Why has the government so chronically failed to get its message across: That the abolition of the 10 pence tax rate means most families will be better off, and NO FAMILIES will be worse off?

Those who will find less in their pay packets can claim the difference back through tax credits - a tedious process of form-filling, it's true, but the money is their's to be claimed back.

In fact, according to the government, the only people who will actually be worse off by a couple of pounds a week are those SINGLE people with NO CHILDREN earning £12-£18,000 a year.

But instead, all that is being heard is that "5 million of the country's poorest families" will pay more tax, and that Gordon Brown, leading a LABOUR government, is hitting the very people he claims to want to help the most, the poorest in society.

It wouldn't have happened in Alistair Campbell's day - would it?

Comments

[neither/niether 22 Apr 2008 18:21:36]

What a tasteless thought. Remindes me of the "REAL HUSTLE" if anybody has watched it.. He would be top of the credits.

[Mentor - Northumberland 21 Apr 2008 23:34:53]

Always a place in Labour for a 'Riviera Gigolo'.

[Ian, Lancashire 21 Apr 2008 20:09:57]

Bring back Alistair Campbell? I'd sooner have the poll tax or my acne back.
If you really need one you must be able to get an arrogant, ill-tempered, foul-mouthed, jargon quoting yes merchant far cheaper if you go on the open market. You may even get one that can run marathons and write books as well.
On tax just watch now how the labour sheep will bleat over the 10p tax repeal for a few days and then quietly slip back into their pen.
Shame there are not a few more who would be fit to even clean the shoes of Gwyneth Dunwoody, never mind carry on where she left off.

[Bill Hull 21 Apr 2008 19:54:45]

What a very strange article.

The fact is that approx 5 million of the poorest people will be even poorer.

It is true these do not apply to 'families' if you choose to define this as 'people living with their children while the latter are minors.'

Why young single people and women between 60 and 64 are not supposed to matter beats me.

But there are 5 million of them and they will no doubt take therir revenge through the ballot box.

[Fellipe, England 21 Apr 2008 17:23:37]

Evidently the five million is a net figure. The Institute for Fiscal Studies has already taken tax credits etc into consideration.

Without that it would be even more.

Who is spinning Glen????

[Bill, Middle England 21 Apr 2008 16:57:37]

Pete, South East

You are the very person New Lab has hit hardest - people who wish to be self-sufficient and need help to get established.

Under Gordon's regime, you'd be much better off having spent everything on holidays to Torremelinos and claiming to be in one of New Lab's social hero categories.

Hard working and wishing to be self-sufficient? Not interested.

Sponging and several offspring? Come right in and select from a juicy selection of Social Benefits and a life of State dependency.

Good luck to you.

[Madnurse 21 Apr 2008 15:48:01]

People should not have to claim their money back via tax credits. Proud British people should not have to go cap in hand to their government (or it's quangos) to get what amounts to pocket money.

If the government were serious about helping poorer people, they would raise the personal tax allowances to about the level of a forty hour national minimum wage earners income.

Of course the reason why our intrusive government would not go for this option is that, they would not be able to monitor the population so easily as they would not have pages and pages of information from claim forms to look at.

It would cost very little in terms of expenditure to raise the personal allowances to a more realistic level compared to how much it costs to administer the tax credit scheme. Then again I suppose, those that work for the government and it's quangos are more likely to vote for a pro public sector expansion party rather than one that wishes to get rid of bureaucracy, red tape and waste. It has been a very clever ploy by Labour to get greater numbers of people reliant on the state in order to almost guarantee people's votes and loyalty to the Labour Party.

What Mr Brown did not take into account was, despite Mr Blair and Mr Brown's attempts to completely change the makeup of the Labour Party, there are still many people within the Labour Party that still hold dear the party's original core values, namely looking after the poor and vulnerable in society. I bet it has come as quite a shock to Mr Brown that despite his and Mr Blairs efforts to change the party, many within the party still believe in it's core values and principles.

[preddo53 leeds 21 Apr 2008 15:18:39]

What does Campbell know about working class and low pay, if you want to know interview me, I'll tell you, and I won't want paying.

[carol-ann liverpool 21 Apr 2008 14:36:47]

Glen

The voice of common sense at last.
I thought I missed out myself and then found out that I didn't for the reasons you outlined.
However, it is one of those things that stick in the psyche like an urban myth and I just hope the message gets out to those who are worried and who don't need to be.
Pick up the phone and CHECK if you are entitled to tax credits.

[Julian, London 21 Apr 2008 14:32:49]

I reckon it would be difficult to strike a more jarring note than you have done this time Glen. Defending the scrapping of the 10p rate and Campbell at the same time says a lot about you.

[Robert, Hatfield 21 Apr 2008 13:22:16]

Bring Back Alastair Campbell? No, Campbell should be in prison after the Dr David Kelly affair.

[Pete, South East 21 Apr 2008 12:54:25]

It isn't just single people this hits, its also people with savings, who can't claim tax credits.

I was made redundant a few years ago, and have had no option but to become self-employed, selling my house to invest in the business. Last year my business made me only 10K, and I have a wife and two kids to support. But I can't claim tax credits because I still have redundancy money (which I'm investing in my business).

Tax credits go to people the government thinks 'deserve it'. Saving money and being self-reliant disqualifies you as 'deserving'.

[Bernard from Horsham 21 Apr 2008 12:38:27]

I am married , semi retired on low earnings, and I'm going to be paying more tax. never mind the Govt spin, listen to the financial experts.

[derek clark solihull 21 Apr 2008 12:37:32]

The abolition of the 10% tax rate came about solely because G Brown wanted to cut the 22% rate and look like the hero but wanted to fund this from elsewhere. He vicousley and knowingly targeted the weakeast in our society and cauesed all the additional administration for a vain piece of political theater. It is a nonsense to say you can claim it all back. I can't He must be made to pay for it.

[Chris, Baildon 21 Apr 2008 12:15:54]

Why do governments feel it is a good idea to tax people and then give them some money back through a bureaucratic, error prone, fraud prevalent, costly , over complicated and inefficient system. Tax Credits are also a disincentive to work - as any pay rises mean a reduction in Tax credits - up to a 90% marginal rate for some unlucky (poor earning) people.

Also - looking at the take up of tax credits 82% of child tax credits are taken up and 61% of working tax credits are taken up. Therefore all 18% or 39% people are also worse off.

Tax Credits cost about £6BN per year - you could raise the personal allowance by about £1,000 for everyone.

Complete mess and shambles.

[Bill, Middle England 21 Apr 2008 12:09:14]

It wouldn't have happened in Alastair's day because global conditions were so good and Gordon hadn't had enough time to dismantle the economic structure he'd inherited.

"It's the economy, stupid!".

New Lab, for all their faults, would win the next GE if enough people were doing well financially - some hope, of course.

The reality is we now face a harsher global economy in which the UK is worse placed to compete than in 1997. For that, Gordon & co are going to take a caning.

"Things can only get better" It's time to change the record.

[Katie Liverpool 21 Apr 2008 12:00:46]

Sorry- but as one of the SINGLE people earning less than £18k I would like to say "when do I claim my money back?". For many years I have watched my taxes pay for other peoples family tax credits, pay for other people's children to be schooled, pay for other people's benifits. Why should I be hit here as well? Can I claim back what wasn't spent on me when I reach 50?

[Merv. Beszant, Dubai 21 Apr 2008 11:49:18]

Glen,
The fact that so many people are concerned that the poorest people are losing out, when the more well off are gaining, does indicate that the average person wants to see fairness and justice in government policies.
I'm sure Alistair Campbell isn't interested in anybody but himself, but even he would be hard pushed to put a positive spin on this fiasco.

[Carlos Cortiglia 21 Apr 2008 11:46:30]

Tax credits are not easily claimed and many people who have right to claim tax credits don't claim tax credits. Since they register our most personal and private information and they know who has children and who hasn't got children, they should abolish the tax credit forms and pay the tax credits automatically without having to claim tax credits. On top of that, how much does Red Tape cost?

[James, London 21 Apr 2008 11:45:46]

Why the hell are single people being punished again, to the profit of those with children?

If they're so ****less to have children when they can't afford to bring them up, it shouldn't be up to the rest of us to pay more tax to give them benefits.

[CROWN 21 Apr 2008 11:28:55]

It's great isn't it tax families more (that is what is happening) and make them fill out a form to get the tax back. Typical Brown government. He wants to have our money and decide how worthy we are to receive it back. Britain deserves better.

[Mentor - Northumberland 21 Apr 2008 11:10:40]

Labour might aswell bring Campbell back, then all the Government crooks would be in the same house!

[Magog 21 Apr 2008 10:57:22]

"those SINGLE people with NO CHILDREN earning £12-£18,000 a year".

Like those pensioners on a small private pension perhaps?

[Elizabeth Davies Cape Town 21 Apr 2008 10:50:43]

More spin from the spin master Campbell...oh no. It is bad enough as it is, don't throw petrol on the fire.
There are already "Two Bonnies in Downing Street" don't bring back another... Campbell.

[Khalid 21 Apr 2008 10:48:40]

In all fairness to the current financiers of state funds, I would much rather listen to [Pink Floyd] than have some AC tell me [We dont Need No Education]!