Tax Credits

Mistermeaner

very disappointed on tax credits

michaels

Mistermeaner wrote: »

very disappointed on tax credits

Is there more to this than meets the eye? The bit about tax credits not being around for that long anyway because of universal credit - does that mean that the switch to UC has some of the savings built in?

TheNickster

michaels wrote: »

Is there more to this than meets the eye? The bit about tax credits not being around for that long anyway because of universal credit - does that mean that the switch to UC has some of the savings built in?

Yes the proposals for cutting Universal Credit remain the same. Expect a similar row about UC once this is realised as more and more people are moved on to it.

Graham_Devon

He still aims to cut £12bn from the welfare budget.

All smoke and mirrors. Don't cut tax credits, but call them something else and cut that instead.

This spending review defies all logic. He is giving extra funding to some things and removing the cuts altogther in huge areas, but still on track to make all the savings? (Even though they are already well behind target).

chris_m

Graham_Devon wrote: »

This spending review defies all logic. He is giving extra funding to some things and removing the cuts altogther in huge areas, but still on track to make all the savings? (Even though they are already well behind target).

The reason he gave is that he doesn't need to make so many cuts as previously thought due to higher tax receipts.

Graham_Devon

chris_m wrote: »

The reason he gave is that he doesn't need to make so many cuts as previously thought due to higher tax receipts.

Forecasts though - not receipts.

Forecasts are difficult to get right - so I'm not making any political point here - but the OBR have got nearly every forecast wrong since they were created.

CLAPTON

Graham_Devon wrote: »

Forecasts though - not receipts.

Forecasts are difficult to get right - so I'm not making any political point here - but the OBR have got nearly every forecast wrong since they were created.

difficult to discuss the future without using forecasts

and of course the OBR has often underestimated growth

Graham_Devon

CLAPTON wrote: »

difficult to discuss the future without using forecasts

and of course the OBR has often underestimated growth

The point isn't about discussing the future.

The point is that the chancellor has banked the forecasts and spent every single penny of the estimates.

Mistermeaner

i cant make head nor tail of it at the moment - soend spend spend but lots of savings

Political suicide surely to have issued a deliberately deceiving statement?

Moby

He's a very political Chancellor and has his eye on the big job and backed off on tax credits when he saw the problems it would cause. Expediency over principle in pursuit of power.....that's why the tories win more often than not!