Labour: tax credit cuts could cost the Conservatives the next General Election

Lauren Fedor
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Shadow chancellor John McDonnell says Labour would reverse the tax credit cuts. (Source: Getty)

Cutting tax credits could cost the Tories 71 seats in the next General Election, the Labour party has argued.

In new analysis released over the weekend, Labour identified 71 Conservative-held constituencies where the number of families set to lose tax credits exceeded the margin of the MP’s victory in May’s General Election.

The government’s proposed cuts to tax credits have come under increased scrutiny in recent weeks, with opponents regularly citing Institute for Fiscal Studies (IFS) and other research showing that a hike in the minimum wage will not offset the tax credit cuts for low-earning families.

Labour MPs are expected to call for the Tories to U-turn on the policy in a House of Commons debate on Tuesday.

But appearing on the BBC this morning, shadow chief secretary to the Treasury Seema Malhotra raised questions over her party’s own policies when she was asked five times whether a Labour government would restore the in-work benefits – and refused to give a “yes” or “no” answer.

Shadow chancellor John McDonnell later tweeted: “We are calling on Osborne to reverse his decision to cut tax credits. If he doesn’t reverse these cuts, we’re making it clear that we will.”

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