A Labour minister was accused of being “afraid to tax the super-rich” as he was challenged about the soaring cost of living on BBC Breakfast.
Presenter Nina Warhurst told James Murray that “life is going to be harder under Labour for people who need state support the most” because of welfare cuts.
Murray, the Exchequer Secretary to the Treasury, said the current system was “broken” and needed to be reformed.
But Warhurst said: “The cost of welfare is going up but the cost of existing is going up.
“On average, Brits are facing a £600 increase to bills in the next financial year. One in 10 households living in fuel poverty.
“The accusation to Labour at the moment is you’re out of touch with how hard it is for the poorest households and you’re afraid to tax the super-rich.”
Murray replied: “We know how hard it is for people across the country and that’s why our number one mission is to get the economy growing because that’s the way you put money in people’s pockets.
“In the Spring Statement earlier this week the chancellor set out how by the end of this parliament people will be £500 better off than they would have been under the Conservative plans that we inherited.”
Rachel Reeves unveiled plans to slash the welfare bill by nearly £5 billion in a move which her own government said will push 250,000 people - including 50,000 children - into poverty.
Calls are growing from left-wing Labour MPs for the chancellor to introduce a 2% wealth tax on those with assets of more than £10m, but that has so far been rejected by the government.