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In Work Tax Credits In The Firing Line

Wednesday, May 13, 2015

GMB Call On Government To Rule Out Cuts To £121.80 Average Weekly Tax Credits For 3.3 Million In-Work Families In UK

Unless they do so the claim that Tories represent working families will be a hollow sound bite says GMB.

GMB is warning that some 3,277,300 in-work families who currently receive Child Tax Credits (CTC) and Working Tax Credits (WTC) face a potential threat of £40 per week on average being cut from their weekly incomes. This is as part of the Tory Government £12 billion welfare cuts.

These 3,277,300 families get an average of £121.80 per week or £6,335 per annum. Of the total some 1,665,600 in-work families are part time workers (16-34 hours). This is 50.8% of the total.

The numbers in receipt of tax credits in each region are set out in the table below.  See notes to editors for sources.

 

All in-work families

 

Apr-15

2012/13

 

Total in-work families

receiving CTC

or WTC

Average annualised

value

per year, all in-work families

UK

3,277,300

£6,335

Great Britain

3,164,800

£6,332

England

2,732,500

£6,395

North East

148,200

£6,033

North West

417,800

£6,406

Yorkshire and the Humber

311,100

£6,353

East Midlands

252,200

£6,143

West Midlands

319,000

£6,520

East

267,000

£6,228

London

408,600

£7,125

South East

348,600

£6,291

South West

260,000

£6,011

Wales

167,400

£6,084

Scotland

250,300

£5,850

Northern Ireland

112,500

£6,468

Paul Kenny, GMB General Secretary, said “The question still has to be answered as to where the Tory Government’s proposed £12 billion welfare cuts will be made.

Unless the Tories break their election pledges, and cut a number of other benefits they promised not to touch, cuts in tax credits for 3.3 million in- work families are in the firing line. 

A cut of £40 per week on average would have a devastating impact on the household incomes of 3.3 million families that go out to work. However cuts of such severity would only go half way to the £12 billion proposed cuts.

The quicker the Government rules out cuts to in- work tax credits the better it will be for these 3.3 million families.

Unless they do so the claim that Tories represent working families will be a hollow sound bite.”

End

Contact: Kamaljeet Jandu 07956 237178 or Cath Speight 07506 711 925 or Lisa Johnson 07900392 228 or Martin Smith 07974 251722 or Mick Rix 07971268 343 or GMB Press Office 07921 28988 or 07974 251 823

Notes to editors

Sources:

HM Revenue & Customs, Child and Working Tax Credits Statistics, Finalised annual awards in 2012-13: The above are the latest data for the finalised financial figures. These were first published 30 May 2014 but republished in December 2014 due to errors. 2013-14 data is due for release 29 May 2015.

HM Revenue & Customs, Child and Working Tax Credits Statistics April 2015

 

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