Unions urge more help from Government as inflation still ‘painfully high’

Unite general secretary Sharon Graham said prices are still rising at a ‘punishing’ rate.

Alan Jones
Wednesday 18 October 2023 05:57 EDT
The cost-of-living crisis is heading into another winter (Dominic Lipinski/PA)
The cost-of-living crisis is heading into another winter (Dominic Lipinski/PA) (PA Wire)

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Unions warned that inflation is still “painfully high” as industrial disputes continue to be fuelled by the ongoing cost-of-living crisis.

Unite general secretary Sharon Graham pressed for action from the Government to help workers and their families through another winter of struggling to cope with rising bills.

She said: “As the cost-of-living crisis nears its second winter, millions of people face the prospect – yet again – of choosing between heating and eating.

“Headline inflation is still painfully high. In the real world, prices are still rising at a punishing rate.

“For all his talk about ‘tough choices’, the Prime Minister has failed to make the obvious one – it is time to help out ordinary people by taxing the excess profits of the businesses lining their pockets at our expense.”

The UK is teetering on the brink of recession, with employment falling as companies scramble to cut costs

Paul Nowak, TUC

TUC general secretary Paul Nowak said: “Bills and prices are still going up – just a bit more slowly than they were a year ago.

“While other countries have acted decisively to reduce cost-of-living pressures, working families and businesses here remain seriously under the cosh.

“The UK is teetering on the brink of recession, with employment falling as companies scramble to cut costs.

“The Conservatives’ lack of a credible economic plan is costing us dear. Britain cannot afford the Tories.”

The TUC said its analysis showed the UK has the highest rate of inflation in the G7 group of countries.

High profile disputes remain unresolved, including on the railways, NHS and in higher education.

Paddy Lillis, general secretary of the shop workers’ union Usdaw, said: “The Chancellor’s assertion yesterday that ‘people have more money in their pockets’ shows that he is totally out of touch with the real lives of workers.

“Claims that wage growth is outstripping inflation can only be made if compared with a fundamentally flawed measure of price rises.

CPI does not reflect the price increases most people experience – RPI is a much better measure and that remains higher than average wage growth. Even under the flawed CPI measure, wage growth was only marginally higher, which is no compensation for over a decade of real terms income cuts.”

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