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Turn2us' warning on the tax credits cuts

  • 09/07/2015
  • Author:bridgetmccall

The tax credit cuts announced in the Budget are likely to push more people in to financial hardship.

Following the Summer Budget yesterday which included proposed cuts to tax credits, Turn2us is warning that these changes are likely to push more people into financial hardship.

Simon Hopkins, Chief Executive of Turn2us commented: “Whilst we knew that tax credit reform was on the cards, the extent to which this lifeline will be reduced is striking. Tax credits are a significant source of income for many families in the UK, helping them to pay their bills, and buy food and other essentials. Removing this vital support, before the impact of any proposed wage increases can be felt, is likely to push many into financial hardship.”

Welfare Reform and Work Bill

The Government has today published the Welfare Reform and Work Bill  that will set out the reforms in more detail. Many of the changes will come into effect in 2016.

Confusion and concern

 Simon added: “Many people who come to Turn2us are confused about what welfare benefits and tax credits they may be entitled to, and the planned changes will no doubt add to this concern. Last year, over 900,000 benefits calculations were completed on our website, resulting in over £94m in welfare benefits and tax credits being identified – income that many may have been unaware of.

Check what benefits and other support is available

“It’s more important than ever that people can check their latest benefits entitlements, as well as making themselves aware of what additional support might be available through charitable grants and other help. If you need help, please keep checking what you’re entitled to; if you’re an organisation that provides financial help, please do everything you can to let people know that you’re there. It may seem obvious but we know from the level of unclaimed benefits in the UK that there’s a lot more to do.

Compassionate society

 “Whilst there may be many who benefit from the measures announced yesterday, it is vital that as a compassionate society we address the concerns of those who will not be so lucky. We will continue to work together with charities and other organisations to make all the help available as accessible and straightforward as possible.”

Use the Turn2us website

If you are struggling to make ends meet, use our Benefits Calculator to check your entitlement to benefits and our Grants Search to see if you are eligible for help from a charitable fund, based on your personal background, circumstances and needs.

The Turn2us Your Situation online section contains resources on benefits, grants and managing money, including useful links sheets and a Find an Adviser tool to help you find national and local sources of further help.

Read the Turn2us press release: Tax credit cuts likely to push more in to financial hardship, Turn2us warns

Date of publication: 9 July 2015

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