Tom Blenkinsop, Labour MP for Middlesbrough South and East Cleveland, today (19th March 2013) suggested that ‘parents who are struggling now with the rising cost of childcare will be disappointed with proposals that won’t see the light of day for over 2 years.’
Parents will be offered up to £2000 childcare tax break per child to help with the rising costs of childcare and this would replace the current voucher scheme. It has been suggested that families earning up to £150,000 will benefit whilst working parents on the lowest incomes with a single earner below £9440 would not benefit from tax relief at all.
“Hardworking parents will rightly feel aggrieved by the Government’s decision to delay support for childcare costs until 2015 whilst the millionaires at the top will be getting a £100, 000 tax cut in just a few weeks.
“Regardless, this proposal will not make up for the up to £1,500 that families on middle and low incomes have lost in cuts to childcare support; and we can see where Cameron’s priorities lie when those who have seen their incomes cut because tax credits have been cut will not get any help, while families earning up to £300,000 will benefit. That is deeply unfair.
“Despite months of negotiations the proposals seem ill-thought out, squeezing the income of low and middle earners and making it harder for families to make work pay. The Prime Ministers priority might be helping those at the top but what we need is urgent action to support low paid parents who are struggling now.”