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Benefits changes will push children into poverty, says archbishop of Canterbury Benefits changes will push children into poverty, says archbishop of Canterbury
(about 1 hour later)
The archbishop of Canterbury has warned that planned changes to the benefits system will have an adverse effect on children and families, urging the government to support the most vulnerable in society.The archbishop of Canterbury has warned that planned changes to the benefits system will have an adverse effect on children and families, urging the government to support the most vulnerable in society.
In his first significant political intervention since taking office, Justin Welby said capping benefits at below inflation would make children and families "pay the price". In his first significant political intervention since taking office, Justin Welby said capping benefits at below inflation would make children and families pay the price.
Under reforms championed by the work and pensions secretary, Iain Duncan Smith, rises in welfare payments would be capped at 1% annually for the next three years, as part of the government's austerity measures.Under reforms championed by the work and pensions secretary, Iain Duncan Smith, rises in welfare payments would be capped at 1% annually for the next three years, as part of the government's austerity measures.
In a statement released by Lambeth Palace, former oil executive Welby said: "As a civilised society, we have a duty to support those among us who are vulnerable and in need. When times are hard, that duty should be felt more than ever, not disappear or diminish. It is essential that we have a welfare system that responds to need and recognises the rising costs of food, fuel and housing. In a statement released by Lambeth Palace, Welby said: "As a civilised society, we have a duty to support those among us who are vulnerable and in need. When times are hard, that duty should be felt more than ever, not disappear or diminish. It is essential that we have a welfare system that responds to need and recognises the rising costs of food, fuel and housing.
"The current benefits system does that, by ensuring that the support struggling families receive rises with inflation."The current benefits system does that, by ensuring that the support struggling families receive rises with inflation.
"These changes will mean it is children and families who will pay the price for high inflation, rather than the government.""These changes will mean it is children and families who will pay the price for high inflation, rather than the government."
The shadow home secretary, Yvette Cooper, said the archbishop was "absolutely right" to intervene. She said Labour would like to see benefits rise with inflation, paid for by restricting tax relief on pension contributions for the highest earners. "The government is just turning its back on all of this," she told The Andrew Marr Show on BBC1. The shadow home secretary, Yvette Cooper, said the archbishop was right to intervene. She said Labour would like to see benefits rise with inflation, paid for by restricting tax relief on pension contributions for the highest earners. "The government is just turning its back on all of this," she told The Andrew Marr Show on BBC1.
Welby's comments came after 43 bishops wrote to the Sunday Telegraph, warning that the changes "will have a disproportionate impact on families with children, pushing 200,000 children into poverty". The letter, which has been backed by Welby and the archbishop of York, John Sentamu, urged the House of Lords to take action to protect children from the impact of the bill.Welby's comments came after 43 bishops wrote to the Sunday Telegraph, warning that the changes "will have a disproportionate impact on families with children, pushing 200,000 children into poverty". The letter, which has been backed by Welby and the archbishop of York, John Sentamu, urged the House of Lords to take action to protect children from the impact of the bill.
Duncan Smith has said it is unfair for benefits to rise at a higher rate than wages, highlighting figures showing jobless benefits rose 20% in the last five years, compared with an average 12% rise in private sector pay. But Labour, which is fighting the 1% cap, says that jobseeker's allowance has risen by 32% over the past decade, whereas wages have gone up by 36%.Duncan Smith has said it is unfair for benefits to rise at a higher rate than wages, highlighting figures showing jobless benefits rose 20% in the last five years, compared with an average 12% rise in private sector pay. But Labour, which is fighting the 1% cap, says that jobseeker's allowance has risen by 32% over the past decade, whereas wages have gone up by 36%.
Liberal Democrat peer Lord Ashdown said his party was mindful of how austerity measures would affect the vulnerable. "Of course all of us are concerned," he told The Andrew Marr Show. "That's why indeed the Liberal Democrats have such a commitment to making sure that our contribution to tackling the terrible deficit this country was left, in large part but not exclusively by the failures of the Labour government previously, are tackled with fairness in mind. Liberal Democrat peer Lord Ashdown said his party was mindful of how austerity measures would affect the vulnerable. "Of course all of us are concerned," he told The Andrew Marr Show. "That's why indeed the Liberal Democrats have such a commitment to making sure that our contribution to tackling the terrible deficit this country was left, in large part but not exclusively by the failures of the Labour government previously, are tackled with fairness in mind. It's important that we are reminded about the effect of that."
"It's important that we are reminded about the effect of that."
The Children's Society says that, under the changes, a single parent earning £530 a week would lose £424 a year by 2015. A couple with two children, where one parent is working and earning £600 a week would also lose £424 a year, according to its analysis.The Children's Society says that, under the changes, a single parent earning £530 a week would lose £424 a year by 2015. A couple with two children, where one parent is working and earning £600 a week would also lose £424 a year, according to its analysis.
The letter from the bishops says the change will "hit the poorest the hardest" by transferring the risk of high inflation from the Treasury to children and families.The letter from the bishops says the change will "hit the poorest the hardest" by transferring the risk of high inflation from the Treasury to children and families.
Welby's intervention suggests he will not be discouraged from speaking out despite criticism of his predecessor, Rowan Williams, who was accused of meddling in politics. Among Williams's targets was David Cameron's "big society", which he suggested was aspirational waffle.Welby's intervention suggests he will not be discouraged from speaking out despite criticism of his predecessor, Rowan Williams, who was accused of meddling in politics. Among Williams's targets was David Cameron's "big society", which he suggested was aspirational waffle.
A spokeswoman for the Department for Work and Pensions said: "In difficult economic times we've protected the incomes of pensioners and disabled people, and most working age benefits will continue to increase [by] 1%. This was a tough decision but it's one that will help keep the welfare bill sustainable in the longer term.A spokeswoman for the Department for Work and Pensions said: "In difficult economic times we've protected the incomes of pensioners and disabled people, and most working age benefits will continue to increase [by] 1%. This was a tough decision but it's one that will help keep the welfare bill sustainable in the longer term.
"By raising the personal allowance threshold, we've lifted two million people out of tax altogether, clearly benefiting people on a low income." "By raising the personal allowance threshold, we've lifted 2 million people out of tax altogether, clearly benefiting people on a low income."