Labour calls for Universal Credit roll out to be halted: new evidence of the impact on working people

Labour is calling for the roll out of Universal Credit to be
halted as new data shows that while wages are failing to keep up with
inflation, cuts to in-work social security support have meant most net
incomes of recipients have flat-lined in real terms and in some cases
worsened, with women and people from ethnic minority communities worst
affected.

Analysis from the House of Commons Library, shows real wages
stagnating and in-work support contracting for both private and public sector
workers.

The analysis looked at different types of households and income
groups all working full time. It shows single parents with dependent children
being particularly badly affected, with up to £3,100 a year less than they
received with Tax Credits. 

The analysis also shows that nurses and teachers will be hit
particularly hard by the combination of stagnating wages and cuts to social
security.

A single parent of two working full-time as a teacher who is a
new claimant to Universal Credit will be around £3,700 a year worse off in
2018/19 compared to 2011/12. A single parent of two working in the NHS on
average full time earnings for the public sector who is a new tax credit
claimant will be over £2,000 a year worse off in real-terms in 2018/19 compared
to 2011/12.

Equality analysis published in response to a Freedom of
Information request submitted by Labour, predicts cuts to Universal Credit will
fall most heavily on women and ethnic minorities. This analysis shows that households
with a woman or member of an ethnic minority are more likely to be adversely
affected by cuts to Universal Credit work allowances.

Debbie Abrahams MP, Labour’s Shadow Secretary of State for Work
and Pensions,
commenting on the newly-published analyses, said:

“It is shocking that most people on low and middle incomes are
no better off than they were five years ago, and in some cases they are worse
off. The Government’s cuts to in-work support of both tax credits and Universal
Credit are having a dramatic effect on people’s lives, on top of stagnating
wages and rising prices. 

“It’s no wonder we are seeing record levels of in-work poverty,
now standing at a shocking 7.4 million people.

“These analyses make clear that the Government’s abject failure
on living standards will get dramatically worse if Universal Credit is rolled
out in its current form.  

“That’s why Labour is calling for the roll out to be stopped
while urgent reform and redesign of Universal Credit is undertaken, making sure
work always pays and that hardworking families are supported, creating a fair
society for the many, not the few.” 




The Government still has no viable plan to deliver frictionless trade with our largest market and closest allies – Keir Starmer

Keir Starmer MP, Labour’s Shadow
Secretary of State for Exiting the European Union
, commenting on the Government’s
latest customs proposals for our future relationship with the EU, said:

“The Government’s proposals are
ambiguous, unachievable and offer no viable solutions.

“The first proposal for a
streamlined customs arrangements is code for a hard-edged exit from the Customs
Union, which will inevitably involve a border between the UK and any trading
partner, including the EU27. This will mean delays and costs for UK businesses,
especially manufacturing. The Government appear to be relying on unspecified
technological solutions to reduce these burdens, but they can’t suggest how and
when these new systems could be in place or how much they might cost.

“The second proposal is in David
Davis’s own words “untested”. That’s because it is, in truth, a half-in
half-out proposal without any clarity about how the Government plan to
negotiate or deliver it. This will almost certainly entail considerable new
bureaucratic burdens for British businesses, including complicated “tracking
and repayment mechanisms”.

“We’ve seen today that the
Government still has no viable plan to deliver frictionless trade with our
largest market and closest allies. They are, as ever, putting jobs and the economy
through their chaotic handling of Brexit.”




Labour launches national State Pension tour as Tories plan to make 36.9 million people work longer – Debbie Abrahams

Labour launches national State Pension
tour as Tories plan to make 36.9 million people work longer

 
Debbie Abrahams MP, Labour’s Shadow Secretary for Work and Pensions, will meet
with pensioner groups and local residents across the UK to discuss how a future
Labour government can provide dignity and security in retirement.
 
The Conservative Government has announced plans to extend the retirement age
from 66 to 68 from 2037, which will see 36.9 million people having to
work longer.

Analysis by
the Labour Party shows the number of people who will be affected by the Tories
increase in the State Pension age, broken down by constituency.
 
Tens of thousands of people in every constituency who are currently under
48 years old will be affected, including 56,547 people in Theresa May’s constituency of Maidenhead, 59,290 in David Gauke’s constituency of South West Hertsfordshire
and 61,753 in Philip Hammond’s constituency of Runnymede and
Weybridge. 

Labour has rejected this increase to the State Pension Age and instead
is reviewing a flexible retirement age as part of the party’s Commission on
Pensions.
 
Debbie Abrahams, Labour’s Shadow Work and Pensions Secretary, said:
 
“Thanks to the Tories increasing the State Pension age, 36.9 million people
will be forced to work longer, at the same time that evidence
indicates life expectancy has stalled in some places and is reducing
in others.  
 
“Conservative MPs must explain to the tens of thousands of people in their
constituencies, why the burden of Tory austerity is being pushed onto them,
while corporations and the richest individuals receive tax breaks.  
 
“Theresa May should answer her 56,547 constituents, and the 36.9 million people across Britain,
whose hard-earned retirements are being postponed because of her
government.
 
“Labour will keep the State Pension age at 66 and this tour will help us
review, as part of our commitment to people powered politics, the pension
system, with a view to guaranteeing a secure and healthy retirement for the
many, not just the few.”
 
Ends




Rail fare rises under Tories are ‘truly staggering’ – Andy McDonald

Labour compared costs on over 180 routes between when the
Conservatives came to power and the projected new prices that will be
implemented this January 2018.

The average commuter will now be paying £2,888 for their season
ticket, £694 more than in 2010.

New figures released today by Labour show:

·        
From
January, some commuters will be paying over £2,500 more to travel to work than
they were in 2010.

·        
The
highest increase was on a Virgin Trains season ticket between Birmingham and
London Euston which will have risen by £2,539 since 2010 and now costs £10,567.

·        
The
biggest percentage increase identified was between Thame Bridge Parkway near
Walsall and Nuneaton, where the cost of an annual season ticket will have risen
by 48 per cent since 2010.

·        
In
Theresa May’s own constituency the cost of an annual season ticket from
Maidenhead to London Paddington has risen by £736 since 2010.

Andy
McDonald MP, Labour’s Shadow Secretary of State Transport,
commenting on
today’s rail fare figures, said:

“The
Tories’ failure on our railways means passengers have faced truly staggering
fare rises, some of over £2,500, since 2010 with fares having increased twice
as much as wages.

“Commuters
have repeatedly been told that higher fares are necessary to fund investment,
but promised investment has been cancelled and essential works have been
delayed for years.

“Decisions
taken by government Ministers are making rail travel unaffordable for the many
in favour of huge profits for the few. By pegging regulated fares rises to the
Retail Price Index, the Conservatives are leaving commuters facing year on year
price hikes.

“The
truth is that our fragmented, privatised railway drives up costs and leaves
passengers paying more for less. The railways need serious reform that could be
achieved if the Tories matched Labour’s manifesto policy to extend public
ownership to passenger services, but instead Ministers are persisting with a
failed model of privatisation that is punishing passengers.”




Latest incoherent and inadequate proposals on customs arrangements are designed to gloss over Cabinet divisions – Starmer

Keir
Starmer MP, Labour’s Shadow Secretary of State for Exiting the European Union,
commenting on the Government’s latest proposals on customs arrangements, said:

“These are incoherent and
inadequate proposals designed to gloss over deep and continuing divisions
within the Cabinet.

“Businesses, trade unions and the
country need certainty about our future trading and customs arrangements. They
also need a pragmatic and considered approach that delivers the best deal for
Britain.

“Instead, the Cabinet remain split
on key issues and cannot decide between two very different but equally
unachievable options. The first proposal suggests “a new customs border with
the EU” could be introduced without disrupting trade; the second suggests a new
borderless customs partnership could somehow be agreed while Britain also signs
external trade deals.

“These fantastical and
contradictory proposals provide no guidance for negotiators or certainty for
businesses. The proposals also make it less likely that necessary transitional
arrangements will be in place by March 2019.

“Labour is clear that we need to
retain the benefits of the Customs Union and avoid a cliff-edge for the British
economy. That means committing now to strong transitional arrangements on the
same basic terms we currently enjoy – including the Single Market and the
Customs Union.”

Ends