Image source, BBC News

Labour MP Alex Sobel tells the PM more and more people are coming to him to raise the issue of the cost of living.

“Things just cost too much,” he says. But he then references comments by safeguarding minister Rachel Maclean, who suggested people could take on more hours at work to ease the financial burden.

He asks if the PM agrees with the minister or Labour, who are calling for an emergency budget.

Johnson says his government has increased the living wage and put billions in to support people on universal credit.

He says again that low unemployment was giving the UK the foundation to rebuild the economy.

Image source, BBC News

Conservative MP Tom Randall asks the prime minister whether everything is being done to help people attempting to renew their passports and driving licences ahead of the summer holidays.

He says in his area people are seeing their job offers withdrawn due to delays with getting driving licences.

Boris Johnson says driving licences are now being issued faster than previously, and should now be issued within a few days.

Leader of the Liberal Democrats, Sir Ed Davey, now asks a question about support for farmers.

British farmers are the best in the world, he says, adding they could play a big part in resolving the cost of living crisis.

But he says their costs are spiralling upwards. Instead of helping Britain's food producers, the government is slashing the subsidies they reply on, he says.

He asks the PM if he would be willing to meet with him and farmers to discuss helping them.

The PM says he does recognise the challenges that farmers are facing. He says his government is doing what it can, including championing the food export market.

Blackford goes on to say that the Tory response to the cost of living crisis has been "insults and inaction".

For weeks he has been briefing that it is the Treasury who is to blame for blocking support, he says, and says if that is the case it is time for the PM to sack the chancellor.

Johnson responds by saying that we have been through Covid and are facing a spike in energy prices due to the invasion of Ukraine.

"Everyone in the country knows we are not through this yet," he says, but adds the only reason the government can do more is because "we have a strong economy with massively high employment".

Image source, BBC News

The SNP's Ian Blackford says people did not need to see this morning's official statistics - "they know it because they are living with it", he says.

He says that under the Tories the "poorest are punished the most".

Month after month a distracted Downing Street has failed to act, he says, asking if the PM supports his chancellor's "insulting statement" that acting now in the cost of living emergency would be silly.

Boris Johnson says he supports Rishi Sunak's work raising the living wage by a record amount, making sure people on Universal Credit pay a £1000 less in tax and creating a strong economic foundation.

David Wallace Lockhart
BBC political correspondent

The government was previously opposed to a windfall tax on oil and gas companies.

Their position now, articulated by Boris Johnson at PMQs, is that ministers will look at all the measures that could help “get people through to the other side” of the cost of living crisis.

The Labour Leader, Sir Keir Starmer, said it is inevitable the government will have to U-turn and back a tax on record energy profits.

One Labour frontbencher even taunted Boris Johnson, spelling out the letter ‘U’ with their finger, while he addressed the chamber.

The Prime Minister accused Labour of possessing a “lust to raise taxes”.

But there’s every chance that Boris Johnson may find himself shortly doing just that for oil and gas companies.

Image source, BBC News

Sir Keir says the PM is on the side of excess profits for oil and gas companies. “He clearly doesn't like me pushing him on this,” Sir Keir says.

He says working people feel abandoned by the government.

He mentions the case of a family who have to turn their heating off and skip meals. His says they feel like they’re being “priced out of existence”.

Johnson says it would be great if he could send him the details of the case mentioned by Starmer.

The PM reminds him that investment in public services wouldn’t be possible without a strong economy.

He says the UK has record low unemployment.

He then mentions the opening of Crossrail in London, citing it as example of how he “gets things done”.

Sticking to the topic of inflation, Keir Starmer says the PM "clearly can't make his mind up" about whether to bring in a windfall tax on energy firms.

He asks when the prime minister will "get on the right side of the argument".

In reply, Boris Johnson says energy firms are already taxed at a rate of 40%.

He accuses Labour of a "lust to raise taxes on business" and says the government doesn't want to raise taxes if it can, because it believes in promoting investment and growth.

Image source, BBC News

Sir Keir says pretending the economy is booming shows the PM has his “head in the sand”.

He says the PM has offered help before but weeks have passed and “still nothing”.

He says working people can’t afford to wait while he vacillates.

But Johnson says his government has got more people into work and that’s the answer to stimulate the economy.

He says Labour’s answer is to borrow more money. “That’s Labour economic policy.”

Following up, Keir Starmer predicts an "inevitable" U-turn on a windfall tax from the government - saying that oil and gas companies are making extra profits worth £32m a day.

Accusing the government of dithering, he says the prime minister is "choosing to let people struggle when they don't need to".

Boris Johnson says he will "look at all measures in future" - adding this is only possible because the government is delivering a strong economic recovery.

Image source, BBC News

Sir Keir suggests that the PM is shifting his position, which is “clear as mud”.

He says his cabinet don’t know what they think. He says the business secretary said a windfall tax would be a bad policy.

He asks: When will he stop the hokey cokey and back Labour’s plan to cut household bills?

Johnson says Labour’s plan is to raise taxes on business. He says that’s their instinct.

His says economic economics shocks have caused prises to rise, including the war in Ukraine.

He says giving in to Vladimir Putin would be a far greater economic risk.

In his first question, Labour leader Sir Keir Starmer says his party's plan for a one-off windfall tax on oil and gas companies would raise billions of pounds.

He asks the prime minister whether he is for or against the proposal, or "sitting on the fence, like his chancellor".

Boris Johnson says that "in principle" the government doesn't want to raise taxes, and accuses Labour of "loving" tax rises.

He says ministers will take a "sensible approach" on a windfall tax, governed by the impact on investment on jobs.

Image source, BBC News

Boris Johnson is on his feet in the House of Commons and Prime Minister's Questions is getting under way.

We'll bring you all the lines as they happen.

Image source, Reuters

Against the backdrop of the rising cost of living crisis Boris Johnson will be at the despatch box in the Commons for Prime Minister's Questions in around five minutes.

Stick with us here for all the updates on what is said.

We've been hearing the stories of people up and down the country about how rising prices are affecting their lives.

Mother-of-two Cheryl says she is running out of ways to cut back to cope with the "massive increase" in her energy bills.

The 33-year-old lives in a rented house with her husband, son, 9, and infant daughter, 1.

"My salary has remained the same but there's a little bit less because of National Insurance [rises]," she said.

"My energy bill has increased by £52 a month, which is just over £600 a year, so I really notice the difference and then on top of that I've got annual increases like car insurance."

To try and cope, she has cancelled her Disney Plus TV subscription and reined in spending on groceries and clothes.

Image source, PA Media

Council tax rebate

In February, the government announced people in council tax bands A-D, which covers about 80% of households, would get a £150 rebate on their annual council tax bill from April.

The payments are being processed by local authorities in England, Wales and Scotland - although there have been concerns about how quickly they are being paid out.

Energy bills discount (to be repaid)

Households in England, Wales and Scotland will also be eligible for a £200 discount on energy bills from October, to be recovered in £40 instalments over five years from 2023.

Northern Ireland's government has received a proportionate amount to fund similar schemes.

Fuel duty cut

The government has also pointed to its 5p per litre cut to the fuel duty on petrol and diesel as a measure that will reduce costs for car users. However, reports suggest not all of the cut is being passed on to consumers by fuel retailers.

Cabinet ministers have also suggested less frequent MOT tests to save people money, and easing supervision rules to cut childcare costs - but these ideas have not yet materialised.

David Wallace Lockhart
BBC political correspondent

It’s the first session of Prime Minister’s Questions since the Queen’s Speech last week, when the government outlined their plans for legislation in the year ahead.

One criticism levelled at those plans was they didn’t do enough to assist people when it comes to the cost of living.

With today’s inflation figures at a 40-year high, pressure on the government to act is increasing.

Ministers have made clear that more help is coming, but Boris Johnson is likely to face questions about when this will happen, and the form it will take.

Labour wants a windfall tax on oil and gas companies, and government opposition to this appears to be softening.

Calls for swift action could even come from some of Boris Johnson’s own MPs who are uncomfortable about the levels of assistance provided so far.

The House of Commons is starting to fill up ahead of Prime Minister’s Questions, which will start in about 30 minutes.

MPs and Labour leader Sir Keir Starmer will grill Prime Minister Boris Johnson, who will answer their questions at the dispatch box.

Expect the latest inflation figures to come up as Labour pushes for an emergency budget and more support for households struggling with rising living costs.

We'll bring you all the main news lines here.

Image source, Getty Images

Yesterday, Chancellor Rishi Sunak hinted again the government could introduce what is known as a windfall tax on oil and gas firms - something Labour has been calling for.

Speaking in the Commons, the chancellor said "no option was off the table" if energy firms did not invest in the UK.

So, what is it?

A windfall tax is a one-off tax, rather than an ongoing one. It's designed to target companies that have benefitted from something they were not responsible for, i.e. they've been lucky or had a "windfall".

One example of such a windfall would be higher profits due to a spike in global energy prices.

Companies that get oil and gas out of the ground are getting much more money for it than they were last year, partly because demand has increased as the world emerges from the pandemic and partly because of supply concerns due to Russia's invasion of Ukraine.

Labour, the SNP and the Liberal Democrats say money raised by such a tax could go towards helping struggling households.

You can read more about windfall taxes here.

Image source, PA Media

The fuel pump is one place where the reality of the cost of living crunch has become apparent for millions of Britons.

And the average price of a litre of petrol and diesel hit new highs on Tuesday.

The average cost of a litre of petrol on Tuesday was £1.68 and £1.81 for diesel, figures from data firm Experian Catalist show.

The previous record of £1.67 was set on March 22 - just before the chancellor announced a 5p a litre cut to fuel duty to help struggling motorists.

Simon Williams from the RAC motoring organisation said diesel had climbed to its "third record high in four days" meaning "drivers are feeling never-before-seen pain at the pumps".

Here are some figures to give you pause:

"A full 55-litre tank of petrol now costs £92.20 and diesel £99.50.”