The revolutionary government will end child tax credits because they are complicated, costly, and give money to the fairly well off who can fill in forms.
Child benefit will be simplified to £20 per week per child. For children of school age payment will be made to the mother (usually) at the post office in cash, she will require a certifacate of attendance from the school from time to time. For children below school age she will need to take the children with her to the post office. The benefit will be taxable for higher rate taxpayers. Schools will provide meals based on traditional English food made as far as possible from local fresh ingredients. This meal will include a pudding.The price will be subsidised and be about £1 a day. This will create a significant number of jobs in school canteens, and local food production. All children will be offered one-third of a pint of milk in a glass bottle per day free. Water will be proveded with meals. There will be no vending machines in school, or any kind of sale of sweetened drinks or snack bars of any kind.
The revolutionary will try to empower workers, and encourage them to improve their skills. Protection from unfair dismissal is one thing, but often there is a fear of leaving one job to try another in case it doesn’t work out, or indeed to leave the dole and try a jobfor fear of ending up barred from the dole. There will be 7 days waiting for a dole claim, but that will be paid upon return to work. If you leave a job voluntarily, or lose your job through your own fault you will be barred for an extra week, the first time, but longer for subsequent times.
Partners of claiments may earn up to £80 aweek without affecting the amont of dole received.
There will be a placement scheme where claiments will be offered work for 20 hours a week at minimum wage doing work considered useful for the community, but where it would be impossible to offer that work as a normal job. Grant aided activities such as the Arts or Sport could have some of their grants replaced by having these workers for free.
Refusal to accept the placement could result in a bar from the dole.The worker will be free to look for other employment outside the hours worked on the scheme.
National insurance is a tax, rather than an insurance, although the pension you recieve, sick pay and so on are related to it. We have abolished working tax credit, so that leaves working people needing to live on what they earn. Nightmare? Well not really, not if it’s possible to put the money you earn in your pocket and then spend it on things you need, and maybe even things you want. The revolutionary will make National insurance a tax on income, not work. All income will be subject to it. Investment income, rents, capital gains, and the rate will be 5%. All income, includes that earned by non residents, on renting out property in England, for example. Employers will pay 6% on all payments and benefits given to employees. There will be no upper or lower limits. Pensions will be subject to the tax.
It is in fact practically impossible to save for a pension, even if you have the money to invest, the investments can very well go down as well as up. The state pension needs to be adequate. A couple should get at least the equivalent of one person on minimum wage. That would be £247 from october, less 5% NI gives £234 for a couple, £ 140 for a single person. The revolutionary government will pay this for anyone over 67 years old with 40 years contributions. SERPS pensions already earned will be paid (less 5% NI) but future earnings will not generate further entitlements to SERPS.
The aim of the revolutionary government is to keep the benefit system as simple as possible, and to create the feeling that money represents work. There will always be some people who are unemployed. Job seekers allowance will be replaced by Dole. One of the problems the unemployed have is exclusion. It is important that they get out of the house and see people. All dole will be paid in cash weekly. The first requirement to getting permanent employment is to learn to turn up on time. Claiments will need to arrive on time, in a condition to work. The reward, cash, failure to do so, no money. Casual work on any day will loose a fifth of the dole money. Casual work is often a way of making contacts to obtain permanent work and so needs to be encouraged. Working on dole day is, of course, a reason not to be able to go to the dole office, but a phone call before the due time is essential. Sickness is not a reason, you have to be fit for work to claim dole. The dole officer can ask for a breath test if the claiment appears to be drunk. A postive test will bar the claiment for that week.