A 3.1% increase in the state pension and various benefits has taken effect, but charities warn it is insufficient to address the rising cost of living. Official figures show prices are rising twice as fast, with inflation expected to accelerate further, reaching nearly 9% later this year due to higher energy costs.
The government acknowledged the difficulties faced by households and highlighted support worth £22bn, including fuel duty cuts and energy bill assistance. However, critics argue that the benefit increase, based on last September's inflation rate, fails to reflect current pressures. The temporary suspension of the pension 'triple lock' has also drawn criticism, though ministers pledged to reinstate it in future years.
Individuals like Collette, a mother-of-two on universal credit, report that rising gas and electricity bills are consuming their income, leading to debt. Similarly, Andrew McIntyre, 57, struggles to cover rent and heating, relying on food charities. Citizens Advice chief executive Dame Clare Moriarty called for benefits to be raised in line with current inflation to prevent further hardship.
The government defended its approach, stating that benefits are uprated by the usual measure of September's inflation. If inflation remains high in September 2022, benefits could see a significant increase in April 2023. Meanwhile, the Scottish government has implemented a 6% rise in eight devolved benefits from 1 April.
