The British government has announced a series of modest handouts aimed at easing the cost-of-living squeeze, including cheaper chocolate and discounted entry to theme parks and zoos. Treasury chief Rachel Reeves unveiled the measures on Thursday as part of efforts to alleviate rising costs sparked by the Iran war.
Key measures include a reduction in import tax on cookies, chocolate and about 100 other supermarket products. The government has also postponed a planned increase in fuel duty and given truckers a yearlong reprieve from road tax to offset soaring gasoline prices due to the effective closure of the Strait of Hormuz.
To boost the summertime economy, Reeves announced free bus travel for children in August and a cut in tax on tickets for attractions such as zoos, theme parks and museums from 20% to 5%. However, she did not commit to broader support for household heating bills.
Reeves said she would pay for the cost-of-living support by closing tax loopholes for oil and gas companies with overseas operations. 'This summer I want every family to be able to enjoy themselves,' she said, adding that her economic plan was the right one to protect households and businesses.
The announcements come as Prime Minister Keir Starmer faces a leadership challenge within the Labour Party after disastrous local election results. Greater Manchester mayor Andy Burnham is aiming to win a seat in Parliament in a June 18 special election and then challenge Starmer for the prime minister's job. Starmer insists he will not resign and will fight for his position.
