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Labour policy on ending benefits freeze in confusion as Corbyn hints claimants will still lose out


Labour’s coverage on ending the benefits freeze has been plunged into confusion, after Jeremy Corbyn prompt claimants may nonetheless be left worse off.

A spokesman for the Labour chief stated the get together won’t enhance funds in step with inflation, which would go away a few of the poorest individuals dealing with real-terms cuts.

The remark got here regardless of John McDonnell, the shadow chancellor, insisting solely final week that Labour would absolutely uprate advantages – that are presently frozen for 4 years, till a minimum of 2020.

The newest confusion follows sharp criticism of Labour’s management for failing to oppose the government’s plans for tax cuts which is able to go overwhelmingly to the higher off.

And it echoes an identical row eventually 12 months’s election, when the get together’s manifesto failed to provide a dedication to ending the advantages freeze.

But Labour itself has highlighted how the coverage is prone to strip £13bn of support from claimants over 4 years, excess of the £9bn estimated by the federal government.

The freeze hits jobseeker’s allowance, revenue assist, employment assist allowance and housing profit, in addition to baby profit and dealing tax credit.

Mr Corbyn went on the assault at prime minister’s questions within the Commons, saying: “The profit freeze takes £1.5bn from 10 million low and middle-income households.

“A low-income couple with kids will likely be £200 worse off. For them, there isn’t any finish to austerity. Labour would have ended the profit freeze.”

 

However afterwards, requested exactly what Mr Corbyn meant, his spokesman stated the coverage was to “transfer off the freeze”, declining to say it meant inflation-proofed upratings.

“Meaning you begin to enhance advantages once more,” he stated, including: “A freeze means off. In the event you flip it on once more, you’ll be able to flip it on to totally different levels.”

On the Budget on Monday, the chancellor’s failure to tear up the coverage was condemned by poverty campaigners as proof that austerity was persevering with for profit claimants.

 

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