The Rising Cost of Living

1. Questions to the First Minister – in the Senedd on 29 November 2022.

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Photo of Jayne Bryant Jayne Bryant Labour

(Translated)

2. What assessment has the Welsh Government made of the impact of the rising cost of living on the people of Newport West? OQ58804

Photo of Mark Drakeford Mark Drakeford Labour 1:41, 29 November 2022

Llywydd, people across Wales, including Newport West, are experiencing the biggest fall in living standards since records began. The economy has entered the early stages of recession as a result of the UK Government’s 12-year period of economic mismanagement. That will add rising unemployment to the challenges already faced by Newport West residents.

Photo of Jayne Bryant Jayne Bryant Labour

Diolch, Prif Weinidog. During this incredibly difficult time, it's vital that people have as much money in their pockets as possible. Day-to-day living costs plus unexpected expenses mean that injections of cash can be a huge lifeline. Both the Welsh Government and the UK Government have offered grants, but sadly, in many cases, people are unaware of what support they're entitled to or are deterred by complicated application processes. Ideally, payments could be made automatically to those who are eligible. At the moment, Newport is one of the councils that are trialling automatic payments for those eligible for the winter fuel scheme under the council tax reduction scheme. So, when budgets are tight for the Welsh Government and local government, working smartly is essential. We need to get the money we do have quickly and efficiently to the people who need it most. So, what action is the Welsh Government taking, working with local government, to ensure that this happens and that these essential payments are automated across Wales, rather than requiring applications?

Photo of Mark Drakeford Mark Drakeford Labour 1:42, 29 November 2022

I thank Jayne Bryant for that. She's absolutely right to point out that millions and millions of pounds available to families across Wales go unclaimed every year. The Welsh Government, through our new cost-of-living sub-committee, has been promoting the notion that every contact should count in making sure that people are advised, encouraged and helped to claim the help that is available to them. Every single day in Wales, there are thousands of encounters between public sector workers and Welsh citizens, third sector organisations meet people every day, and there are private businesses, for example those in the financial inclusion sector, who do the same thing. I believe that every one of those encounters in this extraordinarily difficult winter represents an opportunity to make sure that people are getting the help that is available to them. It's genuinely not difficult, Llywydd—there are very simple calculators that people can use readily available. Citizens Advice has one that you can just go to online. There is one on the UK Government's platform that is very simple indeed to use, and if we use that 'every contact counts' mantra then I believe there is more we can do to make sure that the help that is there and not being taken up finds its way into people's pockets, and as a result finds its way into the Welsh economy as well in difficult times.

It's an important point that Jayne Bryant makes, Llywydd, as well about automaticity. Half the local authorities in Wales now have a system where if somebody applies for one of the benefits that are available through local authorities, that person doesn't need to claim separately for all the other things that the local authority could provide. So, if you are a claimant of council tax benefit, the local authority system will check whether you are entitled to free school meals. You won't be asked to fill in another set of forms—another set of barriers. Now, what we need to do is to make sure that the other half, the other 11 authorities, are moving in that direction. There's powerful leadership from the Welsh Local Government Association to make sure that that happens. And the evidence is very clear that if you have that system where you apply once and that one application opens the door to all the help that you are entitled to, that makes sure that that help gets to more people and more quickly. I would very much like to see that right across Wales.

Photo of Natasha Asghar Natasha Asghar Conservative 1:45, 29 November 2022

First Minister, from last week, millions of pensioners across the UK began to receive an initial £300 as the Conservative Government's pensioner cost-of-living payments began to be sent out. These payments will be made to over 11 million pensioners in receipt of the winter fuel payment, including some 15,600 pensioners in Newport West. In addition to this £300 uplift to the winter fuel payment, the energy price guarantee will help keep household energy bills as low as possible, saving the typical household £900 this winter. Households are also benefiting from a £400 grant automatically deducted from their energy bills, so do you agree, First Minister, that these measures to help pensioners as part of a wider support package to address rising energy bills will give people living in Newport West much-needed support this winter and protect the most vulnerable faced with rising prices? Thank you.

Photo of Mark Drakeford Mark Drakeford Labour 1:46, 29 November 2022

Well, Llywydd, I welcome any help that is made available for pensioners and for other people who rely upon the state for their income. And I hope that those payments arrive as quickly as possible with people, because we know that, of all the groups in our society, pensioners are amongst the most anxious not to do things that land them with bills that they cannot pay. I said in answer to Jayne Bryant's original question about the millions of pounds that go unclaimed that the person in Wales who is least likely to claim the help to which they are entitled is a single woman aged over 75, and the reasons for that are complex, but it does demonstrate that particular efforts have to be made to make sure that the pensioner population in Wales gets every help that is available. When more help is available to them, then, of course, I welcome that.