New figures show David Cameron’s cuts to tax credits could hit more than half of families in Southampton Test
New figures from Labour show that 65 per cent of families with children in Southampton Test could be hit by David Cameron’s tax credit cuts.
The House of Commons figures show that there are 18,700 children in households which will be affected by any cuts to working families (in the Southampton Test and Itchen constituencies).
57 per cent of families with children in Southampton Test receive Tax Credits. Across the UK the figure is 51 per cent, with the number rising to 56 per cent in five UK regions.
David Cameron and George Osborne still haven’t come clean about exactly what cuts to tax credits they are proposing. But it’s clear that low paid working families in Southampton are in the firing line. The Tories concealed their proposals from public view throughout the election campaign. It is time for David Cameron and George Osborne to spell them out and let people judge whether or not they are fair.
A family with two children working full time at the National Minimum Wage would receive around £4,800 a year in tax credits, providing a vital boost to their living standards. But reports this week suggest that David Cameron is considering drastically cutting tax credits, with average losses to families of £1,400 a year. To make up for that loss, someone working full time at the National Minimum Wage would have to work an additional six weeks.
Source: HMRC (April 2015) Child and Working Tax Credit Statistics, April 2015. https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/423621/ChildandWorkingTaxCreditsStatistics-April_2015.pdf