R.ishi sunakPrime Minister of United Kingdom he promised to control inflation by maintaining “discipline” in public spending and taxes.
In an interview with The Times, Sunak He said he “passionately believes” that he can reduce inflation and revive economic growth in the United Kingdom.
The prime minister added that he was “really optimistic” about the future and “confident” that inflation would fall enough to ease the cost of living crisis.
Sunak accused Keir Starmerthe Labor leader, to “abdicate” his responsibility in the battle against inflation with his green investment plan of £28 billion sterling and his refusal to rule out higher wages in the public sector.
Inflation fell from 7.9% to 6.8% last month, according to official figures published on Wednesday. Wages are now higher than inflation for the first time since September 2021 amid signs the cost-of-living crisis may be starting to ease.
When asked to Sunak if people will feel better a year from now, the prime minister said: “That’s my job, to make sure that it doesn’t just happen, but that they feel that it’s happening. You can start to see now that there is a chance that wages will grow faster than inflation in the future.”
I am very proud of our country and what makes us special. I am very optimistic about the futureUK Prime Minister
However, Sunak He rejected calls by some Conservative MPs to cut taxes now, warning that unfunded borrowing would only exacerbate inflation.
“Right now the best thing for the country is to lower inflation,” added the prime minister. “That means being disciplined in the indebtednessdisciplined in the spenteither spending on a lot of things (public sector payments) or cutting back on unfunded taxes. That’s all part of being disciplined with the nation’s finances.”
The economists consulted by The Times They point out that the economic outlook had not improved enough to eliminate the need for further interest rate hikes. Core inflation, excluding volatile items such as food and energy prices, remains unchanged at 6.9%.
The expert group of Institute of Fiscal Studies (IFS) warned that the promise of Sunak to cut inflation in half by the end of the year could be in jeopardy.
Heidi Karjalainenof the IFSHe said: “The prime minister’s goal of halving the inflation rate by the end of the year was always a bit strange, as there’s not much the Treasury can do to influence the pace of price increases.”
