Parties Ready For Fight Over Living Standards

Written By Unknown on Senin, 06 April 2015 | 12.27

By Sophy Ridge, Political Correspondent

Politicians are preparing for a battle over economic statistics with Labour, the Conservatives and the Lib Dems all claiming their rival parties will make people worse off.

As the second week of election campaigning begins, a row over living standards is set to dominate Easter Monday.

Prime Minister David Cameron will claim 94% of working families are better off after tax and welfare changes this financial year.

:: Full Coverage Of General Election 2015

According to the leader of the Conservatives, Treasury statistics show working households will on average benefit by £200 a year, and pensioner households by £180.

Mr Cameron is expected to say: "Today is a big day for our country. It's 'money-back Monday' - a day when, quite simply, hardworking taxpayers get to keep more of their own cash.

"A whole host of changes to our tax, benefits, pensions and savings systems come into effect today.

"And, as a result - a result of action we Conservatives have taken - our country becomes a better and fairer place to live.

"(A place) where those who put in, get out; where hard work is rewarded; and people are trusted."

While the Conservatives are highlighting figures that indicate people are better off, Labour will claim the opposite.

Shadow Chancellor Ed Balls will argue families are worse off by £1,100 a year because of tax and benefit changes.

In a speech he is expected to say: "David Cameron and George Osborne are going round the country telling people they've never had it so good.

"How out of touch can they get? The truth is millions are worse off because of this Government's choices."

Mr Balls will also claim that a Conservative government would raise VAT while introducing a top rate tax cut.

Chancellor George Osborne has said there are "no plans" for a cut to the 45p rate of tax, but he refused to rule it out definitively four times on Sky News.

The man he shared the Treasury with for five years, Lib Dem Chief Secretary Danny Alexander, has shared embarrassing details of a meeting from 2012.

Speaking to The Independent, Mr Alexander said: "The Tories' priority at the time was the top rate of tax.

"I remember one meeting with a group of senior Conservatives and one of them - I'm not going to say who - said: 'Listen, you take care of the workers and we'll take care of the bosses'."

Easter Monday also marks an overhaul of the pensions system, when for the first time pensioners will be able to cash in their savings rather than buy an annuity.

Liberal Democrat Pensions Minister Steve Webb said: "As a Liberal I believe people should have the freedom to do what they want with the money they have saved up throughout their working lives.

"Our pension reforms will mean millions more people will have a better retirement."


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