call for the government to reintroduce the triple—lock, which they said — reintroduce the triple—lock, which they said they would freeze for this year back— they said they would freeze for this year back in the autumn. pensioners are going _ year back in the autumn. pensioners are going to— year back in the autumn. pensioners are going to see their pensions increased — are going to see their pensions increased by 3.1% injust are going to see their pensions increased by 3.1% in just a few weeks' — increased by 3.1% in just a few weeks' time, but when you consider that inflation is at 6.2%, that increase _ that inflation is at 6.2%, that increase is— that inflation is at 6.2%, that increase is going to get swallowed
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up increase is going to get swallowed up incredibly quickly. they will be helped _ up incredibly quickly. they will be helped by— up incredibly quickly. they will be helped by the measures that the chancellor has already announced and obviously _ chancellor has already announced and obviously if _ chancellor has already announced and obviously if they drive, they will be helped by that petrol cut. it would — be helped by that petrol cut. it would have come out at a percent if they take _ would have come out at a percent if they take into account earnings, which _ they take into account earnings, which many people hope they will do, but they— which many people hope they will do, but they are stuck with what they have _ but they are stuck with what they have got — but they are stuck with what they have not. , ., ., have got. yes, indeed. i earn a salary of _ have got. yes, indeed. i earn a salary of £23,000, _ have got. yes, indeed. i earn a salary of £23,000, says - have got. yes, indeed. i earn a salary of £23,000, says lee i have got. yes, indeed. i earn a l salary of £23,000, says lee with have got. yes, indeed. i earn a - salary of £23,000, says lee with a forecast of only a i% pay rise in october, i rent from a private landlord, rent, counciltax, water and food going up, i don't drive, how have i benefited from today's announcement?— how have i benefited from today's announcement? . ., ., ., ., announcement? thanks to the national insurance contribution _ announcement? thanks to the national insurance contribution threshold - insurance contribution threshold increases, from thisjuly, people will be able to earn £12,570 a year
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without paying income tax or national insurance, 6 billion personal tax cuts that is worth over £330 a year per person, essentially. so he will have something that will help a little bit, at least. thea;r help a little bit, at least. they will be £3000 _ help a little bit, at least. they will be £3000 extra _ help a little bit, at least. they will be £3000 extra in - help a little bit, at least. they will be £3000 extra in lee's l help a little bit, at least. they will be £3000 extra in lee's income that will not be subject to national insurance as it has been in the past. it was a bit of a surprise, because he said i am not raising it by £300, but £3000, which is a big leap. graham says, i am a carer, fuel is costing me £140 a week, my colleagues are resigning as they cannot afford this. will these changes significantly ease the cost?
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no, these changes will not significantly ease the cost. many people _ significantly ease the cost. many people were incredibly surprised there _ people were incredibly surprised there wasn't more help for people dealing _ there wasn't more help for people dealing with the cost, particularly of energy — dealing with the cost, particularly of energy. we do know people in band a and _ of energy. we do know people in band a and plan— of energy. we do know people in band a and plan b _ of energy. we do know people in band a and plan b will get the £150 rebate — a and plan b will get the £150 rebate in— a and plan b will get the £150 rebate in their council tax and that should _ rebate in their council tax and that should come to them if they pay by direct— should come to them if they pay by direct debit injust a few should come to them if they pay by direct debit in just a few weeks. they— direct debit in just a few weeks. they will— direct debit in just a few weeks. they will get in the autumn, an extra _ they will get in the autumn, an extra £200. the office for budget responsibility estimates there will be an— responsibility estimates there will be an additional £800 increase to a year in _ be an additional £800 increase to a year in the — be an additional £800 increase to a year in the cost of fuel for the average — year in the cost of fuel for the average family, that price cap limiting — average family, that price cap limiting the cost, come october. i think— limiting the cost, come october. i think a _ limiting the cost, come october. i think a lot — limiting the cost, come october. i think a lot of people are expecting that the _ think a lot of people are expecting that the chancellor will have to do more _ that the chancellor will have to do more when he gets to the budget in the autumn. he hasn't done that yet. there _ the autumn. he hasn't done that yet. there are _ the autumn. he hasn't done that yet. there are measures in place, as you said there _ there are measures in place, as you said there is — there are measures in place, as you said there is the household support fund it— said there is the household support fund if you —
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said there is the household support fund if you are particularly vulnerable. but at the moment, a lot of people _ vulnerable. but at the moment, a lot of people are waiting to see whether or not— of people are waiting to see whether or not the _ of people are waiting to see whether or not the chancellor does more in the autumn — or not the chancellor does more in the autumn-— the autumn. martin asks the question. — the autumn. martin asks the question. if— the autumn. martin asks the question, if you _ the autumn. martin asks the question, if you don't - the autumn. martin asks the question, if you don't drive, | the autumn. martin asks the - question, if you don't drive, how does this reduction in fuel duty help you? does this reduction in fuel duty hel ou? . ., , help you? the reduction in fuel duty is iioin to help you? the reduction in fuel duty is going to help _ help you? the reduction in fuel duty is going to help anyone _ help you? the reduction in fuel duty is going to help anyone who - help you? the reduction in fuel duty is going to help anyone who is - help you? the reduction in fuel duty is going to help anyone who is using transport, even if it is public transport, even if it is public transport, as well as indirectly through lower cost of products and services that we buy. because that will feed into the cost of services and producers overall. lynn asks, are there any _ and producers overall. lynn asks, are there any additional _ and producers overall. lynn asks, are there any additional support l are there any additional support measures for those with a disability or health conditions that affect their work? we know a lot of people who are in work claim in work benefits, not everyone who is in receipt of benefits is unemployed,
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by any means? t receipt of benefits is unemployed, by any means?— receipt of benefits is unemployed, by any means? i was looking through and the only — by any means? i was looking through and the only thing _ by any means? i was looking through and the only thing i _ by any means? i was looking through and the only thing i can _ by any means? i was looking through and the only thing i can find - and the only thing i can find something which came out of the autumn — something which came out of the autumn statement last year, the budget— autumn statement last year, the budget last year saying the chancellor was aware that there was significant _ chancellor was aware that there was significant issues and they were spending — significant issues and they were spending money supporting people with opportunities when and if needed, — with opportunities when and if needed, which included a 156 million targeted _ needed, which included a 156 million targeted scheme to provide extra work _ targeted scheme to provide extra work coaches. just in terms of the additional— work coaches. just in terms of the additional support for people, this was a _ additional support for people, this was a spring statement, this was about— was a spring statement, this was about taking us through the temperature of the economy. the additional— temperature of the economy. the additional measures that were put in place _ additional measures that were put in place to— additional measures that were put in place to try— additional measures that were put in place to try and help a little bit, the big — place to try and help a little bit, the big rabbit was very much this change _ the big rabbit was very much this change in — the big rabbit was very much this change in the threshold of national insurance — change in the threshold of national insurance and the announcement that next year— insurance and the announcement that next year we will get a tax cut. but unfortunately, just in terms of helping — unfortunately, just in terms of helping with the cost of living for people _ helping with the cost of living for people on— helping with the cost of living for people on benefits, or whether they have a _ people on benefits, or whether they have a disability, there wasn't any
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extra _ have a disability, there wasn't any extra meat — have a disability, there wasn't any extra meat there. this have a disability, there wasn't any extra meat there.— extra meat there. this could have been as small _ extra meat there. this could have been as small a _ extra meat there. this could have been as small a smaller - extra meat there. this could have l been as small a smaller statement than not been for what has been happening in the world, namely the impact of the russian invasion on ukraine and how that has affected oil and gasp prices and food prices around the world?— around the world? when we are talkini around the world? when we are talking about — around the world? when we are talking about the _ around the world? when we are talking about the 6.2% - around the world? when we are talking about the 6.2% inflation | talking about the 6.2% inflation figure. — talking about the 6.2% inflation figure, which was announced today, that is— figure, which was announced today, that is from — figure, which was announced today, that is from february. that doesn't take into _ that is from february. that doesn't take into account anything that has happened — take into account anything that has happened. it doesn't take into account— happened. it doesn't take into account the price hikes in energy, the price — account the price hikes in energy, the price cap in a few weeks' time, but it— the price cap in a few weeks' time, but it also— the price cap in a few weeks' time, but it also doesn't take into account— but it also doesn't take into account those rising oil prices because — account those rising oil prices because of what has happened with russia _ because of what has happened with russia and ukraine, the sanctions. and the _ russia and ukraine, the sanctions. and the rising food prices, things like grain, — and the rising food prices, things like grain, oil, all of those things we brought in heavily from the ukraine — we brought in heavily from the ukraine and they are rising. we have also had _ ukraine and they are rising. we have also had issues with supply chains and this— also had issues with supply chains and this is— also had issues with supply chains and this is something i think the government is going to have to look at again—
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government is going to have to look at again in— government is going to have to look at again in the autumn. right now, we're _ at again in the autumn. right now, we're just— at again in the autumn. right now, we're just looking at that are filtering _ we're just looking at that are filtering through because the world has woken up after covid and we have had those _ has woken up after covid and we have had those issues with the needing additional oil to get things going again _ additional oil to get things going again. but clearly, the cost of living — again. but clearly, the cost of living is — again. but clearly, the cost of living isjust going to get harder and in _ living isjust going to get harder and in fact, they office for budget responsibility were saying it was the greatest drop in the cost of living _ the greatest drop in the cost of living that people would experience since records began. that is 50 years — since records began. that is 50 years it— since records began. that is 50 ears. ., , since records began. that is 50 ears, ., , ., ., since records began. that is 50 ears. ., ., ., years. it was at that point we were su osed years. it was at that point we were supposed to _ years. it was at that point we were supposed to see — years. it was at that point we were supposed to see a _ years. it was at that point we were supposed to see a bounce - years. it was at that point we were supposed to see a bounce back - years. it was at that point we were i supposed to see a bounce back after the world close down after the pandemic, as was just mentioned. the world close down after the pandemic, as wasjust mentioned. how fair is it for the chancellor to expect us to swallow the idea that it is ukraine that has tipped us towards these difficulties, rather than the pandemic and also the impact of brexit?— than the pandemic and also the impact of brexit? than the pandemic and also the im act of brexit? . , ., impact of brexit? ultimately, we are ex-iectin impact of brexit? ultimately, we are exoecting the _ impact of brexit? ultimately, we are expecting the crisis _ impact of brexit? ultimately, we are expecting the crisis in _ impact of brexit? ultimately, we are expecting the crisis in ukraine - impact of brexit? ultimately, we are expecting the crisis in ukraine and i expecting the crisis in ukraine and russia to have an impact on
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inflation and as well to make supply chain pressure is stronger. we have also had an increase in infection and new lockdowns in china, that will impact supply chains are yet again. we are not out of the woods, even when you look at covid. but ultimately, especially when it comes to covid, we are definitely out of the woods to a large degree barring any major surprises. it's the main issue we have in the uk, looking at the medium to longer term outlook and trying to see how we can become much more productive, how we can actually raise growth. more significantly, the obr focus today, relatively optimistic about the forecast for the uk economy from next year onwards, with all the headway we had with corporate tax
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going up and quite a lot of the pressure on consumer spending as well, we are not expecting growth to be that strong and we would need something to increase investments and improved for activity in the uk going forward, regardless of all of these headwinds. i think the chancellor still has quite a lot that he needs to deal with in the autumn statement. he said he is going to try and bring measures to encourage business investment and innovation. i think this is really important. things about net zero, about supporting the levelling up agenda that had been seeing the light in big measures, he will need to tackle. , ., ., l light in big measures, he will need to tackle. , ., . ., to tackle. gary asked, how much more ressure to tackle. gary asked, how much more pressure for — to tackle. gary asked, how much more pressure for the _ to tackle. gary asked, how much more pressure for the nhs _ to tackle. gary asked, how much more pressure for the nhs be _ to tackle. gary asked, how much more pressure for the nhs be under - to tackle. gary asked, how much more pressure for the nhs be under with - pressure for the nhs be under with the increased cost of living and will the national insurance increase we urge you to sea, which is supposed to be given to health and
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social care, really make? the increase will _ social care, really make? the increase will make _ social care, really make? the increase will make a - social care, really make? tts: increase will make a significant contribution. it is around 12 billion a year that is budgeted from higher taxes. that will make a difference, but even with that, we are expecting the nhs to still be under some strain and therefore it is potentially the end of the amount of money we will need to increase for nhs spending in future. it of money we will need to increase for nhs spending in future.- for nhs spending in future. it has been really _ for nhs spending in future. it has been really useful— for nhs spending in future. it has been really useful having - for nhs spending in future. it has been really useful having you - for nhs spending in future. it has been really useful having you here to explain some of this. these statements can make your head spin, can't they? thank you both for answering our questions. well after making his spring statement this afternoon, the chancellor rishi sunak has been
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in south london — and was asked what today's announcements will do for those on low incomes and universal credit. as we have done for throughout the last few years we will stand by people and particularly those most vulnerable in our society. that is why we improve the generosity of universal credit, we cut the tape array, rewarding those in work and making sure they could keep more of what they earn whilst on universal credit. today we announced half a billion of extra funding for local councils to support those most vulnerable in their areas. the best way to help people on welfare over time is to support them to get into work, i am glad there are record numbers ofjob vacancies and unemployment is back to the low levels before the pandemic. for eve one levels before the pandemic. for everyone in _ levels before the pandemic. for everyone in or _ levels before the pandemic. for everyone in or out of work, they face the biggest squeeze on living standards since records began in the 19505. i wonder how you felt when you saw that figure from the obr and
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whether you think you can do any more for those people? hate whether you think you can do any more for those people?— whether you think you can do any more for those people? we are facing the same challenges _ more for those people? we are facing the same challenges that _ more for those people? we are facing the same challenges that many - the same challenges that many countries around the world are facing and that is rising prices and high inflation. inflation he is running lower than it is in america, similar to what is happening in the euro zone. there is uncertainty ahead but i cannot protect everyone against the full impact against those global challenges. but where we can make a difference, of course well and that is why the policies announced today are a significant intervention. they will put billions of pounds back into the pockets of hard—working british families. it presents the biggest net cut to personal taxes in over a quarter of a century. we personal taxes in over a quarter of a centu . ~ ., ,, ., personal taxes in over a quarter of acentu .~ ., ,, ., personal taxes in over a quarter of a century-— personal taxes in over a quarter of acentu .~ ., ,, ., ., ., a century. we all know you want to be a tax-cutting — a century. we all know you want to be a tax-cutting chancellor, - a century. we all know you want to be a tax-cutting chancellor, but. be a tax—cutting chancellor, but your income tax cut doesn't come in for two years and you are raising the national insurance threshold. national insurance is something that is going up. the overall burden is going up, against maybe what are
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your instincts? irate going up, against maybe what are your instincts?— going up, against maybe what are your instincts? going up, against maybe what are our instincts? ~ ., ., . ., ., your instincts? we announced today a historic rise — your instincts? we announced today a historic rise in _ your instincts? we announced today a historic rise in the _ your instincts? we announced today a historic rise in the national _ historic rise in the national insurance threshold which discovers a tax cut for 30 million people, with £6 billion. it is the biggest tax cut in a decade, a typical worker will be £330 better off as a result of our policies. 70% of workers will pay less tax, even accounting for the new levy and we have also announced the first income tax cut in over 16 years to come in in 2024 when the economic picture has improved. i intend to deliver on that and this is a conservative government putting billions of pounds back into the pockets of hard—working british families. now it's time for a look at the weather with chris fawkes. we are in the middle of a prolonged run of dry weather, lots of spring sunshine around in temperatures well above where they would often be at this time of year. this is a picture
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from earlier today, the highlands showing the sunshine. most of us have enjoyed skies like this, not just in the uk but across a broad sweep that covers most of europe at the moment. the reason we clear skies in place is down to this area of high pressure and over the next few days, although most of our weather systems work in from the west, this one will be pushing against the usual flow of traffic and eventually it is going to get to the west of the uk into next week. once it has done that they will pull in these much colder northerly winds. that is into next week and you will see a big drop in temperatures. spring is a fickle season, so don't get used to the warmth just yet. overnight we will keep the clear skies for most of the uk. a few mist and fog patches developing and another chilly night with patchy frost developing in rural areas where temperatures dip below freezing for a time. tomorrow a similar day on the cards. plenty of sunshine from dawn to dusk and
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today, the sunshine is likely to be hazy at times. it is going to be very warm for the time of year. temperatures peaking at 20 celsius but a word of warning, across eastern areas in particular, we are starting to see high or even very high levels of air pollution. partly caused by the air coming from europe. we are adding to the pollution, but the high pressure has something to do with it. to get the air mixing and for those pollutants to disperse through the atmosphere, you need temperatures above 90 celsius and we don't have that for any length of time. instead of the pollutants disbursing and concentrated in the lowest one or two kilometres of the atmosphere. you will have hazy sunshine and a lot of dry weather and sunshine. some of you, high levels of pollution. temperatures still in the high teens and if not the low 20s for friday. more of the same through
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saturday and sunday. it is into next week we see a massive drop in temperatures on the way. there will be some showers around, it could be wintry over the higher ground in northern scotland, as well as that, frost will be more widespread. spring is a fickle season and don't get used to the spring sunshine just yet, it will be turning colder next week. that is the latest.
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this is bbc news. the headlines. as the cost of living rises at the fastest rate in 30 years, the chancellor announces new measures to soften the blow, including a 5p cut in fuel duty. a hike in national insurance tax will go ahead from april, but the threshold for the amount people need to earn before they start to pay it will also rise. the chancellor defended his measures, and said a cut in income tax will happen before the end of 2024. my will happen before the end of 2024. tax plan delivs to my tax plan delivers the biggest cut to personal taxes in over a quarter of a century, and i commend it to this house! the truth is people can no longer afford _ the truth is people can no longer afford the — the truth is people can no longer afford the conservatives. working
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