Gordon Brown, the former Labor prime minister, called on Johnson to meet with his two potential successors and hammer out an economic package before energy bills soar in October. He said people will be cold and hungry this winter if urgent action is not taken now, telling Sky News he saw poverty in his hometown of Fife “that I never expected to see again in my lifetime”. Politics Hub: Brown strikes the ‘void’ at the heart of government A leading business group, the CBI, also urged Mr Johnson to “act now”, as they set out four actions the government could take to ease the impact of the crisis. But the prime minister’s spokesman said that while the government recognized the challenges facing struggling households, “it is not contractually for this prime minister to make major fiscal interventions during this period. That will be for a future prime minister.” .” He also defended Mr Johnson for going on holiday as the Bank of England warned of a looming recession, saying the public understood it was “not unusual for ministers to take time off during the holidays”. Mr Johnson and Chancellor Nadhim Zahawi have been criticized for their lack of action amid grim predictions that the UK is heading for its worst financial crisis since the 2008 crash, with interest rates soaring to their highest level in 27 years. The prime minister’s spokesman said Mr Johnson – who is now back in No 10 after a holiday in Slovenia – had spoken to Mr Zahawi while on break to discuss the measures to come this year. He suggested Mr Johnson did not plan to sit down with Liz Truss or Rishi Sunak, saying: “Both candidates have talked about new things they would introduce.” Image: Boris Johnson and Nahim Zahawi have been criticized for doing nothing in the face of a bleak economic forecast “End to August’s power vacuum” However, the CBI urged the prime minister to reconsider and “end the August power vacuum” by bringing the two leadership contenders together to agree a way forward. Tony Danker, Director General of the CBI, said: “The economic situation facing people and businesses requires all hands at the pump this summer. We simply cannot afford a summer of government inaction while the leadership contest plays out following from a slow start by a new prime minister and new cabinet.” Ms Truss has pledged to reverse the rise in national insurance tax immediately if she becomes prime minister, while Mr Sunak has promised to cut VAT on energy bills. But critics say none of their plans go far enough and new measures must be agreed now to stop a winter crisis. A report commissioned by Mr Brown found that families are up to £1,600 a year worse off because of rising prices – even after government help is taken into account. Bills are due to rise again in October and then again in January, when they could reach up to £4,000 Read more: Calls for urgent Universal Credit PM rise and chancellor ‘totally on top’ of economy despite being on holiday, Truss and Sunak face calls for daily COBRA meetings Earlier on Sky News, Mr Brown set out his own vision for tackling the cost of living crisis, including changing the windfall tax to raise more money from oil and gas companies, a cap on energy bills and reform of the benefits system. The call for further action comes as Ms Truss and Mr Sunak continue to clash over their plans for the economy. Mr Sunak launched a fresh attack on his opponent’s plan for tax cuts in an emergency budget, describing it as a “big problem” for big business and the wealthy that would do little to help those most in need next winter. Northern Ireland Secretary of State Brandon Lewis – who is backing Mrs Truss as foreign secretary – said they would look to do “whatever we can” to help people under pressure from rising inflation. “She’s willing to do more to help people, but her focus is to do it in a way that puts more money in people’s pockets, creating a high-growth economy with higher wages, more people in work,” he said. “So instead of having handouts, what we’re doing is having a low-tax economy that drives growth, and so with people having more money in their pockets, they’re in a better position to deal with some of the challenges that we’re seeing.”
