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Truss and Hunt told to end anxiety over universal credit, pensions and benefits as inflation hits 40-year high

PM faces further blow to her authority as Braverman quits Home Office

PRIME MINISTER Liz Truss and Chancellor Jeremy Hunt were urged today to end the anxiety over universal credit, pensions and benefit payments after inflation returned to a 40-year high.

And Ms Truss faced further blows in her authority in Commons as Suella Braverman resigned as home secretary today, with former transport secretary Grant Shapps reportedly in line to replace her.

The Office for National Statistics (ONS) said consumer prices Index (CPI) inflation reached 10.1 per cent in September, up from 9.9 per cent in August and higher than expert predictions.

The increase was driven by food prices, leaping by 14.5 per cent compared with the same month last year, representing the largest annual rise since 1980, according to the ONS.

Housing and utility costs leapt by 20.2 per cent against the same month last year.

In May, the government said benefits would be uprated by this September’s CPI but reports have suggested that benefits could instead go up in line with the average increase in workers’ pay.

TUC general secretary Frances O’Grady said that the government must make sure every family can afford food and heating, but added that “millions of people are already skipping meals and turning off the heating.

“Yet the Prime Minister and Chancellor still refuse to confirm that universal credit, pensions and benefits will keep up with inflation,” she said.

“It is no wonder so many working people are seeking higher wages and taking action to win fair pay deals.”

Shadow chancellor Rachel Reeves said the latest inflation figures will “bring more anxiety to families worried about the Tories lack of grip on an economic crisis of their own making.”

She said: “This is a Tory crisis, made in Downing Street and paid for by working people.”

The Joseph Rowntree Foundation chief economist Rebecca McDonald said: “It is morally indefensible that the government should still be considering leaving people with even less ability to pay for what they need, when their own party pledged to make sure the value of benefits keeps up with prices only months ago.

“The Chancellor has it in his power to assuage the fears of millions, by confirming today that benefits will be uprated in full and ahead of April.”

Save the Children’s Becca Lyon and Child Poverty Action Group chief executive Alison Garnham called for an uprate to benefits in line with inflation immediately and targeted support for the most vulnerable.

“Parents we support have broken down in tears when opening their empty cupboards, and many have taken drastic measures — including skipping their own meals — to feed and clothe their children,” Ms Lyon said.

“Being warm should not be a luxury but this is the reality for 15 million households forecasted to be in fuel poverty by the beginning of next year.”

In the Commons, MPs confronted Ms Truss on indications by Downing Street that the pension triple lock plan could be abandoned and expressed challenges to her role.

The triple lock guarantees the state pension will increase in line with the highest figure of average earnings, inflation or 2.5 per cent.

Ms Truss “guaranteed” that her government will be increasing pensions in line with inflation despite the comments from her spokesman a day earlier but refused to give the same commitment to benefits.

The PM faced pressure from the opposition and her own MPs to reveal the government’s policies on benefits.

Tory MP William Wragg confirmed he has submitted a letter of no confidence in Ms Truss as PM.

His colleague Steve Double welcomed the commitment to the triple-lock on pensions, adding “we must do a similar thing for benefits now, it’s absolutely vital.”

Labour leader Sir Keir Starmer threw the PM’s policy U-turns at her as he read out a list of her dropped economic policies, echoed by a chorus of his MPs chanting “gone” after each one.

He added: “Economic credibility — gone. And her supposed best friend the former chancellor [Kwasi Kwarteng], he’s gone as well.

“They’re all gone. So why is she still here?”

Sir Keir accused the government of having “crashed the economy,” adding: “And she’s admitted it’s her fault. She shouldn’t have conducted an economic experiment on the British public.”

Ms Braverman said she resigned after a “mistake” surrounding sending an official document from her personal email, as she criticised the “tumultuous time” under Ms Truss.

Sources have said the move was at the request of Mr Hunt amid rumours he had taken the reins of the government.  

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