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Loosen Your Belt, Phil

Senior Tories urge Philip Hammond to help poorest workers

The poorest fifth of working households are just £4 a week better off since the Conservatives came to power in 2010

SENIOR Tories are urging Philip Hammond to help struggling workers after it emerged many are just £4 a week better off than in 2010.

The Chancellor will unveil a small upturn in the nation’s finances at his Spring Statement on Tuesday.

 Philip Hammond will deliver his Spring Statement on Tuesday.
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Philip Hammond will deliver his Spring Statement on Tuesday.

But research by the Joseph Rowntree Foundation revealed the poorest fifth of working households have barely benefited since the Tories came to power eight years ago.

The cost of living plus welfare cuts have actually left many worse off in real terms.

In contrast the middle fifth of earners are £16 a week better off.

Mr Hammond was tonight urged to use his £10bn windfall to return cash raided from the Universal Credit budget.

 Iain Duncan Smith wants to offer more Universal Credit
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Iain Duncan Smith wants to offer more Universal CreditCredit: Getty Images - Getty

It would cost £2bn a year to restore the “work allowance” — increasing the amount kept before claimants lose benefits.

It would help three million Brits and take 340,000 out of poverty, including 310,000 families.

Tory MP Iain Duncan Smith said: “The whole point of Universal Credit is to entice people back into work.

“The more money we’re able to offer people to do that, the more successful we will be.”

Backbencher Johnny Mercer added: “We have a duty to help the poorest in society who are trying to do the right thing.”

JRF chief Campbell Robb said: “In-work poverty is the problem of our times.

"His economic update must address the challenges facing families struggling to cover rent or put food on the table.”

Mr Hammond said any extra cash should be used to reduce the national deficit.


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