PARLIAMENTARY WRITTEN QUESTION
Poverty (7 July 2016)

Question Asked

To ask Mr Chancellor of the Exchequer, what steps he plans to take to reduce in-work poverty.

Asked by:
Judith Cummins (Labour)

Answer

Work is the best route out of poverty, which is why this Government is focused on getting people into employment. Since 2010, 2.5 million more people are in work and average household incomes are at a record high.

We are reforming the tax and benefit system to ensure work will always pay more than a life on benefits. That is why we are raising the tax-free personal allowance to £11,500 in April 2017, meaning 1.3m individuals will have been taken out of income tax altogether since 2015. This enables people to keep more of what they earn. We are also introducing Universal Credit which is designed to reduce poverty, ensure work pays and strengthen incentives to progress in work.

We have introduced the National Living Wage for workers aged 25 and above, representing a pay rise of £900 this year for a full time workers on the minimum wage.

The Government is also providing additional support for families by increasing childcare funding within UC from 70% to 85% of eligible costs, introducing Tax Free Childcare and extending free early years childcare for working parents from 15 to 30 hours.


Answered by:
Damian Hinds (Conservative)
13 July 2016

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