What's happened
As of December 2024, the UK grapples with a cost of living crisis, marked by inflation rising to 2.3% in October. Labour's first Budget aims to support households, but many face bleak economic realities, including rising poverty rates and cuts to winter fuel payments for pensioners.
Why it matters
What the papers say
According to The Independent, the UK is facing a severe cost of living crisis, with inflation rising to 2.3% in October, the highest in two years. Labour's first Budget aims to alleviate some of these pressures, with Chancellor Rachel Reeves promising a 6.7% increase in the national living wage. However, the Joseph Rowntree Foundation warns that without further action, poverty rates could rise significantly by 2029. In contrast, the South China Morning Post highlights that while household income in Singapore has increased, the rising costs of housing, food, and healthcare are outpacing income growth, suggesting a global trend in rising living costs. This indicates that while some governments are attempting to address these issues, the effectiveness of their measures remains to be seen.
How we got here
The UK has seen a significant rise in household bills and inflation, with costs outpacing wage growth. Recent government measures, including Labour's Budget, aim to address these issues, but challenges remain, particularly for low-income households.
More on these topics
-
Rachel Jane Reeves is a British Labour Party politician serving as Shadow Chancellor of the Duchy of Lancaster and Shadow Minister for the Cabinet Office since 2020. She has been the Member of Parliament for Leeds West since 2010.
-
Labor-Gesher was a joint list of the Israeli Israeli Labor Party and Gesher parties for elections for the twenty-second Knesset. The list advocated social democracy and progressive taxation. The list's platform focused primarily on socio-economic issues.