The research http://www.endchildpoverty.org.uk/news/news/new-ifs-research-shows-families-and-poorest-hardest-hit-by-coalition-cuts/23/184 contradicts the Chancellor’s claim that the budget measures were progressive ad calls into question commitments to ‘fairness’. Unlike the Treasury’s own modelling, the analysis takes into account the impact of all the budget’s changes up to 2014; analyses the June 2010 Budget changes separately from those announced previously; and includes changes to Housing Benefit and Disability Living Allowance. It shows that:
- The measures announced in the June 2010 budget are regressive as they hit the poorest more than the seventh, eighth and ninth deciles in cash, let alone percentage, terms.”
- Families with children lose more than pensioners or other household types in all except the top three income groups.
- The poorest families with children lose more than any other group. As a result of the changes announced in the June Budget, families in the bottom income decile are set to lose over 5 per cent of their income, compared to less than one per cent for non-pensioner households without children in the top decile