The Wilted Rose

Charting Labour meltdown 2007-2010

Labour makes the “Poverty Trap” worse: it hasn’t been the party of the working class for a long time

As someone whose father worked in a low-income job, I know what effect this has on the family finances.  But people who work in these jobs, when they could just as easily claim the dole or incapacity benefit, are the unsung heroes of the UK today.

Labour’s hatred of these people, who could potentially have been its staunchest supporters (and many of whom probably were in the past), is reprehensible.

Not only has Labour ratcheted up the “Poverty Trap”, where people are better off on benefits than in work, by a variety of measures including the structure of its tax credits system.  But now, as BBC News reports, by abolishing the 10p income tax band, the Government:

penalises childless people in low-paid jobs. The Treasury Select Committee warned the ‘main losers’ could be deprived of as much as £232 a year. Chairman John McFall said they were an ‘unreasonable target’ for the tax simplification measure.

How many more people, whether white British or, in many cases, black and Asian, (and including a lot of women) are going to be forced into worse economic conditions and possibly out of work all together, by this discredited, despicable Government?

On a day on which, for many people, income tax falls from 22p to 20p in the pound – only to be cancelled out by the abolition of the 10p band – I would not even soil the phrase “tax cut” by using it to describe this dishonest policy by Brown and Darling.

What are needed are genuine cuts in taxation for people on low income – whether Single People, Couples without Children, or Families – to incentivise work and also to reward those who actually are working. 

Tax cuts for the rest of us could wait until later, but at least can we stop penalising the people who don’t have to work but do because of a “work ethic”, or because it makes them feel as if there is meaning to their lives, or for whatever motivation.

It is also time to stop the lie that Labour is a Party for the working-class.  It gave up that distinction a long time ago.

7 April, 2008 Posted by | Alistair Darling, betrayal, economy, Gordon Brown, Labour Party, politics, taxation | 5 Comments