Tax credit changes will hammer families in North Cornwall says Dan Rogerson
5400 families in North Cornwall will lose out under Conservative plans to cut tax credits.
Figures produced by the House of Commons Library show over three million low-income working families currently in receipt of tax credits will see their entitlement reduced, as part of the Government’s proposals.
The change will mean a total loss of £5,250,000 to families in North Cornwall, with the average family losing £750 a year.
Despite claims from the Conservatives that those affected will benefit from plans to increase the minimum wage, the independent Institute for Fiscal Studies has said Tory figures don’t stack up.
IFS analysis shows a £750 average loss will only be offset by £200 as a result of the new minimum wage.
Liberal Democrats have opposed the move and said it undermines the work of the Coalition Government, to make sure it always pays more to be in work than on benefits.
Former North Cornwall MP and Liberal Democrat Parliamentary Spokesperson Dan Rogerson said:
“This is a slap in the face for families in Cornwall, and money taken out of the Cornish economy. Their inheritance tax changes will keep money in the South East.
“What makes this even worse is that 8400 children in our area will now be forced to live in poorer households, reducing their life chances and making it harder for their parents to make ends meet.
“Study after study have shown that the Conservative’s claim to be supporting low income families through a minimum wage increase nowhere near make up for these cuts. It’s time for them to come clean and be honest with those doing the right thing and going out to work.
“I am pleased that Lib Dems are opposing this measure. We worked hard in Coalition to ensure that work would always pay more than choosing to remain on benefits. It is a disgrace the Conservatives are now undermining this good work.”