Sir Iain Duncan Smith hands the Government a costed plan to alleviate the cost of living crisis.

Sir Iain Duncan Smith says that the high cost of living in the UK could be fixed by cutting taxes and increasing benefits.

Sir Iain Duncan Smith hands the Government a costed plan to alleviate the cost of living crisis.

As a result of the rising cost of living, the former Conservative Party leader has urged the Government to make significant fiscal policy adjustments.

Mr Duncan Smith says that a recession could happen if the government doesn’t do something to stop rising inflation rates.

According to the Tory MP, an increase in benefits and a reduction in taxes would help the UK’s poorest families deal with their financial obligations.

Iain Duncan Smith hands the Government a plan to tackle the cost of living crisis.
Iain Duncan Smith hands the Government a plan to tackle the cost of living crisis.

Speaking to Sky News, Iain said: “I am calling today and we have published a paper at the Centre for Social Justice, which points out to the Government that it is time to increase the amount of money going to benefit recipients, the poorest in society because they have the least flexibility.”

“We are facing a problem with a global spike in inflation, driven mostly by the problems about post-pandemic demand outstripping supply and also the war in Ukraine where oil and gas are less available, thus pushing prices up.”

“The Bank of England is now raising interest rates.”

“My concern is, first of all, that during the course of the spike we should make sure that we bring those benefits, that are relevant to those people who are in need, up to be able to afford, to be able to pay the bills that are going to be higher and increased as a result of this.”

“The second thing is that we should worry very carefully about the fact that we may be going into recession.”

Sir Iain Duncan Smith hands the Government a costed plan to alleviate the cost of living crisis.

The former leader of the Tories warned that the UK could go into a recession if the current Conservative government doesn’t deal with the problem more aggressively.

The former Tory leader said: “That means that I don’t think you can raise interest rates to try and squeeze the spike domestically and, at the same time, have higher taxes.”

“To bring taxation down, particularly for those on what I call the squeeze mill – people who are earning, but not earning a huge amount of money, they need to have their tax rates brought right down.”

“That coupled together with a greater investment in those who are reliant on benefits will be the way to deal with this, to get us through this, so people don’t suffer unduly.”

Mr Duncan Smith says that the UK’s financial policy has reached a crucial point because the government must now use the money it has to make the changes it needs to make to the economy.

Rishi Sunak told to increase benefits for the poorest while decreasing taxes for the workers.
Rishi Sunak told to increase benefits for the poorest while decreasing taxes for the workers.

“That’s the key bit, get the policy right to ensure the money goes in the right direction.”

The MP claimed that his economic proposal was properly costed and available to the Government.

“The Government can afford this because they’re had two years of much better growth in receipts than they expected.” 

He added: “They have, already, what I call the head room to be able to do this.” 

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