Ed Balls MP, Labour’s Shadow Chancellor, in response to comments by Ken Clarke and Nick Clegg on child benefit, said:
“Ahead of this evening’s debate the government’s policy on child benefit is now in total disarray.
“These unfair changes are due to hit hundreds of thousands of families on middle incomes in just ten months time. The Chancellor must now put implementation of these plans on hold and announce an urgent review.
“It cannot be right that a two-earner family each earning £42,000, a total of £84,000,would keep all their child benefit, but a single-earner family on £43,000 would lose it all at a stroke.
“And if Ministers can look again at cutting child benefit for families on £43,000 they should also reconsider perverse and unfair cuts to tax credits for parents on the minimum wage which will leave thousands not only worse off, but better off if they quit work.”