Spring Statement: mayor Andy Burnham says people on benefits and without a car ‘forgotten’ by Government

People on benefits, the disabled and those who cannot afford a car have been forgotten in Rishi Sunak’s Spring Statement, Greater Manchester Mayor Andy Burnham has said.

Mr Burnham welcomed the measures announced by the Chancellor today (23 March), saying they will “clearly benefit many people”.

Mr Sunak announced a cut to fuel duty of 5p per litre, a tax cut on energy saving household installations and targeted help for poorer households from April.

He also announced that the national insurance threshold would increase from July so that people will not be taxed on their earnings of up to £12,570 a year.

However, Mr Burnham said that Mr Sunak decided against supporting some of the people who are most at risk from the cost of living crisis in the mini-budget.

What was Mr Burnham’s reaction to the Spring Statement?

Mr Burnham said: “I listened carefully, but I didn’t hear that there was any real help being provided for people on benefits, people who have that low fixed income – disabled people, older people, families on out-of-work benefits.

“They are already people who are most at risk from the cost of living crisis because their income is low and fixed.

“But, beyond a small move towards more discretionary funding for local authorities, I did not hear significant support for people in that position.”

The metro mayor said he is not opposed to cutting fuel duty, but questioned why the Chancellor has “prioritised” motorists while not doing much to help people who cannot afford to run a car and are reliant on public transport.

He cited “significant” increases to bus and rail fares in the city-region recently.

The Labour mayor questioned how committed the government is to “levelling up” as Greater Manchester waits for further funding to support bus services.

He added: “If you look at the North of England, what you will find is there are more people living here who can’t afford to run a car and are reliant on public transport. But there are also more people who are dependent on benefits for their income – either in-work or out-of-work benefits.

“Therefore, if you take those two factors and put them together and you consider what the Chancellor’s announced, you can’t come to anything other than the conclusion that this is a package that won’t close regional inequality and possibly could see it widening over the course of this year.”

What is Mr Burnham doing about the cost of living crisis?

Mr Burnham promised that he would be bringing forward his own package of measures to support people – particularly those on the lowest incomes.

This includes boosting the No Child Should Go Hungry campaign and creating a ‘data bank’ offering digital connectivity for those who are lacking access.

He revealed that Greater Manchester is working with “big tech companies” to support this scheme with more details expected to be announced next month.

And he reaffirmed a commitment to retaining A Bed Every Night at its current level of 600 places per night for the next three years to tackle homelessness.

The Greater Manchester mayor stood by his council tax increases, saying the move will help reduce bus fares, which he has pledged to cap at £2 for adults.

He said the hike would also help the fire service prepare for terrorist attacks.