Prime Minister Rishi Sunak said the extension of the EPG - which is thought will cost £3bn - would 'give people some peace of mind'
Labour's shadow chief secretary to the Treasury, Pat McFadden, welcomed the announcement, saying his party had been calling for it for some time.
The Liberal Democrats echoed his criticism with a call for further bill cuts, with their economic spokeswoman, Sarah Olney, saying:"Instead of a sticking plaster for another three months, we need meaningful action now."Treasury committee chair expects some 'generous measures' in budget But Labour MP Stella Creasy said the policy was"economically illiterate" as it would"stoke up demand without producing the supply"But I really worry this announcement, if it's not backed up with the money needed to actually properly fund these places and properly expand the places - bear in mind that half of local authorities tell us they don't have the places they need at the moment to meet demand - then this government could end up crashing the childcare system...
The policies fit into what is expected to be the wider theme of the budget - encouraging people back to work. He told Sky News:"I think it's very important that that is not disturbed by people being unhappy about no tax cuts today.
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