‘Denying people’s disabilities’

The government is standing by proposals to cut ÂŁ3.7bn in disability benefits, even as it plans to implement a ÂŁ1bn tax break that will predominately benefit the very wealthy.

Downing Street defended the plans to change Personal Independence Payments (PIP) earlier this week, saying that “nobody is losing out”.

The government put forward the changes after a court ruled that more disabled people were entitled to PIPs, including those suffering from mental health issues, dementia, epilepsy and diabetes.

The court’s rulings were dismissed by the head of Theresa May’s policy unit, MP George Freeman, who said on Sunday (February 26) that PIPs are meant for “really disabled people” and not those “taking pills at home”.

Freeman later apologised for his comments.

Speaking about the planned PIP cuts the Prime Minister’s spokesman said, “What we are doing now is restoring the original intention of the PIPs which was to make sure there was a sustainable benefit to provide continued support to those who face the greatest barrier to living independent lives.”

He added, “Nobody is losing out.”

Despite ratcheting up its austerity drive, the government will next month raise the Inheritance Tax threshold from ÂŁ325,000 per person to ÂŁ500,000, at an estimated cost to the taxpayer of ÂŁ1bn.

Benefit rich

The tax break will overwhelmingly benefit rich families in Tory held constituencies in the London and the south east, according to research commissioned by Labour MP Rachel Reeves.

“These new figures reveal the government’s inheritance tax giveaway will only benefit a wealthy elite in London and the south-east at the expense of the rest of the country,” said Reeves, who sits on the Treasury select committee.

Chair of Unite’s national disabilities committee, Sean McGovern, acknowledged the inheritance tax break will benefit some ordinary people in London who have seen the value of their properties rocket because of the housing crisis, but said it is “very depressing” to see tax breaks aimed primarily at the rich running alongside funding cuts for the most vulnerable.

“The Tories are denying people’s disabilities. It’s outrageous. By cutting PIP they are encouraging social exclusion and isolation and widening the poverty gap for disabled people,” McGovern said.

“At the same time they’re looking after their own group of people at the expense of everyone else. The Tories are, and always have been, a party for the wealthy.”