As the full extent of the energy crisis is felt by families
across the country analysis from Labour has shown that the
average working family will be over £1700 worse off by next
April.
Labour warns the combined effects of the Conservatives tax rises,
Universal Credit cuts and the energy crisis are a ‘perfect storm’
set to disproportionally hit working families.
A working single parent with two kids will lose 5% of their
income this April because of the Conservatives decision to freeze
personal allowances, raise National Insurance and cut Universal
Credit.
Pressure is again mounting on the Conservatives to reconsider
their cut to Universal Credit which the Government admits would
be ‘catastrophic’ for millions of families. The Universal Credit
cut comes into effect on the 6th October, just as
is set to make his leaders speech to Conservative
Party Conference.
, Labour’s Shadow Secretary of State for Work and
Pensions, said:
“Working people in Britain are facing a perfect storm created by
this Government which will see the average family nearly £2,000 a
year worse off. Labour is on the side of working families, while
the Conservatives are making their lives harder.
“It is not too late for the Government to change course, cancel
their cut to Universal Credit and back struggling families this
winter. Labour would maintain the uplift and replace Universal
Credit.”
Ends
Notes to editors
- Example calculated for a single parent of two children
working full time, earning average wages and claiming support for
private rented housing.
- The example will be £1,440.61 a year worse off from the
following:
- Universal Credit not maintained
- National Insurance increase by 1.25pp
- Personal allowance frozen
- Wages frozen despite CPI increase
