Solihull Conservatives are calling on the opposition to withdraw their Full Council Motion on the Cost-of-Living crisis; this politically charged motion calls for a VAT cut and the establishment of a Cost of Living Emergency Summit. But the Conservatives claim that this will benefit the most well off more, and actually reduce the money available to support the poorest in society.
Cllr Ian Courts says ‘These are difficult times for our residents and it’s absolutely right that as a Council we do all that we can to help. But this motion merely aims to score political points - it does not deliver what our residents need at this time. A VAT cut actually benefits those on higher incomes more as they spend more of their income on VATable products, and any cut will cost the treasury money in lost revenue. If the Government did consider a VAT cut we hope it would be accompanied by other measures to balance out the benefit. As for a local Cost of Living Summit - this is a national crisis: we need practical solutions not local talking shops.’
The government has committed to providing £37 billion of cost of living support this year, with those on lower incomes receiving the most help. £15 billion of this was announced in the Chancellor’s spring statement - with twice as much going to households in the bottom half of the income distribution compared to households in the top half. This latest announcement means that for the poorest households 93% of energy bill increases will be offset.
Cllr Courts continues ‘What is most disappointing is that this motion does not acknowledge the hard work being done locally by our Council. Whilst much of this support needs to come from national government, and there is always more that can be done, Conservative led Solihull Council are supporting local residents where it is possible. Our Council officers processed council tax energy bill rebates very promptly; and we quickly set up our own discretionary energy rebate scheme as soon as government funds were available. Our Climate Change Agenda will help residents reduce their reliance on fossil fuels and we’re leading the way with retrofitting projects to reduce energy bills such as the current scheme providing grants in Elmdon.
The rising cost of living is a national crisis driven by international factors; we should be identifying what practical ways we as a Council can support the people of Solihull, whilst continuing to lobby for more support where it is needed. I’m calling on the Lib Dems to stop playing politics and instead get behind our policies which are delivering for our residents’.
Ends.