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| Version 1 | Version 2 |
|---|---|
| Call to end middle class benefits | Call to end middle class benefits |
| (about 15 hours later) | |
| Benefits for the middle classes should be taken away to avoid higher taxes, a centre-right think tank has suggested. | Benefits for the middle classes should be taken away to avoid higher taxes, a centre-right think tank has suggested. |
| Reform says payments including maternity pay, child benefit, the winter fuel allowance and TV licences for the elderly could be scrapped. | Reform says payments including maternity pay, child benefit, the winter fuel allowance and TV licences for the elderly could be scrapped. |
| It says the UK spends £31bn a year on such benefits, equivalent to an extra 8 pence on the basic rate of income tax. | It says the UK spends £31bn a year on such benefits, equivalent to an extra 8 pence on the basic rate of income tax. |
| In a report, it also argues that flexible savings accounts should be set up to replace pension contributions. | In a report, it also argues that flexible savings accounts should be set up to replace pension contributions. |
| Chancellor Alistair Darling has predicted that public borrowing will reach a record £175bn next year. | Chancellor Alistair Darling has predicted that public borrowing will reach a record £175bn next year. |
| Reform says while times are hard, the leanest welfare system focused on the most needy, is all the UK can afford. | Reform says while times are hard, the leanest welfare system focused on the most needy, is all the UK can afford. |
| It defines middle class as a household where the total income equates to at least £15,000 a year for each adult and £5,000 per child. | |
| The message is provocative and reignites the long running debate about the scope of the state, says BBC social affairs correspondent Sue Littlemore. | The message is provocative and reignites the long running debate about the scope of the state, says BBC social affairs correspondent Sue Littlemore. |
| Small print | Small print |
| In its report, The end of entitlement, Reform suggests the "middle classes are being bribed with their own tax money". | In its report, The end of entitlement, Reform suggests the "middle classes are being bribed with their own tax money". |
| It says there is a political consensus for limited aspects of welfare reform but to deliver real benefits the UK needs a radical plan. | It says there is a political consensus for limited aspects of welfare reform but to deliver real benefits the UK needs a radical plan. |
| Reform says recent proposals by the Conservatives did "not go far enough" as they promised to keep many middle class benefits in place. | Reform says recent proposals by the Conservatives did "not go far enough" as they promised to keep many middle class benefits in place. |
| In his conference speech, shadow chancellor George Osborne was wrong to pledge to keep winter fuel payments, free TV licences for the over-75s and child benefit for middle class families, it says. | In his conference speech, shadow chancellor George Osborne was wrong to pledge to keep winter fuel payments, free TV licences for the over-75s and child benefit for middle class families, it says. |
| Reform argues his plan to means test child trust funds and abolish tax credits for people on an annual income of more than £50,000 would only save £700m a year. | Reform argues his plan to means test child trust funds and abolish tax credits for people on an annual income of more than £50,000 would only save £700m a year. |
| At the same time, the welfare system also has to improve for the poorest, the report says. | At the same time, the welfare system also has to improve for the poorest, the report says. |
| Reform says rules on social enterprises and other organisations providing welfare-to-work services are too tight for them to make a real difference to the unemployed. | Reform says rules on social enterprises and other organisations providing welfare-to-work services are too tight for them to make a real difference to the unemployed. |
| Director of Reform Andrew Haldenby said: "The middle classes need to read the small print of the welfare state." | Director of Reform Andrew Haldenby said: "The middle classes need to read the small print of the welfare state." |
| "They may think that benefits and subsidised higher education are a good deal. In fact they will cost an extra 8p on the basic rate of income tax in the next Parliament because of the hole in the public finances." | "They may think that benefits and subsidised higher education are a good deal. In fact they will cost an extra 8p on the basic rate of income tax in the next Parliament because of the hole in the public finances." |