EXPERTS running foodbanks in south Essex have welcomed elements of Rishi Sunak’s Spring Statement after the Chancellor announced cuts to fuel prices and income tax, but warned more must be done.

Cass Francis, media and campaigns coordinator at Southend Foodbank said the measures announced did not go far enough and would not do enough to help the poorest members of the community.

Mr Sunak addressed the House of Commons yesterday and announced a string of measures in response to the cost of living crisis, which has seen households pay more money for basic necessities.

The key points of his Spring Statement were the reduction in fuel duty, meaning a litre of diesel or unleaded now costs 5p less than previously, and the promise to make a cut in income tax from 20per cent to 19per cent by 2024.

Other important elements included an increase in funding for councils to support vulnerable households, and the increase in the National Insurance threshold – meaning people can earn £12,570 before paying National Insurance contributions, £3,000 more than the £9,570 they had to earn previously.

However, Mr Sunak warned people could still struggle over the coming months as prices rose by 6.2 per cent in the 12 months to February - the fastest for 30 years.

Ms Francis said the cut in income tax would not help poorest residents in time for fuel and electric rises this October while the 5p off fuel duty would have negligible impact on many of the residents who use the foodbank.

She said: “It’s a bit disappointing really. We called as a foodbank for at least the increase in benefits to match the rate of inflation, but its half the rate.

“It’s disappointing there wasn’t any more talk of what’s going to happen with the fuel increases, that just seems to be spiralling out of control. I’m pleased the suns out to be honest with you because people aren’t having to put their heating on.

“We live in one of the richest countries in the world and millions of us are making the choice between heating our homes and putting food on the table. I don’t think its right to live in a society where you can’t get the basics.” She added: “These measures today have not gone far enough.”

Businesses in the region were left unimpressed as well. David Barnes, chair of the Basildon business group and owner of Barnes IT Solutions, called the national insurance rises as a tax on employers and argued fuel rises would be felt by businesses too.

He said: “Its not just fuel duty, it’s the rise of input energy costs into businesses. This is one of the biggest concerns for businesses now, these massive increases in energy costs.

“Plus, we’ve got changes to national insurance. He has uprated the employment allowance to help small businesses but those larger firms within the borough are going to feel the sweat on that and they’re the guys who may decide to employ 8 or 9 apprentices rather than ten.”

He added: “That’s a direct jobs tax. It’s a real challenge, certainly with rising costs as it goes.”

Marc McOwens, general manager of Southend charity Mencap, was disappointed about the lack of announcements on the benefits system. His charity works with people with learning difficulties and have found contributions towards care services are having an impact on their clients.

He said: “It is leaving individuals of ours with far less money than they had before to just get the basic amenities. Some have had to stop accessing services because the charge is so high. Attached to the cost of living and it’s something adding to the concerns they’ve got.

“The benefits system isn’t working. It’s a one stop system for all disabilities and it doesn’t work that way.”