Living Standards Debate

Full Debate: Read Full Debate
Department: HM Treasury
Monday 5th March 2012

(12 years, 2 months ago)

Commons Chamber
Read Full debate Read Hansard Text Read Debate Ministerial Extracts
Rachel Reeves Portrait Rachel Reeves
- Hansard - - - Excerpts

My hon. Friend speaks with great knowledge, having formerly worked for the Child Poverty Action Group, and what she says should hold great sway with the House.

David Anderson Portrait Mr David Anderson (Blaydon) (Lab)
- Hansard - -

In response to the question from the hon. Member for Mid Norfolk (George Freeman) about people being taken out of tax, will my hon. Friend agree that more people are being taken out of tax—and put on the dole? What is that costing us? Some 700,000 public sector workers have gone on the dole in this country. Not only will they not be paying tax but they will not be paying national insurance, which will make things even worse for this country.

Rachel Reeves Portrait Rachel Reeves
- Hansard - - - Excerpts

My hon. Friend is absolutely right. As we all know, unemployment is at a 17-year high and youth unemployment at an all-time high. That is taking more people out of tax and costing taxpayers more and more every day, as the bills of this failed economic policy add up.