As the UK continues to fight the ongoing cost of living crisis with updated benefits and support systems, Australia prepares to unveil a budget focused on economic growth and living cost relief. Both governments are addressing the financial strains with significant policy updates.
In the UK, May 2024 sees significant financial support measures being distributed to millions grappling with the ongoing cost of living crisis, accentuated by high inflation rates which recorded a slight decrease to 3.2% in April. Notwithstanding the slight relief, prices continue to remain high relative to previous years, contributing to nearly a million more individuals falling into absolute poverty over the past year. To address these challenges, the government has updated benefits and the state pension in April, with disbursements occurring in May. Additional support is provided through the extended Household Support Fund, enabling local councils to offer grants, vouchers, and assistance with energy bills.
Parallel support systems such as budgeting advance loans, charitable grants, energy provider assistance, and council tax reductions are also available, aiding those hardest hit by economic difficulties.
Meanwhile, in Australia, Treasurer Jim Chalmers is set to unveil the federal budget on May 14, 2024. The budget proposes a blend of initiatives aimed at providing cost-of-living relief and fostering economic growth, with speculation around achieving a fiscal surplus. Key components include a $359 billion tax cut package over ten years, increased funding for education, health, defence, and infrastructure, and specific measures targeting gender equality, Indigenous affairs, and financial crime. The budget also emphasizes support for childcare workers, essential worker training, and public hospitals, aligned with raising educational and health standards while addressing staff shortages.
