Ritchie Says Tax Credit Cut Is Attack On Working Families

South Down MP Margaret Ritchie (SDLP) has criticised the Conservative Government’s move to cut working tax credit and child tax credit as an attack on working, low-income families.

Speaking after the SDLP voted against the measures that will see many families lose an average of £1000 a year, Ms Ritchie said:xa0“Tax credits are a vital source of income that thousands and thousands of families rely upon to heat their homes and feed their children.

The SDLP voted against these punitive measures that will take money out of the pockets of hard-pressed and low-income families.“Speaking as a former Social Development Minister, I had, and still have, a lot of contact with families who rely heavily on tax credits for their financial stability. Cutting their tax credits will have serious implications for their financial situation and their physical and mental health.

“A quarter of children in Northern Ireland live in child poverty… a figure that can only rise with the implementation of cuts.

“With fuel poverty already on the rise, we will have more children living in damp homes, with parents fearful whether or not they will be able to feed and clothe them.

“These attacks on low income families will, at the other end of the scale, also affect our wider economy. Taking money out of families’ pockets, reducing their purchasing power, will drain money from our economy and plunge low-income workers and their children deeper into poverty.”

In the Commons, Labour MP Frank Fields appealed to his fellow MP’s saying: “In one single move (George Osborne, the chancellor) has destroyed his 2020 election strategy because we heard the very powerful speeches the chancellor made saying the Conservative party was in favour of those individuals who got up in the morning, who did grotty jobs for very low pay and they passed the windows of their neighbours whose curtains were still drawn, who were on benefits.

“Those individuals who still rise to the work motive in this country, which is so important for both economic and human advance, will know as they pass those windows with the curtains drawn they do so on average with £1,300 a year less in their pocket.”

There were only two Cononservative MP’s who rebelled against the party whip. Chancellor Osborne forced through this legislation in the hope that the Treasury will be £4.4 billion better off in 2016 facing the overall £12 financial black hole in welfare cuts. Osborne will be pleased with his achievement, but the thousands of hard-working, low-paid families around the country will likely be feeling undervalued as many people still live in the welfare benefits culture and who may be materially better off that their neighbours who choose to go out and work in low paid jobs.