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Portsmouth families ‘left by the wayside’ as one in ten across UK now facing financial crisis

Stephen Morgan MP has accused the government of leaving Portsmouth families ‘by the wayside’ after new data reveals one in ten families across the UK are facing a financial crisis this winter.

According to recent analysis from Citizens Advice, 10 per cent of families in the UK – equivalent to 3.2 million households – could be facing a financial crisis this Christmas and beyond.

National polling by the charity has also shown that one in five people have already cut back on their food shop (19%), or used less heating (20%) to save money, demonstrating how recent changes have left many households in a vulnerable position.

The organisation has also estimated that the energy price cap could rise by as much as £500 in April – adding an extra £40 a month to default tariffs. This will come as inflation is set to peak at around 5% and working families see a hike to their National Insurance.

It comes as the cost-of-living crisis deepens, with the Bank of England recently forecasting that salaries will fall by 1.25% this year, with inflation expected to reach to as high as 5% in 2022 and the highest sustained tax burden in peace time.

In October, four in ten households on Universal Credit faced a 13 per cent rise in their energy bills in the same month as their benefit was cut by £20 a week.

Last month, the Portsmouth MP underlined that 21% of working age families in his constituency of Portsmouth South – nearly half of which with children – will be affected by the government’s cut to Universal Credit, according to the Joseph Rowntree Foundation.

The Member of Parliament for Portsmouth South, Stephen Morgan, commented:

“This government is lurching from one crisis to the next, leaving Portsmouth families by the wayside and offering little support to help them get through this winter.

“Energy bills, inflation and taxes on the lowest earners are all up, but support for working families is far below what is required to keep them secure this winter.

“I will continue to hold ministers to account to provide those most at risk this winter with the help they need, as government continues to struggle with getting to grips with the cost-of-living crisis.”