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"Government's Tax Credit snatch and grab
will hit more than 338,000 working households across the North West" says
UNISON
THE UK Government's cuts to Tax Credits
next April will leave more than 338,000 low to middle income working families
across the North West; and almost 637,000 children; significantly worse off,
according to new research published on Saturday, 3 October 2015, by UNISON.
Using official figures published by HM Revenue and Customs (HMRC), UNISON has
calculated that across the UK more than 2.7m working families; or 2 in 5 of all
working families with dependent children; could lose as much as £3,000 a year,
from April 2016. This is equivalent to the entire population of Greater
Manchester, where the Conservative party conference gets underway. And in
working households across the UK where the parents are in receipt of Tax
Credits, there are 5.2m children, equivalent to the entire population of
Scotland. In the North West there are almost 637,000 children whose parents will
be penalised by the changes to Tax Credits. In his July Budget, the Chancellor
announced changes to the Tax Credit taper and threshold, a move that will see
£4.4bn a year taken out of the pockets of low to middle income families across
the UK. In some cases people stand to lose more than 10% of their take home pay.
According to the UNISON research, London has the highest number of working
families (357,000) who will be hit by the Tax Credit changes, closely followed
by the West Midlands (269,000), and Yorkshire and the Humber (255,000).
Unsurprisingly, says UNISON, the most deprived parts of the Country have the
largest number of families affected by George Osborne's proposals, while in more
affluent places there are far fewer families who stand to lose out. The worst
affected areas in the North West are the constituencies of Blackley and
Broughton with 8,600 families, Blackburn with 8,400, and Bolton South East with
7,300 families. Commenting on the research UNISON General Secretary Dave Prentis
said:- "Many of the thousands of families in the North West who will be
the victims of the Chancellor's cruel Tax Credits snatch and grab still have no
idea that they are going to lose out in 2016. When they start receiving letters
in the post from HMRC just before Christmas, it will mean chaos for family
finances. Tax Credits are a lifeline for families in the North West; quite
simply they are the difference between them keeping their heads above water and
going under. The huge loss of income; of between £1,000 to £3,000 a year; will
have a devastating impact upon family budgets that have yet to recover from the
living standards crisis. Parents, who will go without in a vain attempt to make
sure their children don't, will be forced deeper into debt. The government is
full of praise for people who go out to work to try and provide better lives for
their children. Yet these are the very people these punitive changes will hurt.
It's time for the Chancellor to admit that he's got this one very wrong, and
back down before it's too late." |
