There is bad news for the North West, after UNISON revealed the region could lose £440m a year, under the Chancellor’s planned tax credit cuts.
Local economies across the North West could lose around £440m a year, if the Chancellor confirms later today (Wednesday 25 November), in the spending review, that he is to continue with cuts to tax credits announced in the summer, says UNISON.
Over 338,000 working families with children across the North West will be affected as well, according to the research.
With an average loss per tax credit household of £1,300, the region’s businesses and high streets will suffer as families’ spending money will fall sharply.
Although last month’s vote in the House of Lords forced George Osborne to look again at his tax credit plans, the issue has certainly not gone away.
Consequently, more than 2.7m low-income working families across the UK are nervously awaiting today’s autumn statement.
UNISON General Secretary Dave Prentis said, “The Lords might have forced a reluctant Chancellor to think again, but we’re not out of the woods yet. Even if the Chancellor announces a pause to their introduction today, it will only be delaying untold financial misery for working families”.
Prentis went on to add that “Tax credits are not a luxury, but a lifeline for hardworking families in the North West”.