Government to review child benefit cuts

[googlenut]

Was on lunchtime news (on phone so can't do link) that the government have confirmed that they will review the plans to cut child benefit. Sounds like they will still do something - what do people think we will end up with?

a pork sausage

I remember hearing there was talk of changing the upper limit to 50k, which would make the difference between receiving it and not for a lot of people...

Corn

a value one at that

Altbough at first suggesting drastic cuts and then offering a little bit of leeway last minute could be a way to let less dramatic (but still large) cuts pass by the public with little noise.

E.g.

"We're cutting CB for anyone earning over 42k"

Cue general outcry and lost votes from the "squeezed middle"

"Oh wait, we've had a rethink. Now it will only affect those earning over 50k." (So still a lot of people, what would the take home difference be between 42 and 50k be?)

All those 42k earners breathe a sigh of relief as this news isnt as bad as they were expecting and happily forget the 50kers as a compromise has now been reached.

and happily forget the poor where CB is being included in the 26K cap. As the Govt ignored the Lords amendment to the WRB to make CB seperate.

How does increasing the limit to £50k address the fundamental problem though?

That would mean a single earner family on £52k would be ineligible however a dual earner family on £99k could still qualify.

So it doesn't address the fact that if you are going to make this benefit means tested, it should be on family income, not individual incomes, just like tax credits.

Sorry, that was clumsy.

Basically, if we're all kept scared with outrageous, death and destruction headlines, we'll be grateful for any titbits thrown our way and won't make a fuss when the slightly less dramatic but still hard cuts they had planned all along are suggested "instead".

Kal I didnt know that.

Does anyone know how they are planning to implement this? Surely means testing would cost a fortune in admin? Would it mean a link to the tax office or would you have to "opt out" voluntarily?

They are also talking about taking away half of it for a family with one higher rate tax payer and all of it if there are two. That does seem fairer. There is no such thing as a perfect system but that could be the best option.

Even if we ignore those on benefits potentially losing it, one outcome is removing CB from anyone can oftne remove the only source of income payed to the woman of the family. So while a family might be wealthy, the earner could be the man and a total arse. Or the family on benefits, all the Universal Credit is to be paid to one person (and looks like it will be the male...)
CB was the one payment made to women.

Odd boots way seem fairer and it would be a more gradual reduction and allow families to adjust.

I am a sahm and CB is my only "income".

My dh earns just over the limit and we have been a single income family for 9 years (since ds1 was born)

All political parties seem to loathe SAHPs dont they? What did IDS say last year???? oh yes!..."SAHPs contribute nothing to society"

FFS.

The reason they can't do joint income is because it's too expensive to admin. Its currently linked to the person getting paid the CB. If they have to means test the CB for a family, they have to basically remove it and increase tax credits. That won't be paid out to the SAHP isn't it? (I don't get TC so no idea how it's paid).

And to all those crying about the higher rate DHs. I read on BBC it's only 15% affected by this change. Hardly a lot of people. Maybe a lot on MN as its a more middle class group here.

And I will be controversial and say that if you can afford to SAH, you are better off than the average already. A lot can't afford to SAH. Our mortgage is half of DHs pay.

Well im just reciting what the article says about joint income testing. Tbh I do think it's fairer if it's a tax credit.

The money this stupid idea would "save" the govt. is a drop in the ocean wrt the deficit...how about getting all Daves cronies (like sir phillip green) to pay the millions and millions they owe in unpaid taxes????????

My eldest son has SN so not really a lot of choice re: sahm frankly

oh and I love the idea that people think "higher rate tax payer" equates to "rich"

We have been a single income family for nearly a decade, since ds1's birth. For us that means, old car, no foreign holidays, no treats, no going out (except maybe for b days etc when someone else pays)

Hardly the high life, is it?

It is extrordinary how unfair, anti woman and just plain stupid this 'policy' is.

1. Administration - how will it be done, how will fraud be detected, how responsive will the system be to changes in family circumstance?

2. Independant taxation - since when has a benefit paid to an individual NOT a family unit, been removed from that individual because of another person's earning?

3. HRP - what will replace this?

I've never seen any of these questions answered.

Just because only one parent works doesn't mean you can afford to SAH. I SAH because I was made redundant and haven't been able to find another job. I am currently living on savings and we can't really afford for me to SAH. We have 3 children and before anyone says anything - when we had them we could afford them because I was working. Our family income has since dropped dramatically.

northern Agree completely...it is anti woman. Definately. Most carers/sahps are women..thats a fact. And we are not considered "worthy" by this Govt to the pittance that is CB.

Its not just CB though, is it? Its DLA/carers allowance/motability...its all being fucked up 8and the people who caused this financial crisis have gotten away scot free - in some cases with massive pay offs*.

Sickening.

I REALLY hope this stupid idea is the Coalitions Poll Tax........

It's ridiculous that they're even considering it. How much will it really save?

How about getting those companies to pay the correct amount of tax rather than letting them get away with 'we're not going to pay £xxx we'll only pay £x'. The icon bastards the lot of them. I really think that we should be organising more protests about this but wouldn't know where to start

I think I saw the figure £84m quoted which - as I said - is a drop in the ocean wrt the deficit.

Also, I don't understand how it will be administered. I claim the CB. If they look at my income they will see I earn nothing. I thought under the principles of independent taxation my income can't be linked to DH's. How can they find out without me declaring it? And if DH has no obligation to tell me what he earns then he could be paying higher rate tax without me knowing it.