Philip Booth debates child benefit changes on Radio 5 Live
Philip Booth described how the UK system penalises family formation to a greater extent than any other tax or benefit system in Europe. He advocated the abolition of child benefit, arguing for the introduction of a system of child tax allowances which are common in the rest of the EU.
Whilst the benefits bill urgently needs reducing, he emphasised that this is an incredibly ham-fisted reform which reinforces the anti-family and anti-work bias within the benefit system. He was particularly concerned with regard to those on the cusp of £50,000.
When someone reaches earnings of £50,000 per year they will lose 67% of what is earned between £50,000 and £60,000. Those affected are aspirational people who is will be adversely affected and disincentivised from career progression.
Philip finished by highlighting the need to reduce both benefits and taxes dramatically.
Listen here. Segment starts at 21:45.