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From 2013, benefits will be removed from any family where one parent earns more than about £44,000 a year. Surely this is another tax on the British family - I know this may not be a huge amount of money but for many this money is spent directly on the children or put away for savings etc.
http://www.bbc.co.uk/news/uk-politics-11470983
What do you think?
Personally, I think that child benefit should be means tested, though perhaps instead of basing it on a single salary, it should be based on family income - seems silly that child benefit won't be paid if only one of the parents is earning and earning £45k, but if both are earning and earning £40k each, then it will be, if I understand it correctly. I think it should also be area dependant as it obviously costs more to live in the south or in big cities than other areas. I would like to see some of the money saved going to preserve essential services for children and the elderly, but I doubt that this will happen directly.
This is a tough one. I can see what the con-dems are trying to do.
In order to save money they are cutting the benefits from the high earners tax bracket. which doesn't appear to be fair as a couple earning 82k a year could be still receiving the benefit when a couple where only one person works but earns 44K won't get it.
However setting up a whole new level of bureaucracy to administer means testing would surely counter any savings made by the benefit cuts.
we all know that cuts have to be made, to reduce the deficit and that it was going to get a bit painful. What other cuts would you prefer rather than this ?
It seems to be a complicated way to do things for those who are working - surely add a child element onto the basic personal allowance (so an increase in tax code/lowering of tax paid) and then reduce the level at which higher tax is paid. Couples can transfer unused tax allowance to their partner (I think this can still be done, but if not, it certainly used to be allowed) and then the whole thing becomes automatic, so no administrations costs.
Problem with making generalisation about cuts is that someone loses their jobs when cuts are made, so there's never a perfect solution. However, MP's & Top Civil Service salaries should be frozen or pegged to inflation IMO, plus they should not be allowed any expenses or perks that anyone in normal industry would not get.
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