Since the UK general election in May there has been a lot of discussion about tax credits and whether the proposed cuts would make the poorest worse off. On one side the government says that the increase in minimum wage to the living wage as well as an increase in the tax free allowance would make low earners better off, whereas the critics point to the fact that a £4.4 billion cut has to have a detrimental effect. The proposed cuts were passed in the conservative lead house of commons, but was blocked by the house of lords, where the government does not hold a majority. As a result the Chancellor of the Exchequer, George Osbourne, announced in the Spending Review that the proposed cuts would not go ahead. At the time there were a lot of figures being thrown around about who would be better and worse off, but mainly used by people with an allegiance to a particular group or political party. As I wasn't sure who to trust I decided to take a look at the numbers myself as a no...
Interesting and useful things that I have found out and want to share.