Derby Liberal Democrats champion back to work plans
July 29, 2007 5:30 PM
Derby Liberal Democrat's chairman who is backing plans to help get people off benefits and into work
A plan to help thousands of people in Derby back into work and off benefits has been welcomed by a leading local Liberal Democrat campaigner.
The plans, launched by the Liberal Democrats, include:
· Reforming the massively complicated tax credits system to make it simpler and to end the massive overpayments;
· Increasing child benefit by around £5 a week for families in Derby;
· A "pupil premium" that will boost schools in Derby serving children from deprived areas;
· Immediately restoring the earnings link to the basic state pension to ensure the income of older people does not fall further behind that of the rest of the population.
Chairman of Derby Liberal Democrats, David Batey said, "Under Labour the difference between rich and poor is wider than it was under Margaret Thatcher. As Chancellor, Gordon Brown has allowed the tax burden to go up on those with the lowest incomes.
"He has given us the massively complicated tax credits system that is riddled with errors. Here in Derby £6.2 million was overpaid to residents in the last financial year which the Treasury then demanded back.
"Yet at the same time, the tax credit system is a disincentive to people on benefits to work. Our proposals to tackle poverty will ensure there is a greater incentive to work and save for retirement.
"By scrapping council tax and lowering the rate of income tax, we will ensure that when people come off benefits and start work, less of their hard earned money is taken from them by the government.
"Furthermore, the additional £5 a week for all families with children will be a significant helping hand to many people living in Derby.
"Our proposals for additional funding for children from the most deprived areas going straight to their schools will give them a better start in life. With a better education, they are less likely to become dependent on benefits in later life.
"Council tax falls most heavily on those on low incomes and I am delighted to see that the Liberal Democrats are calling for it to be scrapped and replaced by a fairer local income tax, based on ability to pay.
"As a campaigner in Derby I meet many elderly people and I have seen how their income and standard of living of a large number of our senior citizens has fallen behind that of the rest of the population.
"So I fully support the proposal to link immediately the basic state pension to the average rise in pay.
"In a wealthy country such as Britain, we should not have such a huge gap between rich and poor as we have now under Labour.
"Our plans will go a long way to closing the poverty gap by giving people a real incentive to work. They will end some of the penalties imposed on people who have saved for their retirement.
"The proposals will be debated at our national conference in September and I am looking forward to voting for them."
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