David Cameron has been accused of trying to “bribe” pensioners while saddling younger people with government debt, after he promised to maintain state benefits for all old people.
Mr Cameron said his 2010 promise to preserve winter fuel allowances, free TV licences and bus passes regardless of pensioners’ income would last as long as he remains prime minister. Labour and the Liberal Democrats have promised to restrict the winter fuel payments for better off pensioners.
But critics accused the Conservatives of playing a cynical “generation game” to woo the “grey vote” because the over-65s are the most likely group to vote in May’s general election. Pensioners’ perks cost about £3bn a year and the Tories have pledged to find a further £12bn cuts in welfare if they remain in power.
Mark Littlewood, director general of the Institute for Economic Affairs, said:
“Politicians must stop trying to woo elderly voters at the expense of other generations. The elderly cannot remain immune to public spending restraint and abolishing these benefits would help ease the burden on the working age population.”
Jonathan Isaby, chief executive of the Taxpayers’ Alliance, said:
“It’s hard to shake the suspicion that austerity stops at 65. The extraordinary debt that politicians have racked up will weigh very heavily on our children and grandchildren, and continuing these policies into the next parliament will only add to that potentially back-breaking burden. Politicians must stop attempting to bribe certain voters with special favours, show some backbone, and think about the long-term health of the nation’s finances by means-testing or abolishing these unaffordable benefits.”
Speaking in Hastings, Mr Cameron claimed that Labour’s plan to withdraw winter fuel payments from pensioners paying the 40p rate of tax would save only £75m a year. He said the Government’s decision to raise the age at which people qualify for the state pension would save more than half a trillion pounds.
The Prime Minister added:
“I don’t think we should break the system of having benefits for pensioners for such a small saving when you are giving up such an important principle and such a reassurance to people in our country.”
“Comfort, independence, companionship, health – these aren’t luxuries; they’re what people who have worked and saved all their lives deserve. The fact is, if something happens to you when you’re old, or to your income, you can’t as easily change your circumstances as younger people can.”
Source – The Independent, 24 Feb 2015
I’m always a little wary of anything with the Taxpayer’s Alliance name on it, always regarding them as a Tory front group… are they starting to bite the hand that (alledgedly) feeds them ?
A report just published by the Taxpayer’s Alliance has found that the poorest 10% of households in the UK pay 47% of their gross income in direct and indirect taxes.
Analysis of Office for National Statistics figures for 2012-13 by the organisation shows that VAT accounts for 13.9% of the gross income of the bottom 10%, whose total gross income was £9,743 (inclusive of benefits), and 7.2% is accounted for in council tax.
Combined direct and indirect taxation accounted for £4611 of gross income, leaving £5132.
In contrast, the wealthiest 10% of households paid 35% of their gross income (including benefits) in taxation, with income tax accounting for 19.1%.
Jonathan Isaby, Chief Executive of the TaxPayers’ Alliance, says in the report “This analysis shows how pernicious our tax burden has become. Not only does the tax system hit the poorest hardest, but those at the top are already contributing far…
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Child Benefit should be limited to no more than four children per family to help cut welfare spending, say Policy Exchange.
A report by the centre-right think tank has recommended limiting child benefit for larger families. The move could save around £1 billion over the course of a parliament, say Policy Exchange.
Policy Exchange is said to have close ties with the Conservative Party and was founded by a group that included Michael Gove, Francis Maude and Nick Boles. Many of the past recommendations made by the think tank have been adopted into tory manifestos.
If this new policy is adopted, it would see child benefit progressively cut for each child born into a family, and rise by no more than 1% each year over the five-year course of a parliament.
Parents would initially receive £21.50 a week for their first child, £14.85 for the second child, £14.30 for the third and £13.70 for the fourth. Payments would be limited to no more than four children per family. Supporters of the policy claim it would help deter immigrant from coming to the UK to claim benefits for their children.
Policy Exchange said that a YouGov poll, commissioned by the think tank, found that 67% of voters would support cutting child benefit for larger families. 20% were opposed to the move.
According to the results of the poll, the proposal is supported by 83% of Conservative voters, 63% of Liberal Democrat voters and 55% of Labour voters.
The Conservatives have previously considered a similar proposal put forward by Nadim Zahawi to limit child benefit to just two children, but decided against the policy out of fear it would cost the party votes.
The author of the report, Steve Hughes, said:
“The chancellor has suggested that annual welfare savings of £12bn will have to be found to avoid further and faster cuts to departmental budgets.
“Choosing where this money comes from is not easy, but with such high levels of public support, capping child benefit at four children and redesigning payment levels offers a very real opportunity to generate some much needed savings in the fairest way possible.”
A spokesperson for the right-wing pressure group, Taxpayers Alliance, told the Daily Express:
“No one should be immune from having to make the sometimes hard choices associated with having a family and people have to realise that there is not a bottomless pit of money.”
Opponents argue that the tory-led coalition government has consistently targeted Britain’s poorest households with draconian welfare cuts, while continuing to allow multinational companies to escape paying their ‘fair share’ in tax and handing tax cuts to the highest earners, who could afford to pay more.
They also say that there has been far too much focus on cutting state benefits, rather than introducing a living wage to help parents cover the cost of living and raise their own children, instead of having to rely on benefits to top-up stagnating wages.
Figures released by the Office for National Statistics (ONS) yesterday (17 June) appear to support such an argument. ONS figures show that average pay has increased by only 0.7% on this time last year, or just 0.3% excluding bonuses – well below inflation which currently stands at 1.9%.
A Survation poll for the union Unite, found that over a third (34%) of low wage earners cannot afford to shop where they work and nearly sixty percent of workers earning £6.50 or below (58%) feel trapped in low waged work. 79% of respondents said that they want work to pay and want to earn a living wage instead of depending on benefit top ups.
Welfare News Service requested a comment from the Child Poverty Action Group (CPAG) on how limiting child benefit would impact upon child poverty figures. Unfortunately they did not respond in time for publication.
Source – Welfare News Service, 17 July 2014
A mountain of unpaid council tax is owed to North authorities . . . amounting to a staggering £127million.
Despite many North councils facing severe financial hardship and axing hundreds of jobs, millions of pounds is still outstanding from those who have not paid their tax.
Concerns are growing that with so many people currently facing financial hardship, the current arrears situation will only get worse.
According to figures from the Department for Communities and Local Government, homes in Middlesbrough owed among the most on average, taking into account the number of households.
Calls were today made for a distinction to be made between those who are struggling to pay their tax – and those who deliberately avoid it.
Bosses at the region’s Citizen Advice bureaus say one in five people reporting debt problems to their service has a council tax arrears issue.
Figures show that between January and March this year, council tax debt was the number one debt problem the charity in the region helped with.
Gillian Guy, Citizens Advice chief executive, said: “For some households council tax bills can be the tipping point that plunges them into debt.”
Council bosses today said they are chasing the outstanding cash while at the same time offering support to those struggling to pay their bills. A Newcastle City Council spokesman said: “The amount outstanding that is owed to us is currently £12.2m – but these debts are more than a year old and in many cases go back as far as six years, and we have arrangements in place to collect some of this debt. We pursue people who refuse to pay these charges vigorously and only stop when it becomes uneconomical to do so.
“We have a statutory duty to collect council tax and business rates which are spent on vital services such as social care. Our collection rates are currently the highest of any core city and even higher than those of many smaller sized local authorities.
“Those who get into difficulties paying their charges should contact us as soon as possible so we can make alternative arrangements to help them pay and offer them advice.
“We also work very closely with the Citizens Advice Bureau and other voluntary sector organisations so those in genuine difficulties can get the help they need – but informing us of problems at the earliest opportunity is probably the most important thing a person can do and we actively encourage this.”
Jonathan Isaby, chief executive of the TaxPayers’ Alliance, said: “Councils need to be clear why they fail to collect so much in council tax, but it’s hardly surprising that some residents struggle to pay after a decade of hikes.
“Town halls need to differentiate between those who simply try to avoid paying and those who can’t afford to when dealing with cases. The latter should be helped with easier ways to pay, like Direct Debit, while the former should be pursued for outstanding bills.”
> Oh great – Direct Debit is not an easier way to pay if you’ve not the money to start with. But I suppose the kind of advice you’d get from a think-tank founded by a group of libertarian Conservatives.
Bosses at North Tyneside Council say their total arrears figure is “constantly shifting”, although as of the end of March this year it stood at £10.7million.
A spokesperson added: “The council’s overall collection rate for council tax, including arrears, is 99.2 per cent. We have prompt and effective collection strategies in place and balance this with support and assistance for those who may have difficulties in making payments.”
Stockton has arrears of more than £5m according to the figures.
David Harrington, Stockton’s cabinet member for corporate management and finance said: “We collected more than 98 per cent of all council tax in 2012/13 and in 2013/14, collected 96.9 per cent, which is still well above similar authorities.”
John Jopling, Gateshead Council service director for Customer and Financial Services said his authority’s charges for the year 2013-14, are still being collected.
He added: “It’s important to note that over the past two years there have been some significant changes to levels of council tax that is due to be paid. In Gateshead the level of support available for those on low incomes has been reduced, with some of the lowest income families now having to make a minimum 8.5 per cent contribution.
“This is as a result of the Government’s abolition of council tax benefit. Additionally, the council has also made changes to the levels of discount available on empty properties and second homes which have reduced exemption periods and charged premiums on long term empties.
“The effect of these changes is an increase in the amount of council tax due to be collected, which has increased by £4.3m or 5.5 per cent.”
A South Tyneside Council spokesman said: “We do all we can to maximise council tax collection rates, though recovery can take time and in some cases we are not able to recover the council tax debt in the financial year in which it is due. We currently collect around 98 per cent of overall debt.”
Source – Newcastle Evening Chronicle, 13 July 2014
Yet another benefits scandal over ‘absurd’ two-week paid holiday for jobseekers
DOLE claimants are getting more than £140 in benefits while they take two-week holidays
Critics say it is “absurd” that jobseekers should get a paid break while they look for work.
All 1.2 million people on Jobseeker’s Allowance are allowed a fortnight’s break from looking for work without losing their handouts. The only conditions are that they stay in the UK and must cut short their trips if they are called to interviews or offered work.
> Allowed BY LAW, note. Nobody is breaking any law. Although that said, I’ve never taken it, nor has anyone I know. The main reason being that its another of those rights that the Jobcentre forget to tell you about.
Of course, thanks to the Express, now everyone knows about it !
If all current claimants took their fortnight’s holiday it would cost the public £165million.
> How ? They’d still be receiving exactly the same money as if they hadn’t gone on “holiday”.
Jonathan Isaby, chief executive of the TaxPayers’ Alliance said: “It’s deeply worrying that our welfare system assumes people will be stuck on benefits so long that they need a holiday.
“If you’re not looking for a job you shouldn’t get Jobseeker’s Allowance.
“Giving claimants paid holiday is absurd as their time should be devoted to gaining employment that could pay for a break.”
> And here come the usual suspects – Tax avoiders Alliance to the fore and in a minute there’ll be some Tory you’ve never heard of trying to win brownie points…
Tory MP Chris Skidmore
> Told you !
said: “Claiming dole can’t be treated the same as having privileges of full-time work with paid holidays.
“As a country we can’t afford for people to take two weeks off from looking for work.”
> Oh for fucks sake ! You do dispair at these idiots… wish they’d been equally vocal when it came to MPs expenses – the real something for nothing culture.
The Government says its new Universal Credit, which rolls together six benefits, will bring an end to the holiday privilege. A spokesman for the Department for Work and Pensions said: “In Universal Credit, jobseekers will no longer be able to stop looking for work while taking in a holiday.”
> That’s the same Universal Credit which has cost millisons but still doesn’t work ? I read some where recently that the cost is £600 million + (and rising).
Kind of makes If all current claimants took their fortnight’s holiday it would cost the public £165million rather cheap by comparison, doesn’t it ?
Joke – Q. What’s the difference between Universal Credit and an unemployed person ?
A. There’s a good chance that the unemployed person will work one day 🙂
I almost couldn’t bear to look at the comments section following the article – this being the Express – but was actually almost pleasently suprised. Either the hardcore Express readers are on holiday themselves or there’s a guerilla infiltration going on.
One comment I particularly liked –