7. Debate on the Economy, Trade, and Rural Affairs Committee Report — 'Cost of living pressures'

Part of the debate – in the Senedd at 4:54 pm on 16 November 2022.

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Photo of Carolyn Thomas Carolyn Thomas Labour 4:54, 16 November 2022

The cost-of-living crisis is 12 years in the making, exacerbated by Brexit, the war in Ukraine and the Tory UK Government's policies, cutting public service funding, pushing productivity to an unrealistic limit and slashing social security payments. I would like to welcome recommendations 8 and 9 of this report. Having to apply for benefits and grants is confusing and messy. Residents hear snippets of information on the news, perhaps in relation to a UK Government announcement—but it's not available yet, and we are not sure how it's going to be delivered.

The Welsh Government fills in the gaps being left by UK Government funding initiatives to make sure that people are not left behind. But councils are facing huge funding gaps, and they are expected to be the delivery body, and they won't be able to step in. A one-stop portal or grant assessor would be a good idea, where the latest information can be found. But we must make sure that every contact counts. The Wellbeing Hub in Wrexham said that, when people come for long COVID consultations, they are asking them if they are okay, and if they need help with anything else, such as accessing grants. In Flintshire, there is a single point of contact number for OT grants, district nurses, making it easier to access support. So, I think every opportunity, we must make the most of it now.

Productivity and efficiencies have been pushed to the limit over the last 15 to 20 years. Shift patterns are long, and they are not family friendly; they don't fit in with childcare. This increased use of zero-hours contracts or part-time contracts with enforced overtime isn’t very good for families. Royal Mail workers’ rounds were increased last year to 13 miles as an average per day. Yet, the Royal Mail wants to cut sickness, which, you know, a worker walking 13 miles a day is going to have more health issues, but they want to cut sickness pay and increase the use of agency workers.

I’m glad that this report recognises the effect that the current labour market is having on workers, and I’m pleased to see that the Welsh Government has renewed its commitment to supporting working people through social partnership. But the problem is not just in the private sector; public service funding for councils and health has been cut, and wages have stagnated. Employees are stretched and leaving the sector. They are exhausted. If the UK Government reversed public sector cuts and invested in the wider care sector, it would create many more jobs than investment in construction. It employs more women, is green and supports people and families right across our communities. It would help invest in our communities as well, as they would just spend locally. Investing in care would be a good economic stimulus during the cost-of-living crisis, and it would also take the pressure off the NHS.

Investment in childcare would also help to address the cost-of-living crisis and support 46 per cent of single parents who experience poverty—86 per cent of whom are women. Now is not the time to cut public service spending, when it’s needed more than ever to help people in crisis. We heard this at the Local Government and Housing Committee today. Homelessness is at crisis point. 

I know that bus subsidies are back on the table, as they are looking at austerity too and more cuts, and dealing with the in-year funding gap. Redundancies are on the table. The closure of leisure facilities, swimming baths and, most importantly of all, the support services that we need councils to deliver—all this help and this aid—are on the table as well. So, we need to invest in public service funding and public spending now in order to support families through this cost-of-living crisis, and not cut them further. Thank you.