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New analysis by the Labour Party shows that the most deprived areas of the country are getting a double hit from local government cuts and cuts to tax credits and benefits.

The North East of England is the worst hit area, with cuts amounting to £566 per head. Least affected is the South East, where the combined impact of local government and welfare cuts is just over half as great, at £292 per head.

The worst-hit area, Knowsley in Merseyside, sees a total loss of £850 per head – £515 per head in welfare cuts and £336 in local government cuts. The least-hit area, Mole Valley in Surrey, sees a total loss of £182 per head – £164 in welfare cuts and £18 in local government cuts.

Two thirds of those affected by cuts to tax credits and benefits are in work.

By region, the loss per head is as follows:

<tbody> </tbody> <tbody></tbody>
  North East      £566 
  London   £511 
  North West     £508  
  Yorks and Humber     £421
  West Midlands   £388
  East Midlands   £364
  South West   £334
  East   £324
  South East   £292

Liam Byrne MP, Labour’s Shadow Work and Pensions Secretary, said:

“The Tories are zeroing in on areas in need and hitting them hard – twice.

“Communities facing the biggest hit to local government are also losing most from cuts to their tax credits and benefits, yet instead of helping working families the Tories are giving millionaires a tax cut. That tells you everything you need to know about this Government’s priorities.”

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