This article is from the source 'guardian' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.

You can find the current article at its original source at http://www.theguardian.com/money/2015/nov/11/tax-credit-cuts-george-osborne-poll-tax-gordon-brown

The article has changed 2 times. There is an RSS feed of changes available.

Version 0 Version 1
Tax credit cuts are Osborne's poll tax, says Gordon Brown Tax credit cuts are Osborne's poll tax, says Gordon Brown
(34 minutes later)
Gordon Brown, one of the leading architects of tax credits in the UK, has warned the chancellor that even a phased-in or watered-down version of his proposed tax credit cuts will condemn Britain to higher levels of child poverty than at any time since 1970s. Gordon Brown, one of the leading architects of tax credits in the UK, has warned George Osborne that even a phased-in or watered-down version of his proposed tax credit cuts will condemn Britain to higher levels of child poverty than at any time since the 1970s.
His challenge to George Osborne in a speech to the Child Poverty Action Group came as Stephen McPartland, the Conservative MP for Stevenage, revealed he is so angry at the cuts that he boycotted a visit to his constituency by the Treasury minister David Gauke. His challenge to the chancellor in a speech to the Child Poverty Action Group came as Stephen McPartland, the Conservative MP for Stevenage, revealed he was so angry at the cuts that he boycotted a visit by the Treasury minister David Gauke to his constituency.
Related: George Osborne sees fresh blow over planned tax credit cuts changes He said Gauke was only willing to talk about research and development credits for industry, and not prepared to discuss cuts to family tax credits.
He said Gauke was only willing to talk about research and development credits for industry, but not prepared to discuss cuts to family tax credits. McPartland published figures from the Commons library showing that a family on £20,000 a year currently receives 87% of their maximum child tax credit award. This will be cut to 51% from April when the planned changes take effect, leading to an overall loss of £2,000.
McPartland published figures from the Commons library showing that a family on £20,000 a year will currently receive 87% of their maximum child tax credit award. However, this will be cut to 51% in April, when the planned changes take effect, leading to an overall loss of £2,000. He said the cuts were unacceptable. “I know there was a lot of sympathy with my view right across the Conservative arty,” he said.
McPartland, a long-term opponent of the tax credit cuts, said the cuts were unacceptable. “I know there was a lot of sympathy with my view right across the Conservative arty,” he said. Priti Patel, the employment minister, said Osborne had been very clear that he would announce his plans in the autumn statement on 25 November and should be entitled to reflect on the criticisms that have been made.
Priti Patel, the employment minister, said Osborne had been very clear that he will announce his plans in the autumn statement on 25 November and should be entitled to reflect on the criticisms that have been made. She stressed that Osborne will set out a phased transitionfrom a low wage, high welfare economy to a high wage, low welfare economy. By contrast, Patel accused Brown of trapping the poor in poverty, and pointed to the record employment figures published on Wednesday. She stressed that Osborne would set out a phased transitionfrom a low-wage, high-welfare economy to a high-wage, low-welfare economy. By contrast, Patel accused Brown of trapping the poor in poverty, and pointed to record employment figures published on Wednesday.
In a relatively rare intervention in domestic politics, Brown predicted that government-induced poverty would leave the country more divided – a “polarised, harsher two-nation” Britain – with inequality set to rise faster than anywhere in the world.In a relatively rare intervention in domestic politics, Brown predicted that government-induced poverty would leave the country more divided – a “polarised, harsher two-nation” Britain – with inequality set to rise faster than anywhere in the world.
This government, he said, had turned its fire on the working poor and their children, breaking election promises and penalising the very people they said they were in business to help. He accused the Tories of forgetting that the majority of poor people are not in workless or “chaotic” families but in hard-working families struggling to give their children the best start in life. He said the government had turned its fire on the working poor and their children, breaking election promises and penalising the very people they said they were in business to help. He accused the Tories of forgetting that the majority of poor people are not in workless or “chaotic” families but in hard-working families struggling to give their children the best start in life.
He said: “By cutting work incentives and hitting children hardest they shame Britain, betraying our core values that encourage fair play, hard work, taking responsibility and compassion to children.”He said: “By cutting work incentives and hitting children hardest they shame Britain, betraying our core values that encourage fair play, hard work, taking responsibility and compassion to children.”
Brown also said the Conservatives were totally ignoring the debate in the US, where several rightwing Republican presidential candidates are vying with each other to support tax credits. Brown said the Conservatives were ignoring a similar debate in the US, where several rightwing Republican presidential candidates are vying with each other to support tax credits.
He said: “Tory analysis is so wrong – a mistake on a par with the poll tax and worse than bedroom tax. The impact of cuts cannot be massaged or phased to ‘soften the blow’. Even a modified version will destroy jobs, stunt children’s development and impoverish hard-working families”. He said: “Tory analysis is so wrong – a mistake on a par with the poll tax and worse than bedroom tax. The impact of cuts cannot be massaged or phased to soften the blow. Even a modified version will destroy jobs, stunt children’s development and impoverish hard-working families.”
The Conservative-controlled work and pensions select committee has condemned Osborne’s proposed reforms and urged him to consider a pause to undertake a fundamental rethink of his priorities in reforming the welfare state.The Conservative-controlled work and pensions select committee has condemned Osborne’s proposed reforms and urged him to consider a pause to undertake a fundamental rethink of his priorities in reforming the welfare state.
Rebecca Long-Bailey MP, the shadow Treasury minister, said the committee’s request was “a huge blow” for the chancellor. “Not only has a Conservative-controlled select committee demanded he U-turns on his tax credit cuts, but one of his own MPs is now even suggesting he considers proposals similar to Labour’s alternative plan as an option,” Long Bailey said. Rebecca Long-Bailey, the shadow Treasury minister, said the committee’s request was “a huge blow” for the chancellor. “Not only has a Conservative-controlled select committee demanded he U-turns on his tax credit cuts, but one of his own MPs is now even suggesting he considers proposals similar to Labour’s alternative plan as an option,” Long Bailey said.
“Labour has said we will support George Osborne if he reverses his tax credit cuts fairly and in full. And we have provided him with a plan so he meets his own self-imposed charter by targeting a lower surplus and reversing his tax giveaways to a wealthy few.“Labour has said we will support George Osborne if he reverses his tax credit cuts fairly and in full. And we have provided him with a plan so he meets his own self-imposed charter by targeting a lower surplus and reversing his tax giveaways to a wealthy few.
“Now his inability to take a lead on this issue is seeing even Tory MPs follow Labour proposals. It’s about time George Osborne simply stops playing cynical political games with this issue and just accepts he was wrong to cut £1,300 a year from over 3 million working families and reverses his work penalty.” “Now his inability to take a lead on this issue is seeing even Tory MPs follow Labour proposals. It’s about time George Osborne simply stops playing cynical political games with this issue and just accepts he was wrong to cut £1,300 a year from over three million working families and reverses his work penalty.”
Related: George Osborne sees fresh blow over planned tax credit cuts changes
The Liberal Democrat leader, Tim Farron, said:“The dramatic cut to tax credits has been an utter and total disaster from start to finish. The Conservatives portray themselves as the workers’ party, but when the mask slips you see what they really think.The Liberal Democrat leader, Tim Farron, said:“The dramatic cut to tax credits has been an utter and total disaster from start to finish. The Conservatives portray themselves as the workers’ party, but when the mask slips you see what they really think.
“Osborne’s plan to cut the income of hard working people, many of whom are just above the breadline, is this chancellor’s poll tax. The Liberal Democrats remain utterly opposed to these cuts, and unlike Labour, voted to axe them when it mattered. “Osborne’s plan to cut the income of hard-working people, many of whom are just above the breadline, is this chancellor’s poll tax. The Liberal Democrats remain utterly opposed to these cuts and, unlike Labour, voted to axe them when it mattered.
“When Conservative backbenchers recognise that more than two thirds of families will be worse off, left struggling to get by, we truly see how awful these proposals are. The chancellor must listen to this evidence from the work and pensions select committee and scrap this misguided and pernicious plan altogether.” “When Conservative backbenchers recognise that more than two-thirds of families will be worse off, left struggling to get by, we truly see how awful these proposals are. The chancellor must listen to this evidence from the work and pensions select committee and scrap this misguided and pernicious plan altogether.”