Chancellor Rishi Sunak has said his new emergency cost-of-living package will have a “minimal” impact on inflation which will be “much less” than 1%.
He told Sky News: “Our estimate, and my view, is it will have a minimal impact on inflation." Asked if it could be as high as 1%, he replied “no, much, much less than that, minimal”.
He argued that was the case because the help is “very targeted” at those who need it most while money is being raised to pay for the measures.
Last week (18 May) the Office for National Statistics announced that inflation had surged to 9% - the highest level in 40 years. Read more: Rishi Sunak denies using £21bn cost-of-living support package to deflect from Partygate The hike, which has risen from 7% since March, means that the cost of living increases even further and people's money won't travel as far.
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