Gateshead Council is urging the Government to do more to tackle the cost of living crisis and help struggling families.
The motion was proposed by Gateshead Liberal Democrats and received unanimous support from across the chamber by the Labour Party after they added further requests. The council acknowledged several key factors impacting the lives of Gateshead residents.
Factors include Ofgem increasing the energy price cap by 54% in April of this year and the Government’s scrapping of the pensions 'triple lock' - meaning pensioners could stand to lose hundreds of pounds.
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The motion calls upon central Government to reduce the standard rate for standard VAT to 17.5% with the aim of saving an average household up to £600 and to reintroduce the triple lock on pensions. They also wish to see the £20 Universal Credit supplement, which was stopped in September 2021, be reintroduced.
The council has called for a windfall tax for energy companies, an increase to universal credit, scrapping the child benefit cap, and extending free school meals to all children whose families are on state benefits whether working or not.
Liberal Democrat councillor for Dunston Hill and Whickham East, Vicky Anderson said: “Inflation, national insurance, and the cost of food and household bills, these are rising faster than household income, as we know. Rising prices are not just in the headlines, it’s real life and it's in people’s homes.
“It’s 2022 and yet people that we all represent are having to choose to either heat their home or feed their family. Surely this has to be one issue were we can come together and agree this is not a crisis its an emergency.”
“This cost of living emergency impacts every ward every community and every person we as a council represent, especially people on lower incomes. People are already struggling to make ends meet, but with the energy prices predicted to go up again by 64% in October another 4% in January, it really going to be a bleak winter in our communities. Our residents deserve better than that.
“This Tory government has failed the people of Gateshead. Whilst the Tories fight amongst themselves for the keys to No 10, residents in Gateshead are struggling to feed their families, fill up their cars, and heat their homes and I think all of us in this room have spoken to people in our wards and seen the impacts in real time.”
Although the motion was carried unanimously, it was not without some contention from Labour councillors.
Bridges Labour councillor John Eagles said: “I welcome this motion but that party over there is partly to blame for this. They went into coalition with one of the most rabid governments ever on the 11th May 2010 and that is where the cost of living crisis started for an awful lot of people in this country."
A Department of Work and Pensions spokesman said: “We recognise people are struggling with rising prices which is why we are protecting the eight million most vulnerable families with at least £1,200 of direct payments this year. All households will receive the £400 energy payments and 80% will get a £150 Council Tax rebate.
“Through our £37bn support package we are saving the typical employee over £330 a year through a tax cut this month and allowing people on Universal Credit to keep £1,000 more of what they earn, while in April we significantly increased the National Living Wage to £9.50.
“We have also expanded access to free school meals more than any other Government in recent decades and the Holiday Activities and Food programme, which is funded by £200 million a year, provides heathy meals, enriching activities and free childcare places to children from low-income families, benefiting their heath, wellbeing and learning during the holiday
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