Welfare spending must be reduced and the best way to do that is by getting people back to work

Today the government pushed through a bill that will see 7200 working families in Redditch have their Working Tax Credit cut.  Perversely the majority of the people affected by the cuts are in work.

These changes do not stimulate the economy, create a single job or take a single person off benefit.  Instead MP's voted for families on the lowest wages to pay for the cost of rising unemployment, costing this country an extra £13.6 billion.

Rebecca Blake, Labour Parliamentary Spokesperson said "I cannot find anyone who does not agree that welfare spending must be reduced.  The question is what is the most effective way to do it. 

Is it to get people off benefits by providing them with work?  Or is it to take Working Tax Credits away from those in work who are on low pay?

I've been speaking to many families who work, who will receive a real terms cut to Child Tax Credit, Working Tax Credit and Child Benefit.  They tell me that already with both parents working it's hard to make ends meet and some do not know how they will feed & clothe their children, especially with cuts to Working Tax Credits averaging £534 by 2015. 

They are angry that nothing is being done to get people who are out of work into work, while they are working hard.  Some families in low pay are working out that cuts to Working Tax Credits mean work no longer pays and they would be better off out of work and on benefits.  This cannot be right. 

The Government are increasing tensions between the low paid and the unemployed, however, in Redditch we have 3 people chasing every single vacancy.

The Government should use the £3 billion tax relief they now give on pensions for the top 2% of earners and use it to get the long term unemployed into compulsory jobs for 6 months.  This would get them off benefits and provide intensive support to find work.  Employers want jobseekers who have a work ethic and without tackling unemployment, long-term unemployment and stimulating the economy we will not bring down the cost of welfare".