Big Drop in Working Tax Credit

gabby71

Hi

I have been on working tax credit since October after returning to the UK (I lived in Cyprus for 4 years).
I was made redundant from my job in Cyprus and did not earn tax for the tax year 2009 until I started my job here.
So as a single parent I was awarded £144 per week.
I am under the impression that from next April my tax credits will drop by around £260 per month (this is using the online calculator I used - putting in my expected years earnings for tax year 2010/2011
Is this what will happen?, just very concerned as this is a huge drop for me, I am managing quite well at the moment but with care and budgeting - and also a saturday evening job!
I was looking into loaning a few grand from my parents so I could buy a newer car (mine is an old banger lol!!), but am concerned that I would not be able to pay it back if my amount drops that drastically

thanks

Gabby

Mr_Falling_Star

Probably

Tax Credits look at your earning for the last tax year and the current circumstances in this year and then pay for the one that gives you more money