Autumn statement has numerous hidden evils

When George Osborne stood up in front of parliament to give his budget speech, he only spoke about the good things he did (or rather the bad things that he had threatened to do but then changed his mind in the face of overwhelming public objection). For some reason, he didn’t mention all of the evil things that he is doing in parliament – instead he published those in an 154 page document. Here’s some highlights of the evil buried deep in the document;

When students took out their loans, they signed up to a set of terms and conditions which described how much they would pay back and when they would pay it back. The amount they would pay back in any year depends on how much they earn above a certain threshold in that year, and that threshold increases with inflation. Except the government announced yesterday that they are changing the terms and conditions for people who already have taken out the loans to freeze that threshold rather than increase it with inflation – resulting in students having to pay significantly more of their wages in student loan repayments. If a commercial company changed loan conditions retrospectively, the FSA would stop them, but the government can do what it likes. Mwhahaha.

Whiplash injuries are thought to be a source of fraudulent insurance claims. Someone takes out their brake light bulbs, then slams on the brakes, and then claims for pain and suffering from whiplash injuries when the car behind hits them. This is thought to cost the average motorist £50 a year. In an effort to stop such fraudulent claims, the government is taking a sledgehammer to crack a nut. They are banning all claims for general damages (e.g. compensation for pain and suffering) in soft tissue injuries, and they are forcing anyone claiming under £5000 for an injury to do so in the small claims court – where they can’t recover any legal costs. So to stop fraudsters, innocent people are going to be out of pocket and under compensated.

Despite the high profile u-turn on withdrawing tax credits, a number of other changes are going on anyway. First of all, the tax credits are being withdrawn anyway, with people being switched over to universal credit, which will leave people £1600 a year worse off. Plus the chancellor will still cap child tax credit at two children, hurting families with more children.

At the moment student nurses get means tested bursaries to help them through their training. Nurse and midwife training takes 3 years, and typically has them working a 37.5 hour week during their training period, spending time working on wards in addition to lectures. So there’s little free time for a part time job on the side. But they can at least walk in to a job paying £21,692 a year at the end of it. However, thanks to changes in the autumn statement, nurses will be forced to pay for their training, so now they will start work with £50,000 in debt to pay off too.

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