York Citizens Advice has welcomed some of the measures in the Chancellor's Autumn Statement - but has called for more action to address the high cost of renting in the city.
The Chancellor of the Exchequer Jeremy Hunt issued his Autumn Statement of Wednesday, November 22.
A spokesperson for York Citizens Advice some of the measures announced would help York residents who were struggling.
They said: “We welcome the news that benefits will rise in line with October's inflation rate of 6.7 per cent.
“This will make a big difference to York residents in the midst of a cost-of-living crisis where they have seen themselves pushed into poverty, even destitution, and reliant on food banks.
“This would mean that a single person over 25 currently claiming Universal Credit, will get an extra £24.71 a month.
“Equally, we welcome the news that the local housing allowance (LHA) rate will be increased for the first time in three years, and will now cover the cheapest third (30th percentile) of local market rents."
However, York Citizens Advice flagged the crippling cost of renting in the city as a major issue.
The spokesperson said: “In York, one of the most expensive places to rent in the UK, we will continue to push for a 'Central York' weighting to take this allowance out of the averaging we currently share with places like Selby which will make homes affordable again for people working and living in York, including those who are in work, but unable to make ends meet.
“Rises in state pensions, means that many pensioners will get an extra £17.35 per week.
“This will be of enormous help to older people we saw struggling last winter to both heat their homes and buy food.
“However, we have to consider this against a tax burden which is set to hit a post Second World War high and also an increase in energy bills of five per cent which will happen in January.
“All the 'rises' will not happen till April, leaving York residents exposed to further hardship and debt.”
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Meanwhile, Amanda Beresford, chair of West & North Yorkshire Chamber of Commerce, said: “Business needs assurance and support right now, to help grow the economy and create jobs; we’ve seen some of that, but the pressures are still tough.
“The significant increase in the living wage, means that the tax cuts for business announced are needed.
“Measures to boost consumer spending and help hard-hit sectors like hospitality – like the national insurance cut – are welcomed; as are things like planning reform; but these things take time, and time isn’t on the side of some of our small firms.
“Measures to increase investment in infrastructure and people are desirable – like ‘full expensing’ and the new investment zones – but the current level of uncertainty might mean these take some time to take effect.
“Speeding up planning applications will be welcomed by some of our members in property and development.”
Anyone affected by any of the issues above can contact Citizens Advice via www.citizensadviceyork.org.uk or call its free advice line on 0808 278 7895 (Mon-Thurs, 10am-4pm)
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