YESTERDAY, Chancellor Rishi Sunak delivered his spring “mini-budget”. At a time when households in the UK are reeling from soaring energy, fuel, and food prices, and inflation is set to rise to levels not seen for decades, the stresses on the poorest families have been exacerbated by the price rises and losses to business created by Brexit and by the British government's callous decision to axe £20 per week from Universal credit. This has been further compounded by Sunak's decision to hike National Insurance.

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All these existing issues have been made even worse by the shock to the global economy created by Russia's invasion of Ukraine – and the international sanctions which have been applied by the global community in retaliation. Since Russia is a major exporter of oil and gas, it is widely expected that one effect of the Ukrainian crisis will be to cause household energy bills to increase even more than they have already, pushing thousands of families into fuel poverty and forcing them to make a choice between heating their homes or putting food on the table.

The UK is facing a crisis in living expenses. The Office of Budget Responsibility said this week that inflation is likely to hit a 40-year high of 8.7% in October, which will provoke the biggest fall in living standards in the UK in any single year since records began in 1956.

Given the magnitude of the problems, it was hoped that the Chancellor would announce substantial measures to help the poorest families cope with a crisis that was not of their making. There were even hopes Sunak might introduce wealth and windfall taxes to ensure that those wealthy corporations and individuals who have profited during the pandemic make a meaningful contribution to helping those in dire financial straits.

Of course, this being a Tory budget and a Tory Chancellor, he did no such thing.

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Instead, we got the usual Conservative combination of cynicism, hypocrisy and cruelty. The most vulnerable households in the UK will now have to confront the full force of the biggest squeeze on living standards on record because Sunak has decided to help better-off workers (who are more likely to vote Conservative) in his £9 billion mini-budget package of tax and duty cuts.

Sunak has done nothing at all to assist the very poorest who are dependent on benefits. These are set to rise by a mere 3.1% this year, but the cost of living is forecast to rise by about 10%, representing a real cut in income for those who are already struggling on very low incomes.

Heaven forfend that the oil companies or the likes of Amazon who have raked in record profits should be expected to pay more in taxes.

Instead, Sunak decided to – in the words of First Minister Nicola Sturgeon (below) – squirrel away cash in order to fund some bribes before the next General Election, instead of using the money to help families who are in need right now. She added that Sunak's spring statement "showed a callous disregard for the misery people are facing”.

The National: Nicola Sturgeon mask

According to the Resolution Foundation, the lack of significant help from Sunak means that an additional 1.3 million people across the UK, including half a million children, will be pushed into poverty. The campaigning organisation described it as the first large increase in the number of people pushed into poverty outside of a recession.

There is plenty that could be done to help the poorest households who are struggling in this cost of living crisis. A windfall tax could be imposed on the oil firms and companies like Amazon which have made record profits in recent years. A wealth tax could be imposed on the richest households, taxing their property and holdings as well as their income. That money could be used to make a very real difference to struggling families.

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But the Scottish Parliament lacks the powers to do this. It is all very well for Anas Sarwar to insist that the Scottish Government support Labour demands that the British Government introduces such measures, but we all know that the Conservatives won't listen.

We need a Scottish Parliament that possesses these powers, then we will not have to beg a Tory party that has already shown us where its priorities lie. And that can only be achieved with independence.

This piece is an extract from today’s REAL Scottish Politics newsletter, which is emailed out at 7pm every weekday with a round-up of the day's top stories and exclusive analysis from the Wee Ginger Dug.

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