If the Tories come into power, tax credits could be axed :-O

[GlastonburyGoddess]

In the news today. Im appalled. Talking about how tax credits create a demotivation to earn more etc etc

Im disgusted, no mention of if it would be replaced with something else.

we both work, we get our wages at the end of the month and within 3 days its gone on bils, we then live day to day off the tax credits. we'd be f**d hope they dont end up in power....

See I dont agree it is all labors fault ( I am a member of The Green party tough, so the patronising tone may be better directed at someone whose opinions are uninformed, not just different)

I experienced life in the NHS before and after labour (worked in it indeed), I experiecned parenthood in a low income family before TC's.

I grew up on a rough estate and attended a sink school, and studied at Uni with the loans system.

In my very real experience Labour has done a massive amount to improve the life experiences of those like me.

And yes mrs SWC maybe eeryone will suffer, but some of us are uniquely vulnerable, and I'd be surprised if many people in my position wuld welcome a Tory Government.

Peachy - agree wholeheartedly!

Perhaps SWC, but we were hot by both recessions and I know which one has managed to not lose us our home due to the systems in palce to do with redundancy

We also have asd- 2 in fact, and the same complete alck of services sadly. The difference perhaps is that DH lost his job 5 months ago and has only ahd part time work since, and the TC system has allowed us to remian in our rented home whilst I try and find a job and he combines part time work with Uni.

So absolutely I get on a knife edge, as I said we lost our home last time.

My perception though is very different, c'est la vie I guess.

how has it 'fucked the basis of welath generation'?
It was the Tories who destroyed the manufactering base and left whole communities in poverty and unemployment. Tories who cut benefits to the poorest - my mum was a single mum on a council estate and we didn't have enough to eat FFS. Disgusting in this country.
Labour has introduced CTC and WFC. Complicated yes but thousands upon thousands of families have been lifted out of poverty by them. A 'free market' doesn't like a minimum wage and is a bd idea but the Tories are wedded to it.
Mind you, the gap between rich and poor which widenend under the Tories has continued to widen. There is a fuck load of wealth in this country and its is a rich country still regardless of the welfare bill.

smallwhitecat, I have to disagree with this;

'So from my perspective the Labour Government doesn't look much like the friend of the parent of the child with special needs.'

My daughter also has ASD and is on a funded ABA program which we won via a tribunal order. I am concerned about the future of the tribunal system which affords us, as parents the right to fight for our disabled children to have a decent education, under a Tory government. If my dd had been born 20 years ago I am fairly confident that local government would not have felt that it was even relevant to provide her with an education at all and I can imagine that I would not have had the right to appeal her woefully inadequate statement.

Riven - more families are now living in poverty than ever before. It's simply not true to say that it was worse under the Tories, and crap to suggest that they destroyed the manufacturing sector. They denationalised because the EU forbade state subsidies, and then in 86 when they deregulated the financial sector and the pound became stronger, it became harder to export, simple as that.

I could get DH to come on and give the low down on the state of tax in this country if you like - he's a tax strategist who advises and comments on Govt policy (although it's likely to send anyone to sleep!)

Should add the advice from the Institute is duly ignored by the Govt...

I'd love to hear from your DH, PG

I think that the Labour govt has encouraged an 'anything goes' lifestyle, which has lead to chaotic family set-ups, and ultimately to families living in relative poverty.

Actually Dh didn't lose his job for any reason associated with the recession SWC, hisn employer posted record profits (CEVA, check them out- used to be TNT) just as they cut significant numbers of jobs.

Wes till don't know why, however it may be shit for now but long term ahs given him the chance to follow a (profitable) dream so definitely being pessimistic

Also the basis of wealth generation is business

When DH qualifies he will be employing people to help him, it si the TC system that allows him to work towards this instead of being sat at home moping about the alck of work.

That is the basis of wealth generation, small entrepreneurs with an eye on the future

Child tax credits are a bureaucratic mess and need reforming. For our family child tax credits aren't essential, it pays for us to have a few luxuries, but it certainly does not feed us.

I would prefer child benefit to be increased and the means tested part (Ie. child tax credits) to only be done for low income families.

I would also like to see nursery vouchers extended as all children benefit from a few hours at nursery. Prehaps more conversially I would like a tax system to favour those who are married with children.

My husband has to do self assessment because his income is variable, sometimes he gets bonuses and sometimes he doesn't.

hatwoman - there is a misconception that Tax credits are a credit towards the tax that you would pay. It isn't true for low income families. A family with 3 children on an income of £15000 (one wage) gets around £9000 in tax credits per year. They would only pay £1705 in tax.

By simply removing taxation for low wage earners, and abolishing tax credits, that family will be £7000 worse off PA.

I'd be more worried about what LABOUR are actually planning to do rather than what people are gusessing that the TORIES might do:
news.sky.com/skynews/Home/Politics/Housing-Benefit-Cuts-To-Be-Opposed-By-Labour-Rebel-Frank-Field-Wh o-Claims-They-Hit-Britains-Poorest/Article/200908415370379?lpos=PoliticsNewsYourWayRegion7&lid= NewsYourWayARTICLE15370379HousingBenefitCutsToBeOpposedByLabourRebelFrankFieldWhoClai msTheyHitBritainsPoorest

lou031205 Sat 29-Aug-09 10:57:02

"We get more in tax credits than DH earns. No amount of tax breaks would make up for that They are half our total income".

Us too, god help us if they get in.

what a fab thread, 67 posts on the basis of what someone might have said on the news about what the Tories might do when they win the next election.

well, the Tories are scary for anyone who remembers the last time and was in a family on low income/benefits!

'what a fab thread, 67 posts on the basis of what someone might have said on the news about what the Tories might do when they win the next election.'

OR

A thought provoking anticipatory debate on the effects of potential policies on the wider UK community

Nothing wrong with a buit of discussion

lou - for low income families I take your point. but for some (most? I'm not sure) the credit is less than their tax bill - and it's in those cases that dressing it up as something the govt "gives" rankles.

But StripeySuit, that would only give you 'tax relief' on the £6475, so you would be £1424.50 better off. But if that replaced tax credits, as a family we would lose £11000.

Tha link to housing benefit cuts is actually closing a loophole that allows people to keep the excess paid if they find a palce under the area band price. Still think its abit men, but NOT the same as an actual cut in HB.

I imagine most people will just say stuff it and move to a slightly pricier area covered by full HB instead. No benefits to be ahd living in crap central any mroe.

We'd be worse off by a similar amount to Lou, and left with under £10k tolive on in entirety including rent and petrol. Somehow, can't see it working.

hatwoman, even if we earned £50000, we would only pay £9930 in tax. We get more than that as a family for CTC+WTC. (We have 3 children, one 'severely disabled'). DH would have to earn £56000 per year for a 'tax relief' to equal our CTC+WTC per year. He currently earns £14500. I can't see the Govt, any Govt., raising the minimum wage to £31.70 per hour, which is what they would need to do for that theory to work.

And that HB excess is only £15 per week. Maximum. For us, we get about £7 per week for living in a cheaper house, but our rent is about £200 per month under the allowance. So we get £7 per week for saving the council about £30 per week.