Six reasons why Labour is campaigning against the Tax Credit Cuts:
- The cuts to tax credits will hit more than three million families in work
- On average, each of these families will lose £1,300 next year
- For these families, it’s effectively a penalty for working
- The government has claimed that their so-called ‘National Living Wage’ (lower than that calculated by the Living Wage Foundation) will compensate for the cut. The independent Institute for Fiscal Studies has said that this is “arithmetically impossible”
- As a result of the cut, child poverty will increase. The Resolution Foundation has found that all the tax and benefit changes in the Government’s Summer Budget will push 200,000 children into poverty next year
- David Cameron never mentioned these plans before his election campaign despite having lots of opportunity to do so. In fact, before the election, he promised not to cut child tax credits and made no mention of any other changes, yet these cuts were announced in his first Budget after the election