Tax Credits

Lord Clarke of Nottingham Excerpts

Tuesday 15th September 2015 Commons Chamber

[Seema Malhotra]

I will make a little progress, and then I will give way.

Far from increasing work incentives, these measures will reduce them. Reducing the work allowances or thresholds and increasing the taper rates mean families will have their incomes reduced earlier and more quickly than would otherwise have been the case.

[Mr Kenneth Clarke (Rushcliffe) (Con)]

Does the hon. Lady accept that the vast majority of Members in this Chamber probably agree that we would like to see Britain move away from being a low pay, low productivity economy to a more advanced, higher productivity, better paid one? Can she explain how she thinks we can possibly move in that direction, even now the economy is recovering, if we do not tackle the absurd level of taxpayer subsidy to low pay from the tax credit system?

[Seema Malhotra]

I—[Interruption.]