Labour launches fresh salvo on family finances in Yorkshire

The poster is the latest salvo in a battle over home finances triggered on the first day of the General Election campaign by the Prime Minister who suggested families would be £3,000 a year worse off because of Labour’s tax proposals.

Labour’s latest poster is based on figures on the impact of tax and benefit changes from the respected Institute of Fiscal Studies (IFS).

Speaking in Yorkshire tomorrow, Shadow Chancellor Ed Balls will say: “Families will be £1,100 a year worse off on average because of this Tory Chancellor’s choices.

George Osborne and David Cameron have raised VAT and cut the tax credits of working people, but given millionaires a huge tax cut.

And our new figures today show how families with children have been hit hardest of all.

“Labour’s better plan will make fairer choices, put working people first and save our NHS.”

Labour said while the average impact was £1,100, it would be more for certain families such as those with two earners and two children where the cost would be £1,800.

But the Conservatives also pointed to IFS figures to counter the claims.

Treasury Minister Priti Patel said: “Ed Miliband’s tax rises will cut the average working family’s pay packet by £3,028, and Labour’s debt and borrowing will cause economic chaos.

“The independent experts at both the Institute for Fiscal Studies and the Office for Budget Responsibility show that living standards are set to be higher in 2015 than they were in 2010 – the average family will be £900 better off under the Conservatives than they were when Labour left office.

“The job isn’t done, but our long-term economic plan is working.”