Last night with his merry majority of 56, Iain Duncan Smith won his vote to cap benefits to a 1% (one percent) rise per year. The Tory logic is that “it’s not fair” on hard-working people (read: “deserving poor”) who haven’t had an wage rise for years.
Very well, but if you look at the list of welfare benefits that this change will effect, most are received by those in work on low incomes – for example, tax credits and income support. Even the Department for Work and Pensions, admitted the poorest would suffer most. That includes those in work, as well as those stuck on Jobseekers Allowance because the recession kicked them out of work.
So what is the point of these changes, if rather than help the poor, they actually push them closer to poverty. IDS referenced the answer in the debate yesterday when he said that Labour spent
“like drunks on a Friday night”.
Meaning that this is not so much about benefit reform as deficit reduction. Then the question is, why do you expect the poor to pay off the deficit? What do you expect to get out of someone on a very low income, apart from beans and crumbs? It seems that by targeting a section of the poor perceived to be scroungers, (and Labour are just as guilty of using this inflammatory language) public attention is diverted away from the real scroungers and cheats – the large corporations and mega-rich individuals who exploit every loophole going to avoid paying the correct amount of tax. That’s you, Vodafone, Amazon, Starbucks and Lord Ashcroft! If the public realised that the financial problems aren’t caused by a single mother struggling to feed her kids on a tiny wage and tax credits, then the Tories may just be worried.