In response to the rising cost of living crisis, PM Liz Truss’ new government has announced an emergency ‘mini-budget’. The new budget announced as part of Chancellor Kwasi Kwarteng’s “Growth Plan” aims to boost the economy by cutting taxes, which many have characterised as relying on ‘trickle down economics’.
For those claiming Universal Credit and low earners, the tax cuts will make no difference to their current income, with those earning under £12,576 continuing to be exempt from National Insurance contributions, and the tax threshold announced in July staying the same.
Those earning over £100,000 per year will see around £1800 per year further take-home pay and those with enough deposit saved to get on the property ladder will benefit from a cut in stamp duty. However, for those sleeping on the streets and the even larger number who are without a home, there was no mention in the mini-budget. As energy prices and cost of living soar, many low-income families face real fear this winter.
Mayday Trust, a national charity supporting people through tough times such as homelessness, have responded to this news.
“Sadly, the disaster of becoming homeless is no longer a rare occurrence. The stark reality is that we live in an age of homeless wage-earners, students and women fleeing domestic abuse.
We can find no help or hope in the mini-budget for people with no roof tonight.” Alex Fox CEO