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Only one in five Brits feel better off after Budget

Katy Page
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Katy Page

More than half of consumers don’t feel they will be better off as a result of yesterday’s Budget despite the Chancellor’s pledge to give something back to the hard working.

During his fourth Budget statement, George Osborne announced he would raise the personal tax allowance to £10,000, help with childcare and freeze duty rises on items such as alcohol and petrol.

However, a poll of MoneySupermarket site users revealed that only 18% actually thinks the Budget will help them, while a further 24% are still unsure.

This news follows recent research from the comparison site which revealed that three quarters of consumers have limited their household spending in the last 12 months, with many as one in ten skipping meals and other necessities to ensure that their kids are fed. This is largely due to rising energy and food costs combined with the fall in real terms of the average income over the last four years.

Clare Francis, editor-in-chief at MoneySupermarket, said: ‘’Household finances are taking a battering from all sides at the moment, and while the Government may seem to be giving with one hand, they are also taking away with the other through other tax increases and benefit cuts. This combined with wage stagnation and rising living costs means millions are worse off and an increasing number of families are on the breadline, struggling to make ends meet every month.

‘’UK households need to become their own chancellors and take control of their finances. Switching to economy brand food may help save the pennies but failing to pay important bills could have a bigger impact on your financial situation in the long term so it’s time to tackle them.”