THE CHANCELLOR has hidden the impact of the budget on black families by failing to publish an Equality Impact Assessment.

Rishi Sunak set out the government’s plans yesterday in Parliament for a “post-Covid era” and promised an “economy of higher wages, higher skills, and rising productivity” for millions in the UK.

But the effect of his tax and spending plans on black communities, and other groups that suffer discrimination, are unknown.

Black and minority ethnic households in the UK have previously been found to be worse off than their white counterparts and at greater risk of job losses and pay cuts caused by the coronavirus pandemic.

Past budgets have also criticised for a having a worse outcomes for women, disabled people and black Brits.

The equalities watchdog, the Equality and Human Rights Commission, have warned the Treasury of the need to take into account the ‘cumulative impact’ of successive budgets on these groups in society.

The impending rise in inflation and taxes on incomes is expected to leave millions worse off, according to The Institute for Fiscal Studies (IFS).

Despite the national minimum wage due to be increasing by 6.6% from £8.91 to £9.50 in April next year, millions will be hit by unemployment which is expected to peak at 5.2% in 2022.

The Office for Budget Responsibility has also predicted that inflation will rise to an average of 4% next year from the current figure of 31.1% recorded in September this year.

A report by the Social Metrics Commission revealed that nearly half of Black African Caribbean families were living in poverty in comparison to just under one in five white households in the year 2018-19.

Mary-Ann Stephenson, director of the Women’s Budget Group, has criticised the government’s failure to properly outline the long-term impact on disadvantaged groups.

“The assessment has to look at negative as well as positive impact; the £20 a week cut to Universal Credit, which came in last month would disproportionately affect black minority ethnic families,” she said.

“The changes announced in the budget to increase the National Living Wage and the change to the taper rate of Universal Credit would probably. giver some of that back, but wouldn’t be enough to mitigate the overall loss.”

The Autumn Budget and Spending Review 2021 outlines investments in adult skills through the National Skills Fund and apprenticeships which seek to benefit learners from black and minority ethnic backgrounds, who are increasingly represented in further education than the population average.

The review also states funding to be given for continuation of the COVID-19 vaccine programme and booster campaigns, while investment in British Business Bank programmes such as Start-Up Loans will seek to benefit those from diverse backgrounds.

The Women’s Budget Group has previously blasted the government’s decision to not publish the impact of the Budget on black and minority ethnic households.

In a 2018 report, they recommended that ​​public bodies, including government departments should publish a cumulative impact assessment of the Budget every year and of periodic spending review. 

The Women and Equalities Committee and The Treasury Select Committee have also called on the government to lead in this research.

Ms Stephenson said that there has been an increase in funding across government departments, but the consequences of spendings hasn’t recovered from previous cuts.

She added: “​​This spending review gives a bit more of an impact assessment, most budgets don’t even contain the tiny amount that’s in this year’s red book.

“The Treasury should carry out this assessment, but I also think the Office for Budget Responsibility should be tasked with doing it or should actually take that responsibility on themselves because they’re independent and they are in a position to hold the government to account”.