Cost of living increase
A recent article rom the BBC has suggested that millions now have no savings as prices soar
A quarter of UK adults have less than £100 set aside in savings, a survey suggests, leaving them vulnerable to rising and unexpected bills.
The lack of a financial safety net means many have to borrow money to cover any extra costs, creating greater anxiety about their plight.
This latest survey of 3,000 people found that 17% – or one in six – of those asked held nothing in savings. Another 5% had less than £50 and a further 4% had between £50 and £100 set aside.
If those figures reflect the UK as a whole, then millions of people will have little or nothing as a savings buffer.
Today it was announced that there would be an increase cost of £900 living payment for millions of people.There will also be £300 for pensioners and £150 for those on disability benefits
The Chancellor told MPs that “for the most vulnerable we will introduce additional cost of living payments next year, of £900 to households on means-tested benefits; £300 to pensioner households; and £150 for individuals on disability benefit.
Mr Hunt also said he had accepted a recommendation to increase the national living wage by 9.7%, making the hourly rate £10.42 from April 2023. He also announced that he would increase working age and disability benefits in line with inflation, with a rise of 10.1%, costing £11 billion.
The Chancellor said he will increase state pensions in line with inflation in April, announcing the “biggest ever cash increase in the state pension”.