showed inflation increasing again to 4%. Inflation figures have ticked up — but even when they are dropping, any inflation number above zero means prices are still getting higher. Following last year’s autumn statement, will be £200 a week short of an acceptable standard of living. In 2023 the UK consistently suffered a worse cost of living crisis than other wealthy .

But it’s not just everyday necessities that have been placed out of reach of UK households. Families have also been robbed of the support that’s been common among governments in countries like Spain and France.

In the UK, this government did implement some policies to ease the impact of price shocks. This included towards energy bills,, an energy price freeze and the and s.

However, Spain has had far more success in supporting households throughout the cost of living crisis and its government recently in place for several more months. and:

• Cut VAT on basic foodstuffs like eggs, pasta, vegetables and fruits, until June 2024.
• Introduced a tax credit for people buying electric vehicles, until .
• Reduced the cost of public transport, which this January has been with free transport for unemployed and those under 18 years old.
• Capped for tenants at 2% until the end of 2023, rising to at the start of this year.
• by subsidising producers to keep the prices of electricity down for consumers.

The soaring cost of energy following Russia’s invasion of Ukraine fuelled the rise in the UK’s inflation rate. Our government attempted to ease the financial pressure on household bills by limiting consumer prices at the end of the process. Spain, on the other hand, tackled high energy prices at the source, by from international gas prices and limiting the wholesale price of gas. to keep the prices down is paid by the consumers benefiting from this scheme in their bills while the rest is absorbed by the government. A, this reduced inflation by 0.5% in 2022.

Taking a similar approach, the French government:

• Gave to households for their energy bills.
• Capped electricity tariff increases.
• at 3.5%.
• Struck a deal with leading supermarkets who agreed to offer shoppers the lowest possible prices for a , for a three-month per
• Limited the increase in energy bill tariffs for consumers.

Unlike the UK and Spain, the French electricity market is not as dependent on gas so was less impacted by volatile gas prices. Fossil fuels for 14% electricity generation in 2022, 36% for Spain and 40% for the UK. This meant the French approach to energy policy differed. The French government capped 2022 energy tariff increases for 2022, which limited bill increases for 70% of residential electricity consumers. They also froze through 2022.

French politicians also implemented a. This plan consists of 15 policies aimed at influencing households, businesses, local and government departments to cut their energy consumption, permanently, by 10% by 2024. These measures include a ​“sobriety bonus” to incentivise households to reduce their energy demand. Civil servants were incentivised to work from home with compensation , and French commuters incentive to carshare. The most ambitious policy was actually , and gave households up to €9,000 to install domestic heat pumps, numbers.

In their attempts to support their populations through the cost of living crisis, the UK, Spain and France have spent roughly the same amount, as a proportion of their gross domestic product (GDP). The UK’s costs amount to respectively.

According to the ), from February 2021 until May 2023, the UK allocated a total of US$86bn towards protecting businesses and households from the rise in the cost of living, while Spain and France allocated $431.7bn and $98.4bn, respectively.

International energy prices are dropping, and are likely to continue to fall. But despite April 2024 prices still forecast to be a third higher than pre-crisis levels, the remaining support packages for those on benefits or disability will be cancelled in the spring.

French and Spanish policies led to than the UK during 2023, although in recent months the UK has been catching up. Their policies are also forward-thinking: rather than just giving direct subsidies to households, France and Spain attempted to ease the cost of living crisis by enabling more energy efficiency and energy demand reduction – through making it cheaper for people to do things like take public transport, choose an electric car, or install heat pumps.

France and Spain used the cost of living crisis as an opportunity to make green choices far more accessible to their populations, which will bring down their carbon emissions in the future. The UK government could learn a lesson or two.

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