Submission Documents: By Councillor Richard Bell:- "Council condemns the decision of the Westminster Tory Government to cut the £20 uplift in Universal Credit whilst at the same time increasing National Insurance contributions as an attack on the poorest people in our City and wider society. Council believes that the "double Whammy" will hit many households as they attempt to recover from the global pandemic and push many children in the city deeper into poverty. Indeed, Council notes that the Children and Young People's Commissioner for Scotland's assessment that removal of the £20 uplift to Universal Credit will effectively "knock out the benefits that the Scottish Child Payment brings to families", undermining the work of the Scottish Parliament in eradicating child poverty. Many working families will also face the burden of higher national insurance contributions making life more challenging for the lowest paid. Council strongly disagrees that an increase to National Insurance contributions is the fairest way to fund government spending. Council believes that raising National Insurance contributions is a blunt tool to raise government funds - as they currently stand NICs are more regressive than income tax-with a lower threshold at which payments start, and a higher rate threshold beyond which the well-off pay a lower rate. Council finds that the national insurance levy will impact by age - young people will feel the greatest impact by income - national insurance is regressive and will hammer the lowest paid and by wealth, - those with unearned incomes stand to be the biggest winners. Council believes that the levy increases of 1.25% on employee and on employer wage costs (a 2.5% overall increase in the tax rate on pay), will be detrimental on our people and the City. This would be equivalent to a 10.4% reduction in the pockets of employees and a 9.06% hit for employers. Council believes that these deliberately cruel policies will pose a threat to Glasgow's recovery and that this policy is part of a suite of ill thought out policies which impair post pandemic recovery and penalises the poor and low paid families. Council believe that a more progressive approach to funding social care would be a rise in higher rate income tax, instead of National Insurance, and addressing tax avoidance and evasion. Council believes that Brexit continues to significantly impact the city with labour and produce shortages and increasing fuel prices exacerbating these costs of living challenges. Council notes the unsustainable rise in fuel prices and the impact that could have on families and elderly people this winter. Council notes the Scottish Government have provided an additional payment to carers and welcomes this. Council supports calls by campaigners including National Energy Action for the UK Government to expand the Winter Fuel Payment. Council instructs officers to bring a paper to the future City Administration Committee looking at what support can be provided to mitigate these rising fuel prices and wider efforts to tackle fuel poverty in the city." Help Icon

This is the list of documents available for the submission By Councillor Richard Bell:- "Council condemns the decision of the Westminster Tory Government to cut the £20 uplift in Universal Credit whilst at the same time increasing National Insurance contributions as an attack on the poorest people in our City and wider society. Council believes that the "double Whammy" will hit many households as they attempt to recover from the global pandemic and push many children in the city deeper into poverty. Indeed, Council notes that the Children and Young People's Commissioner for Scotland's assessment that removal of the £20 uplift to Universal Credit will effectively "knock out the benefits that the Scottish Child Payment brings to families", undermining the work of the Scottish Parliament in eradicating child poverty. Many working families will also face the burden of higher national insurance contributions making life more challenging for the lowest paid. Council strongly disagrees that an increase to National Insurance contributions is the fairest way to fund government spending. Council believes that raising National Insurance contributions is a blunt tool to raise government funds - as they currently stand NICs are more regressive than income tax-with a lower threshold at which payments start, and a higher rate threshold beyond which the well-off pay a lower rate. Council finds that the national insurance levy will impact by age - young people will feel the greatest impact by income - national insurance is regressive and will hammer the lowest paid and by wealth, - those with unearned incomes stand to be the biggest winners. Council believes that the levy increases of 1.25% on employee and on employer wage costs (a 2.5% overall increase in the tax rate on pay), will be detrimental on our people and the City. This would be equivalent to a 10.4% reduction in the pockets of employees and a 9.06% hit for employers. Council believes that these deliberately cruel policies will pose a threat to Glasgow's recovery and that this policy is part of a suite of ill thought out policies which impair post pandemic recovery and penalises the poor and low paid families. Council believe that a more progressive approach to funding social care would be a rise in higher rate income tax, instead of National Insurance, and addressing tax avoidance and evasion. Council believes that Brexit continues to significantly impact the city with labour and produce shortages and increasing fuel prices exacerbating these costs of living challenges. Council notes the unsustainable rise in fuel prices and the impact that could have on families and elderly people this winter. Council notes the Scottish Government have provided an additional payment to carers and welcomes this. Council supports calls by campaigners including National Energy Action for the UK Government to expand the Winter Fuel Payment. Council instructs officers to bring a paper to the future City Administration Committee looking at what support can be provided to mitigate these rising fuel prices and wider efforts to tackle fuel poverty in the city.".

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Name Type of Document Access View Document
Item Minute - 28 October 2021 Minute Public Open Document in PDF Format
(8 KB)

 

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