UK PM defends child benefit cuts

Speaking on the state-run BBC’s Andrew Marr Show on Sunday, Cameron insisted that the government’s decision to reduce child benefits, which will take effect on Monday, was the “right approach.”

The coalition has come under increasing criticism for its proposed changes to child benefits, which will see households with one earner on more than £60,000 lose all of the benefit payments while families with two parents with salaries under the cut-off point hang on to the additional income.

“I think people see it as fundamentally fair that if there is someone in the household earning over £60,000 you don’t get child benefit,” Cameron said.

The British government has been also warned that cuts to child benefit payments will punish over a million middle-class families with a tax rate of 65 percent.

Financial think tank the Institute for Fiscal Studies (IFS) issued a damning analysis of the “problematic” plans, estimating that the average loss to the households affected would be £1,300 a year, with 820,000 families losing all state help and 320,000 having it reduced.

SSM/PKH/HE

Source Article from http://www.presstv.ir/detail/2013/01/06/282132/uk-pm-defends-child-benefit-cuts/

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