Its happened the tax credits cuts have gone through by a majority of 35. I am looking forward to seeing how many of that was Labour, just being pissy at their new leader.
But on a serious note this is bad, During the budget George “I am doing double talk” Osbourne gave Britain a pay rise but it meant nothing because he slashed tax credits. You know the benefits you get because you work but don’t actually earn enough to survive.
The Institute for Fiscal Studies put out a new study today, now I am going to be honest. I didn’t understand the most of it, however this graph jumped out at me.
Working families could be losing as much as £3000
And this is the last two paragraphs from that report
“The NLW is therefore not a substitute for targeted benefits and tax credits when it comes to helping poorer households and tackling poverty. In aggregate, it is not big enough. And it is not targeted at the same group. This does not mean it is necessarily a bad idea. It will provide some compensation to some of those hit by the benefit and tax credit changes. Moreover, if the government believes the labour market functions poorly and that some people are paid less than their productivity warrants, mandating higher pay through the new NLW may help address this problem. Some also argue that higher wages will lead to higher productivity. The risk is that it could have negative impacts on employment and hours of work as higher wages reduce employers’ demand for labour – which is what the OBR expects. Careful monitoring of the impact of the new NLW for those aged 25 and over is crucial.”
(taken from http://www.ifs.org.uk/uploads/publications/bns/BN175.pdf)
Therefore this is just sounding bad.
In April The Trussell Trust announce that record numbers of people were now using their food banks “three days’ food was given out 1,084,604 times in the 2014-15 financial year, though it is not clear how many people got help because some visited more than once.” This is an increase of 19% and does not include other food bank charities (Taken from http://www.trusselltrust.org/resources/documents/Press/Trussell-Trust-foodbank-use-tops-one-million.pdf)
I wonder how much this is going to increase. with people losing between £150-£3000 a year.
In May 2015 The guardian reported that nearly 42,000 families were evicted in 2014 from rental accommadarion a new record high and in the first three months of 2015 11,000 families were evicted (please note this is just in England and Wales, not the whole of the UK)
(taken from http://www.theguardian.com/money/2015/may/14/tenant-evictions-reach-six-year-high-rising-rents-benefit-cuts)
And more evictions are bound to follow when people are having to choose between feeding their families and their rent. Its not longer a choice between food and heating. Families are choosing between a roof over their house and food.
Why is this Government pushing working families to the limit and again I repeat working families, not those on just benefits. They keep saying we want more people in work, They need to take a new tactic before people do start demonstrating and worse, the riots begin, I can imagine that shoplifting is going to go up, and while there is this National Living wage. MP’s continue to get pay raise year after year after year
Remember this photo.
He was celebrating more families being evicted and more families using food banks.
Will this man change things.
What with Harriet Harmon insisting they would not block this proprosal