Rishi Sunak’s Spring Statement has been criticised by experts who warn 1.3million Brits, including half a million children, will be sent into poverty.
Around 22 million households will see their energy bills soar in the coming weeks. Average energy bills will rise by £693 a year when the price cap is changed on April 1. In the same week, National Insurance will rise from 12% to 13.25%, the student loans repayment threshold will freeze and record inflation is set to hit grocery bills.
The ECHO asked people in the city for their views on the crisis. Sarah Lovelock, owner of Lovelock's café in the city centre, shared her concerns with us from a business perspective, she told the ECHO: "I am very nervous, everyone is reporting on it. I know it is happening and I can see the prices increasing which is quite terrifying."
READ MORE: Energy bills to rise by £693 as new price cap confirmed
She added: "Now it is all over the news. I know it is happening and I am really scared. Petrol is increasing that is affecting me, and of course it is going to affect my suppliers.
"I have already had to raise my prices and release a new menu, because I know minimum wage is going up, but I always want to pay more than minimum wage, so I need to go up again. I am happy to do that, my staff are amazing, but I think I will have to do another price change again soon. The costs keep rising, the electricity has gone up and all that stuff, and it is just terrifying.
"I want it to be a place that is not discriminative of working class [people], I want it to be affordable for everyone. Obviously we have to charge more than chain cafes do because they can magically afford to charge what they do. I assume someone along the line is being exploited for that.
"I never want to be someone who charges so much that people feel they cannot come here. I honestly don’t know what is going to happen and it is terrifying."
Hannah, originally from Cheshire, who now lives in Liverpool said: " I just think it is ridiculous, I think that the government could be doing so much more to help people. I think the things that they have done are good, but there is just so much more that can be done.
"Especially for those in low-income houses, people who are already stretched at the moment. I don’t think the stuff that they are thinking of doing is anywhere near as much, they need to be doing so much more."
Gam, 30 from Woolton in Liverpool, told the ECHO : " I think it is really sad, what is going on in the country at the moment. The cost of living is going up, the gas and electricity is absolutely phenomenal, it is crazy the amount of money that is getting put on to these families that are suffering.
"Following Covid, we had the track and trace, and the PPE contracts, billions of pounds have been wasted by this so called government, who are supposed to be looking after everyone in [the UK]."
He added: "The kids, you know, what about the kids and their families. There is already poverty, now there is going to be worse poverty, I just don’t understand it to be honest, I just don’t get it."
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