The cost of certain supermarket staples, including baked beans, gherkins and chocolate will be cut as part of five “everyday fixes” unveiled by the government.
Tariffs on a range of foods will be slashed to bring down their prices, the chancellor and prime minister have announced as part of a series of measures to address heightened living costs, expected to be included in Wednesday’s budget.
Under the raft of measures revealed on Tuesday, the chancellor John Healey will lock in the 55p mileage rate for those who have to drive for work, for the first 10,000 miles.
Rates above that will be raised from 25p to 35p, with the government hoping the overall package will help a total of three million employees and self-employed people.
The government is also removing tariffs on more than 100 products, which it calls “family favourites”.
This will save households some £21 on food shopping over the course of the year, according to the treasury.
Prime minister Andy Burnham said:“We are taking on the big challenges facing the country. But that doesn’t mean losing sight of the everyday problems that cost people money or simply aren’t fair.”
Products included in the chancellor's tariff cuts:
- Garlic
- Gherkins
- Citrus jams, marmalades and pastes
- Throat pastilles and cough drops
- Boiled sweets
- Toffees, caramels and similar sweets
- Plant-based beverages
- Chocolate-coated waffles/wafers
- Kerosene
- Fertilisers
Mr Healey said:“Today's everyday fixes are just a small part of what we are doing to give families a bit of breathing space.
"Conflict in the Middle East and Europe is hitting families here at home through higher everyday costs.
“We can’t control global events, but we can act where we can make a difference.”
Tariff cuts on fertilisers are meanwhile aimed at farmers, while a tariff cut on kerosene will help homes which use the fuel as a heating oil.
Ministers also plan to extend parental pay to more than 150,000 parents each year, including self-employed fathers who had previously missed out.
A cliff edge on carer’s allowance will be ended, with the government instead tapering away £1 of the benefit for every £1 earned above the weekly limit.
Elsewhere, the government is rolling out hundreds of extra Post Office drop boxes, with the aim of reducing the number of people who have to queue at counters to send and return parcels, especially in the run up to the busy Christmas period.
On Monday, it was revealed the Budget is set to deliver a £432m boost to help ensure homeless people are off the streets by Christmas.
Mr Burnham said he wanted to give “every single person” sleeping on the streets an offer of help by the end of this year.
