Usdaw Timetable for Cuts Affecting Working Family Budgets (Updated)

Here’s an updated version of the Usdaw timetable on cuts and their impact on family budgets, original version of which is here.

Date	Cut / Change	+ Gain £	– Loss £	Who’s Affected
January 2011	VAT increased by 2.5% to 20%		Average – 307	Average households pay £307 more Average for those with children is £450
	Child Trust Fund abolished		– 250	Babies born after 1/1/11 have no Child Trust Fund
	Education Maintenance Allowance abolished		Up to – 1,170	Young people in England in Further Ed with household income less than £32400
April 2011	Tax allowance increased by £1,000 (£700 over RPI x20%)	0 to + 140		All basic rate taxpayers earning over £6,700 gain
	NIC threshold & NIC rate increased	0 to + 120	0 to – 200	Employees on less than £20,000 gain, higher earners lose out
	Child Tax Credit increased by £255 (£150 above 4.6% RPI)	0 to +150 per child		Families gain by no. of children x £150, tapered at 41% of income over threshold
	Working Tax Credit frozen, basic and 30 hour elements		– 90 or – 125	Low wage earners working under 30 hr Low wage earners working over 30 hrs
	Increase Tax Credit claw-back (taper) by 2% to 41%		Average – 160	Households lose up to 2% of tax credits Usual loss = (Income less £6420) x 2%
	Couples/lone parent element of WTC rose by CPI, not RPI		– 25	All low-middle earning couples and lone parents claiming Working Tax Credit
	Baby element of Child Tax Credits abolished		– 545	Families with new babies or babies under 1 in April 2011
	Family element of Tax Credit abolished for higher earners		– 545	Families with income between £41,000 and £58,000
	Child Benefit frozen		– 49 and – 32	For first child up to 16 or 19 if in FT Ed Also – £32 for each other child
	Childcare Tax Credit reduced from 80% to 70%		Up to – 1,560	Families claiming CTC lose 10% of childcare cost. Average = £457 per child
	Sure Start Maternity Grant abolished for 2nd + babies		– 500	Lower income families having 2nd or subsequent baby
	Health in Pregnancy Grant abolished		– 190	Babies due after mid April 2011
	Benefits to rise by CPI, not RPI		– 50	Households lose out by around 1% of all benefits – around £50
October 2011	Local Housing Allowance rates capped		Average – 468	Capped at 30th percentile of local rents.  40% of claimants are in low-paid work.
April 2012	Increase tax allowance by £630 (£250 over RPI x 20%)	0 to +£190		All basic rate taxpayers earning over £7,850 gain
	Child Tax Credit rises by CPI, but previous increase applies	0 to +150 per child		Families gain by no. of children x £150, tapered at 41% of income over threshold
	Family element of Tax Credit abolished for middle earners		– 545	Lost if income is over £25,000 (1 child)/ £32500 (2 children)/£39000 (3 children)
	50+ element of Tax Credits abolished		-1,320 or – 1,965	People working 16 – 29 hours pw People working over 30 hours pw
	Couples’ Working Tax Credit based on 24 not 16 hrs pw		Potential – 3,870	Couples with children unable to increase hours of work to 24 pw lose all WTC
	Working Tax Credit frozen Basic & 30 hour elements		– 205 or – 285	Low wage earners working under 30 hr Low wage earners working over 30 hrs
	Working Tax Credit frozen: Couples/lone parent element		– 135	All low-middle earning couples and lone parents claiming Working Tax Credit
	Child Benefit frozen		– 112 and – 73	For first child up to 16 or 19 if in FT Ed Also – £73 for each other child
	Benefits & tax credits to rise by CPI, not RPI		– 100	Households lose out by around 2% of all benefits – around £100
April 2013	Increase tax allowance by £1335 (£1125 over RPIx20%)	0 to + 420		All basic rate taxpayers earning over £8,105 gain
	Child Tax Credit capped at 1% – limits previous increase	0 to +110 per child		Families gain by no. of children x £110, tapered at 41% of income over threshold
	Child Benefit frozen		– 143 and – 94	For first child up to 16 or 19 if in FT Ed Also – £94 for each other child
	Child Benefit abolished for higher rate taxpayers		-1,055 & – 697	Households on over £50,000 lose up to £1055 for 1st child, & £697 for each other
	Working Tax Credit frozen: Basic and 30 hour elements		– 260 or – 365	People working under 30 hours People working over 30 hours
	Working Tax Credit: Couples/ Lone Parent part rises by 1%		– 170	All couples and lone parents on Working Tax Credit lose out
	Bedroom Tax – 14% or 25% of Housing Benefit		– 624 or – 1,144	540,000 households – 1 spare bedroom 120,000 households – 2 spare bedrooms
	Council Tax Benefit cut		Up to – 250 Up to – 600	Up to 2.5m recipients not in employment Almost 700,000 recipients in employment
	DLA changed to Personal Independence Payments		Average – 2,480	IA says 500,000 will cease to qualify for support, saving £1.24bn by 2015/16
	Benefit Cap (in 4 Councils, nationwide from September)		Average – 4,836	56,000 households will have their benefit reduced by an average £93 per week
	Benefits & tax credits to rise by CPI, not RPI		Up to – 150	Households lose out by around 3% of all benefits – up to around £150
	Localisation of the Social Fund		Loss of Safety Net	Community Care Grants & Crisis Loans abolished. No ring-fenced funding devolved to Councils.
October 2013	Universal Credit: marginal deduction rate rises to 76%	Average + 2,016	Average – 1,644	3.1m will gain on average £168pm 2.8m will lose an average £137pm
April 2014	Child Tax Credit capped at 1% (reduces the 2011 rise)	0 to + 65 per child		Families gain by no. of children x £65, tapered at 41% of income over threshold
	Working Tax Credit increases capped at 1% (after freeze)		– 295 – 415	People working under 30 hours People working over 30 hours
	Working Tax Credit: Couples/ Lone Parent part rises by 1%		– 205	All couples and lone parents on Working Tax Credit lose out
	Child Benefit increases capped at 1% (after freeze)		– 162 and – 107	£162 less for the first child £107 less for each subsequent child
April 2015	Child Tax Credit capped at 1% (reduces the 2011 rise)	0 to + 5 per child		Families gain by no. of children x £5, tapered at 41% of income over threshold
	Working Tax Credit increases capped at 1% (after freeze)		– 345 – 485	People working under 30 hours People working over 30 hours
	Working Tax Credit: Couples/ Lone Parent part rises by 1%		– 255	All couples and lone parents on Working Tax Credit lose out
	Child Benefit increases capped at 1% (after freeze)		– £189 and – £124	£189 less for the first child £124 less for each subsequent child

Census tables

This part of the 2011 Census website gives excel spreadsheets, broken down by region and by local authority, gives counts of a number of different kinds of demographic, social and economic data.  I’ve linked directly to what I think are some of the most useful and instructive datasets to inform local political debates:

Demographics

• Usual resident population
• Age structure
• Marital and civil partnership status

Identity

• Ethnic group
• National identity
• Country of birth
• Passports held
• Household language
• Religion

Power Relations

• Adults not in employment and dependent children and persons with long-term health problem or disability for all households
• Lone parent households with dependent children
• Health and provision of unpaid care
• Tenure
• Rooms, bedrooms and central heating
• Car or van availability
• Communal establishment residents
• Qualifications and students
• Economic activity
• Hours worked
• Industry
• Occupation
• National Statistics Socio-Economic Classification

Migration

• Year of arrival in the UK
• Age of arrival in the UK
• Length of residence in the UK

See all of the tables here: Release: 2011 Census, Key Statistics for Local Authorities in England and Wales

The Census website also summarises national findings broken down into the categories of ‘who we are,’ ‘how we live,’ and ‘what we do.’  It’s a good way of getting familiar with what the different categories refer to.  Read 2011 Census: Key Statistics for England and Wales, March 2011

Professions affected by the 1% benefits uprating cap

There have been a few media mentions this week about a report by the Children’s Society showing how parents in different professions would be hit by the Government’s 1% cap on benefits.  The report itself is a Parliamentary Briefing on the Second Reading of the Welfare Up-Rating Bill, here.

The really excellent bit is this table:

They also give these some very useful real life examples of how working parents in different professions will be affected by the Bill up to 2015:

• A lone parent working as a nurse with two children, earning £530 per week – would lose £424 a year by 2015.
• A couple with 3 children, one earner a second lieutenant in the Army, earning £470 per week – would lose £552 a year by 2015.
• A lone parent working as a hairdresser with one child, earning £195 per week – would lose £296 by a year 2015.
• A couple earning £395 per week with two children, one a childminder earning £240 per week, and the other a postal worker– would lose £351 a year by 2015.

You can read further Children’s Society briefings here.

Usdaw Timetable for Cuts to Working Family Budgets

Here’s a really useful table from USDAW timetabling the cuts which will impact on working family budgets from 2010-13. It’s a little out of date now, but still a useful guide.

Date	Cut / Change	+ Gain	– Loss	Who’s Affected
July 2010	Child Trust Fund reduced & Top-ups at age 7 abolished		– £200- £250	Babies born after 31/7/10 only get £50Children under 7 at 31/7/10 lose top-up
January 2011	VAT increased by 2.5% to 20%		Average- £307	Average household will pay £307 moreAverage for those with children is £450
	Child Trust Fund abolished		– £250	Babies born after 1/1/11 have no Child Trust Fund
	Education Maintenance Allowance abolished		Up to- £1,170	Young people in England in Further Ed with household income less than £32400
April 2011	Tax allowance increased by £1,000 (£776 over RPI x20%)	0 to+ £135		All basic rate taxpayers earning over £6,700 gain
	NIC threshold & NIC rate increased	0 to+ £120	0 to- £200	Employees on less than £20,000 gain, higher earners lose out
	Child Tax Credit increased by £255 (£128 above 5% RPI)	0 to £128 per child		Families gain by no. of children x £128, tapered at 41% of income over £6,420
	Working Tax Credit frozen		– £96 or- £135	Low wage earners working under 30 hrLow wage earners working over 30 hrs
	Increase Tax Credit claw-back (taper) by 2% to 41%		Average- £160	Households lose up to 2% of tax creditsUsual loss = (Income less £6420) x 2%
	Baby element of Child Tax Credits abolished		– £545	Families with new babies or babies under 1 in April 2011
	Family element of Tax Credit abolished for higher earners		– £545	Families with income between £41,000 and £58,000
	Child Benefit frozen		– £50 and- £35	For first child up to 16 or 19 if in FT EdAlso -£35 for each other child
	Childcare Tax Credit reduced from 80% to 70%		Up to- £1560	Families claiming CTC lose 10% of childcare cost. Average= £457 per child
	Sure Start Maternity Grant abolished for 2nd + babies		– £500	Lower income families having 2nd or subsequent baby
	Health in Pregnancy Grant abolished		– £190	Babies due after mid April 2011
	Benefits & tax credits to rise by CPI, not RPI		Up to- £100	Households lose out by around 2% of all benefits – up to around £100
October 2011	Local Housing Allowance rates capped		Average- £ 468	Capped at 30th percentile of local rents. 40% of claimants are in low-paid work.
April 2012	Increase tax allowance by £630 (£256 over RPI x 20%)	0 to+ £186		All basic rate taxpayers earning over £7,850 gain
	Family element of Tax Credit abolished for middle earners		– £545	Lost if income is over £25,000 (1 child)/ £32500 (2 children)/£39000 (3 children)
	50+ element of Tax Credits abolished		-£1320 or- £1965	People working 16 – 29 hours pwPeople working over 30 hours pw
	Couples’ Working Tax Credit based on 24 not 16 hrs pw		Potential- £3,870	Couples with children unable to increase hours of work to 24 pw lose all WTC
	Working Tax Credit frozenBasic & 30 hour elements		– £197 or- £278	Low wage earners working under 30 hrLow wage earners working over 30 hrs
	Working Tax Credit frozenCouples/lone parent element		– £101	All low-middle wage earners claiming Working Tax Credit
	Child Benefit frozen		– £100 &- £ 70	For first child up to 16 or 19 if in FT EdAlso -£70 for each other child
	Benefits & tax credits to rise by CPI, not RPI		Up to- £200	Households lose out by around 4% of all benefits – up to around £200
April 2013	Child Benefit frozen		– £150 &- £105	For first child up to 16 or 19 if in FT EdAlso -£105 for each other child
	Child Benefit abolished for higher rate taxpayers		-£1,055 &- £ 697	Households on over £42,500 lose £1055 for 1st child, also £697 for each other
	Working Tax Credit frozen		– £303 or- £428	People working under 30 hoursPeople working over 30 hours
	Benefits & tax credits to rise by CPI, not RPI		Up to- £300	Households lose out by around 6% of all benefits – up to around £300
	Start to transfer those on Tax Credits to Universal Credit	?	?	Rates unknown as yet but taper increases to 44% (76% for taxpayers)

In-work housing benefit numbers

Here’s a report by the Building and Social Housing Federation on the growth of in-work recipients of housing benefit.  It shows, among other things, that 92.8% of the increase in HB claimants last year were from claimants that were in work (p12).

The Growth of In-Work Housing Benefit Claimants: Evidence and policy implications

And here’s a graph showing variations in housing benefit claimant numbers since 1991 (p4):

There’s also a good summary of the findings at Inside Housing here.  I’ve reproduced their ‘key findings’ bit below:

Key findings

4.95 million
number of housing benefit claimants in Great Britain, excluding Northern Ireland

300,000
extra claimants since January 2010, of which 279,000 were employed

93 per cent
proportion of the increase in housing benefit claims from in-work households

• In 2010 and 2011 sizeable numbers of in-work households started to claim housing benefit
• There has been a considerable change in the financial situation of households, this could be due to rent freezes, more part-time workers and inflation
• The Department for Work and Pensions will not achieve planned £2.25 billion savings on housing benefit if the number of in-work claimants continues to increase

Incapacity for Work Benefit Claimant Numbers 1972-2010

The report Trends in the Employment of Disabled People in Britain from the University of Essex has a graph showing numbers of people of people claiming incapacity or equivalent benefit from 1972 -2010.  This is really useful as it allows us to compare what happened with incapacity numbers over periods of both Tory and Labour Government.

On page 4 the report says:

The graph shows a steady rise in the number of men and women receiving benefit on grounds of incapacity for work, from just under 600,000 in 1975 to just under 2.5 million in 1995 – a fourfold increase, equivalent to 7 per cent growth each year (compound).

After 1995, though, the rise in the number of claims in payment has either reduced or stopped, depending on which of the two series is being considered.”

This helps fill in the gap highlighted in my previous post about easily accessible government stats on IB only going back to 1999.

Incapacity Benefit numbers since 1999

Quarterly statistical summaries from DWP show how many people claim Incapacity Benefit and its successor, ESA, since 1999.  IB itself was introduced in 1995- not sure why the stats don’t go back that bit further.  I’m also looking for stats of Invalidity Benefit and Sickness Benefit prior to 1995, if anyone knows where these might be.

Here’s the latest quarterly DWP stats publication for November 2011 (pdf)

The stats for IB claimant numbers (and other types of benefit claimant) are on page 7, and are reproduced below.

 

Other useful welfare statistics links…

• List of national and official statistics produced by DWP
• DWP Statistics Archive (for discontinued publications)
• DWP Create Your Own Statistics*

*someone at DWP has a sense of humour