Newcastle Lib Dems condemn Budget that “isn't listening” to struggling communities

The Government was elected on a promise to tackle the cost of living crisis and grow the economy. This is the second Budget in a row where it has failed to do either. After weeks of leaks and constant public changes of direction, it has already been labelled an omnishambles.

For millions of people facing higher bills, the Budget offers nothing but more tax rises from a Chancellor who recognises the problem but refuses to act on it.

The Government still has no plan to repair our broken relationship with Europe which remains the single biggest opportunity to boost economic growth. A proper deal with Europe with a new customs union at its core would cut costs for businesses, grow the economy and help ease the cost of living crisis.

Boris Johnson’s Brexit deal continues to damage the UK economy costing the Treasury an estimated £90 billion a year. The Liberal Democrats argue that this money could have supported families today if the Chancellor had begun fixing those Brexit costs.

Instead the Government has delivered a Budget that ignores the biggest economic challenges of our time and once again fails to meet the needs of Newcastle City Council.

Cllr Colin Ferguson the Leader of the Liberal Democrats on Newcastle City Council said:

“Taxpayers will understandably expect that the levy on higher value houses which the Council will collect alongside Council tax will be used to support local services.

“The reality will be very different which will only deepen dissatisfaction with the current council tax system and further threaten the stability of local government.

“I welcome the decision to tax large online gambling companies more fairly. Scrapping the two child benefits cap as we have repeatedly called for at Full Council will lift children out of poverty and save taxpayers money in the long run.

“I am also relieved to see some action to lower energy bills although it still falls far short of what is needed. Britain needs a genuine plan to cut bills by investing in renewables and insulating homes not the approach of the Conservatives and Reform who pretend scrapping climate commitments will help when it would in fact raise bills and reward Vladimir Putin.

“For our City Centre local high streets and small businesses there was almost nothing to give hope. Our call for an emergency VAT cut for hospitality has once again been ignored.

“I am deeply disappointed by how little support this Budget offers to the millions of family carers who keep our NHS and society going. We urgently need a cross party plan to fix social care because without it the NHS will not recover.

“A caring society a growing economy a plan to cut household bills boost our high streets and rebuild ties with Europe is the vision the Liberal Democrats have set out and it is the plan the Chancellor should have brought forward today.

“Instead we have been given a high tax low growth Budget from a government that is simply not listening to communities like our great city of Newcastle.”