Rachel Reeves is setting out plans to cut food costs and drive down household costs in a fresh batch of measures aiming to ease the cost of living crisis and impact of the Iran war on the UK.
Staples such as biscuits, chocolate and baked beans could become cheaper as the government slashes import tariffs on more than 100 types of product, in a move which could save consumers a combined ÂŁ150 million per year.
However, health experts have warned the government should incentivise healthier foods, rather than lower the costs of biscuits.
The chancellor will also announce on Thursday a “Great British Summer Savings” scheme, including free bus travel for children in England during the school holidays in August.
“My number one priority is protecting households from rising costs,” the chancellor said, although the government is not expected to announce immediate help with rising energy bills.
However, Reeves has ruled out making “massive unfunded spending commitments” to provide universal support with energy bills.
There had been speculation over whether the government could cap supermarket food prices, but these suggestions were met by heavy opposition from the industry and from Bank of England governor Andrew Bailey, who said it would be “unsustainable”.
