Wednesday's Budget will freeze fuel duty again, the BBC understands, and remove import tariffs on 100 food items. Chancellor John Healey presents the small measures as part of a pledge to give families "breathing space" with the cost of living, while the Conservatives say the changes had already been wiped out.
The government will freeze fuel duty again in Wednesday's Budget, the BBC understands. The 5p duty discount is also set to continue.
That discount was first introduced in 2022 and was due to last 12 months, but has been extended ever since.
Food tariffs and household support
Removing tariffs from 100 food items could save households up to £21 per year when combined with existing tariff suspensions introduced in June, according to the government. The list includes garlic, gherkins, boiled sweets, plant-based drinks, kerosene and fertilisers.
However, the food measures are only part of a series of small announcements. The government will make permanent a 55p per mile tax-free mileage rate for those driving up to 10,000 miles for work, and it plans to replace the carer's allowance cliff-edge with a taper mechanism. Self-employed fathers will get two weeks of paternity pay, having previously missed out on payments of up to £194 a week.
Healey said the ongoing wars in Iran and Ukraine had hit families through higher everyday costs.
Minimum wage report and Conservative response
The Times reports that the government may slow pay increases for 18 to 20-year-olds on the National Minimum Wage. Pay for that group is likely to rise 3.9%, from £10.85 an hour to around £11.27, according to the Times. The National Living Wage for over 21-year-olds, currently £12.71 an hour, is set to rise by 3.9% to £13.20, the Times said.
Conservatives said Burnham's everyday fixes had already been wiped out by higher borrowing costs, taxes and inflation. Shadow chancellor Andrew Griffith called the plan an insult to families.
Source: BBC News
Trading involves risk.
Risk Disclaimer
