As reported in the Barnsley Chronicle today, Michael has revealed figures that show that 8,100 families in his constituency of Barnsley East will be hit by the Government’s ‘Strivers’ tax’.
In his recent autumn statement, the Chancellor, George Osborne, said that he would up-rate working age benefits and tax credits by only 1 percent over the next three years. This is not in line with inflation and will result in a real terms cut.
According to the Resolution Foundation, more than 6 in 10 households affected by the 1 percent up-rating decision are in work.
Commenting, Michael Dugher MP said:
“I think working families in Barnsley will be amazed that the Government has decided to ask them to pick up the tab for his failed economic policies at the same time it is giving a tax cut to millionaires.
“It is not right that strivers in Barnsley, hard working families, are the ones taking the hit for the lack of growth and increased debt.
“Taking into account everything George Osborne announced in the autumn statement, the Institute for Fiscal Studies says that one earner families with children in Barnsley will on average be £534 a year worse off by 2015. Yet at the same time, 8,000 millionaires are set get an average tax cut of over £107,000 next April. How can this be fair?”