RISHI Sunak today vowed to put pressure on supermarket chiefs to help cut the cost of weekly shops.
And the PM ruled out tax cuts for Brits as he outlined his plans to tackle stubborn inflation.
Sky NewsRishi Sunak today ruled out tax cuts and endless handouts as he laid out his plans to tackle inflation[/caption]
The PM insisted it’s still possible to halve inflation by the end of the year.
But he admitted the tricky task has been made harder and will involve tough decisions.
Addressing workers and reporters at an IKEA distribution centre in Kent, Mr Sunak argued tax cuts and frequent handouts would prolong inflation, which is stuck at a staggering 8.7%.
The PM said: “I’ve got to make sure government is doing everything that it needs to do and that means being responsible with our borrowing.
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“We cannot be in a situation like this and borrow too much money because that just makes everything works.
“I’d love to cut your taxes tomorrow. That’s hard to do because I’m going to have to borrow more money to do it.”
He added: “I can’t say yes to every single thing that people want me to spend more money on.”
The PM admitted saying no to tax cuts was tough.
But he added: “If I just gave into the easy thing every time, that would just mean more and more government borrowing, that just puts fuel on the fire, makes inflation worse, pushes up interest rates even higher.”
Mr Sunak promised to put pressure on supermarket chiefs not to pass on hefty costs to consumers.
He said: “We’re looking at the supermarkets making sure that they’re behaving responsibly and fairly when it comes to pricing all those products, to make sure that it eases the burden on your weekly shop.”
Next week Jeremy Hunt will meet with regulators to discuss how ministers can ensure falls in input costs are definitely passed onto consumers.
The Chancellor will also discuss what actions regulators are taking, and how more can be done to reduce inflation and ease the cost of living squeeze.
Mr Sunak added: “It’s not easy. Stamping out inflation is not easy. It requires difficult decisions and doesn’t happen overnight.
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“But if we don’t get on top of it, it will just get worse and it will last longer.
“That’s not going to do anyone any favours, it’s not going to be good for you and your families in the long run.”