Cost of Living: Out of Touch Chancellor

(August 12, 2013)

Cameron & Osborne Laughing

People in Walton are sick to the back teeth of hearing David Cameron’s “Not me Guv” excuses. People are worse off today than in May 2010 and that is a fact unlikely to change until at least 2017, because of his failed economic plan.

Cameron and George Osborne have consistently refused to take responsibility for how their actions have impacted on living standards. 

In June last year George Osborne blamed “rising global prices” for the rising cost of living facing families and claimed that the Tory-led Government would do “everything we can to help”.

I sat in the House of Commons as the Chancellor said, “Rising global prices have increased the cost of living for families here in Britain. This coalition Government will do everything we can to help.”

Yet people in Liverpool are still out of pocket. Inflation in Britain has been higher than our G7 competitoes according to the OECD. This is something Boy George doesn’t like to remind us of. 

In fact, the Tories and Lib Dems try to tell us that we have never had it so good and that families are doing well out of the Government’s economic policies.

I don’t need to tell you that thousands upon thousands of families in Liverpool Walton would beg to differ with Osborne when he told The Times newspaper that “Government policies really can make a difference to who benefits from this recovery. Consider some other official statistics released in recent weeks: inequality is at its lowest for 25 years and disposable incomes grew by 1.4 per cent above inflation last year despite the squeeze, the fastest for three years.”

Polling conducted by YouGov on behalf of the Labour Partyvii shows:

  • 70% believe recent improvements in the economy have not benefited middle and lower income families, with just 10% saying they have.
  • 81% believe that over the last year prices have grown faster than household incomes. Just 3% (and only 1% of women) believe that household incomes have grown faster than prices.
  • And 81% believe that politicians who say household incomes have grown faster than price rises, as George Osborne claimed last month, are “out of touch”.

But not only does Osborne’s claim jar with the reality of most people’s lives, it is also deeply misleading. The most recent figures show that real household disposable income actually fell by 1.7% in the latest quarter – the biggest fall since 1987.

LIVING STANDARDS - hardworking people worse off

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