21-08-03

Citizens’ Advice report confirms case for tax credit compensation – Barrett

John Barrett MP has renewed his call for people who faced financial difficulty from the tax credit fiasco to receive compensation, following a critical report by the Citizens’ Advice Bureau.
 
The Citizen’s Advice Bureau – Scotland (CAB) quarterly social policy briefing catalogues a series of problems which have arisen since the introduction in April of the Government’s new tax credit system. 
 
Their report “Taxing Times”, details how many people have been left with financial problems directly because of the delays the faced in receiving their credit payments.
 
Commenting, John Barrett MP said:
 
“This report confirms what a total shambles the introduction of the new tax credits truly was. Over the last three months, almost one in six benefit queries dealt with by one of the CAB offices in my own constituency related to tax credits. Worse still, the legacy of the Government’s mis-handling lives on.
 
“Almost half a million people have faced financial hardship because of the delays in receiving their tax credits. As the CAB points out, many people have been left struggling with rent, council tax arrears, mortgage repayments and even bank charges because of the Inland Revenue’s incompetence.
 
“The National Consumer Council and the Association of Chartered Certified Accountants had already called for compensation to be paid to those who have suffered. However, despite saying back in April that compensation might be paid, the Paymaster General, Dawn Primarolo, has given little information as to the amounts available and how people can go about claiming.
 
“This excellent report by the CAB confirms the case for adequate financial compensation being paid out. It is high time the Government made this a higher priority.”
 
ENDS