13:14 30 October 2012
With UK citizens having to tighten their belts due to the current economic situation, the government is forced to reduce public spending. The latest measure that has been considered is the cancellation or reduction of child benefits for those people who are earning more than £50,000 a year.
This will take effect on January 7th, 2013, and more than 1million families are expected to receive letters about the new policy this week.
Although the poll shows that 85per cent of taxpayers back the new plan, many conservative MPs have protested to George Osborne about the move warning that this will anger supporters.
MPs have urged the Chancellor to at least delay the move before it will take effect next January.
A Treasury spokesman said: “When the Government is having to reduce welfare spending, it is very difficult to justify continuing to pay for the child benefit of the wealthiest 15per cent of families in society.
“The unprecedented scale of the deficit has meant the Government has had to make tough choices to reduce public spending, but we have always been clear that those with the broadest shoulders should carry the greatest burden.”
Currently, the benefit pays £20.30 a week for the first child and £13.40 for each younger child. This means that families earning £60,000 per year will lose up to £2,450 per year should they have three children.
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