The Trades Union Congress (TUC) warned the government that its decision to freeze and then cap child benefit will bring about a shortfall of £1,079 between 2011 and 2015 for families that have two children, local media reported.
The coalition has frozen child benefits since 2011 for three years. Thus, a family with two children experienced a real-terms cut of £80.60 in 2011-12. The same family will then see a £183.56 cut in 2012-13 and £234.00 in 2013-14, the estimates have revealed.
Chancellor of the Exchequer George Osborne said in his Autumn Statement that child benefit would increase by just 1 percent, a figure well below the projected rate of inflation in 2014-15 and 2015-16.
The TUC report shows that as a result of bringing forward the benefit cap instead of raising benefits, a family with two children will lose £268.32 in 2014-15 and £313.04 in 2015-16, bringing their total loss over five years to £1,079.52.
The report also estimates that some families could lose over £3,000 as a result of the government’s ongoing tax credit cuts.
Newly assigned TUC general secretary Frances O’Grady said, “the government’s decision to freeze child benefit has already hit millions of families at a time when real wages and living standards are falling”.
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Source Article from http://www.presstv.ir/detail/2012/12/31/281082/benefits/
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