Theresa May and Philip Hammond will use Autumn Statement to help Britain’s ‘Jams’ – people who are ‘just about managing’
THERESA May and Philip Hammond have come up with a plan to help the plight of Britain's so-called 'jams' in the Autumn Statement.
The Chancellor and the Prime Minister had been locked in negotiations over what to focus on in next week's big budgetary speech.
Mr Hammond had wanted to focus on boosting infrastructure and productivity, and to keep spending to a minimum while the UK growth remains slow.
However, the Prime Minister insisted the Autumn Statement feature more spending on working class voters who feel they are being left behind.
The people who are 'Just About Managing' have been dubbed as 'Jams', and will be the focus of the mini-budget - the first major economic announcement since the new government took over in June.
It is thought that fuel duty will continue to be frozen after scores of Tory MPs pressed the Chancellor, and further childcare subsidies to help those whose living standards may suffer as a result of expected higher inflation and the fall in the value of the pound.
Mr Hammond is also predicted to raise the income tax threshold to £12,500 and to raise the threshold for the 40p rate of tax to £50,000.
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Tensions are running high between No 10 and the Treasury as a result of these disagreements.
Mr Hammond's team say that there is a "close working relationship" between them, but one Treasury official said relations were "bad".
Labour's shadow chancellor, John McDonnell, used a speech yesterday to call for the government to scrap its "failed" austerity policies, but failed to mention immigration while discussing Britain's future post-Brexit.
He said that Labour would speak to the left-behind "instead of leaving the field open to divisive Trump-style politics".
