Aysu Biçer
21 June 2023•Update: 21 June 2023
LONDON
Labour leader Keir Starmer on Wednesday accused British Prime Minister Rishi Sunak's government of "economic vandalism" after inflation stopped falling last month from record highs.
People are paying the price of "uncosted, reckless damaging decisions by the Tory party," Starmer said during weekly Prime Minister's Questions in the House of Commons.
Inflation in May remained unchanged at 8.7%, bucking market expectations for 8.4% and intensifying pressure on the Bank of England to raise interest rates.
The core inflation rate, which excludes volatile items such as energy, food, alcohol and tobacco, rose to 7.1%, the highest since March 1992.
"What does it say about this government that the Tory party is rewarding those guilty of economic vandalism," he asked Sunak.
Starmer attributed the country's "mortgage catastrophe," as homeowners face increasingly steep monthly payments due to interest rate hikes, to what he described as "13 years of Tory failure."
He also said the cost of "Tory mortgage penalty" is an additional burden of £2,900 per year for homeowners.
Sunak dismissed Starmer's remarks and asserted that the opposition chief lacked a concrete plan. "While Labour engages in mere rhetoric, the government is actively delivering results," he said.
The premier hit back by saying the policies advocated by Labour, such as yielding to union demands and halting new exploration in the North Sea for hydrocarbons, would only worsen the situation.
Stephen Flynn, leader of the Scottish National Party (SNP) at Westminster, asked the prime minister whether he would admit Brexit's impact on inflation.
Flynn asserted that Sunak should acknowledge that Brexit harmed the economy, given the lower inflation in Ireland and the eurozone.
In response, Sunak pointed out that interest rates in countries like Canada, the US, Australia, and New Zealand were similar.
"The rise in inflation and interest rates is a global phenomenon but the economic priority to have (is) to bring inflation down. That's what this government will do. That requires difficult and responsible decisions," he said.
