Boris Johnson hinted at new measures to deal with the cost-of-living crisis and insisted he and the Chancellor would have “more say” in “the coming days”.
Downing Street has been forced to deny they are planning an emergency budget to help with the cost of living crisis after Boris Johnson appeared to hint at more help for struggling people.
The Prime Minister told the House of Commons that he and the Chancellor would say more on the matter “in the coming days”.
This led to speculation that Rishi Sunak might provide a budget to help people manage mounting bills.
However, sources close to the chancellor reportedly insisted no new measures were due before the autumn.
Cabinet Secretary Michael Gove said today (11 May) that Mr Johnson’s proposal was “over-interpreted”.
What did Boris Johnson say about the emergency budget?
Following the Queen’s speech on Tuesday (10 May), the Prime Minister came under fire for failing to announce new aid to those struggling during the current cost of living crisis.
The speech included 38 bills but no immediate plans for dealing with the cost of living.
In the House of Commons he said: “My right esteemed friend, the Chancellor, and I will say more about this in the coming days.
“But while we’re helping people, we need legislature firepower to address the underlying energy, housing, infrastructure and skills issues that are skyrocketing costs for families across the country.”
He added: “And this speech from the Queen tackles those issues head-on.
“And most importantly, we meet the economic challenges with the best solution of all, and that is an ever-growing pool of high-paying, high-skill jobs. Jobs, jobs, jobs.”
A Treasury spokesman said immediately after the PM’s comments that there would be no emergency budget, while No10 conceded that no support was expected in the “next few days”.
What did Michael Gove say?
The Leveling Up Secretary said claims of a split between Mr Sunak and the Prime Minister over the need for further financial support were “exaggerated”.
Mr Gove told Sky News: “There will be no emergency budget. It sometimes happens that the words of a prime minister or minister are overinterpreted.
“The prime minister is right. We will say more and do more to help people through the cost of living challenge we are currently facing, but this is not an emergency budget. It is part of government work.”
He added: “Last night the Prime Minister convened a group of ministers – we were all working on some things we could do to help.
“These policy initiatives will be announced by each department in due course as they are being drafted.”
What have government sources said about the Prime Minister’s plans?
HuffPost UK reported that a source close to the Prime Minister said “there are no plans for an emergency budget”.
However, he said “ministers have been challenged to explore all possible avenues to lower the cost of living and meetings are happening all the time on that basis.”
The source added: “There’s also a regional cabinet on Thursday that will focus on some of that, but it would be wrong to build expectations of an important moment.”
An ally of the Chancellor told HuffPost UK there were “no announcements as far as we’re aware”.
They added: “Rishi always knew that once we knew what that was, we would make plans for fall energy bill support [energy] There will be an upper price limit – but we’re not there yet.”