Rishi Sunak has outlined government plans to help struggling families cope with the ongoing cost-of-living crisis.

The Chancellor made the announcement the day after the publication of the embarrassing Sue Gray report on the partygate scandal.

The timing of the announcement has led to claims ministers were seeking to avoid further damaging headlines about Boris Johnson’s No 10 operation.

The announcement comes as around 22% of people now admit they are struggling financially in the wake of a cost of living crisis, according to a new YouGov survey.

Here are the key points you should know from Rishi Sunak’s announcement.


Ways that could help you reduce your energy bills

Managing expectations but promising support

Rishi Sunak begun his speech by outlining that inflation is global but the government will do what it can to help.

He said: "No government can solve every problem particularly the complex challenge of inflation, but this government will never stop trying to help people.

"This government will not sit idly by while there is a risk in this country that some could be set so far back they will never recover.

"I want to reassure everyone: we will get through this

"We will make sure the most vulnerable and least well off get the support they need."

He added: "We will turn this moment of difficulty into a springboard for economic renewal or growth."

Windfall tax

Rishi Sunak confirmed a temporary windfall tax on oil and gas giants but said it would include a “new investment allowance” to incentivise the reinvestment of profits.

He said: “The oil and gas sector is making extraordinary profits not as the result of recent changes to risk taking or innovation or or efficiency as the result of surging global commodity prices driven in part by Russia’s war.

“For that reason I am sympathetic to the argument to tax those profits fairly.”

Mr added: “It is possible to both tax extraordinary profits fairly and incentivise investment.”

Support for the most vulnerable

"We are going to provide significant targetted support to millions of the most vulnerable in society, pensioners and disabled people," said Sunak.

The Chancellor confirmed eight-million low0income housegolds will get a one-off payment of £650.

He also said pensioners will receive a one-off payment of £300.

One third of all UK housholds will receive one or more of the payments

  • £650 for those on benefits
  • £300 extra for pensioners
  • £150 on top for those on non means tested disabilities.

£200 energy bill rebate will no longer have to be paid back

Mr Sunak has made the £200 loan for energy bills a grant that no longer needs to be paid back and increased its sum to £400.