Not sure the minimum wage is a major factor but you may well be correct about the tax credit reform. That may also be a factor as to why this country is in the state it's in, paying tax credits to someone earning one and a half times average earnings is barmy. Basically, Labour buying it's votes!
As for interest rates, they have been kept artificially low for a couple of years now. Anyone banking on them staying at current levels is in for a very rude awakening.
Of course there is a point of view that tax credits are a subsidy for employers rather than employees , facilitating the employment of people at wages insufficient to keep them and their children out of poverty.
So a salary of £40k is to be regarded as poverty level?
I have no idea why benefit that stops kids of working parents living in poverty is also paid at a small rate to any bugger with kids.
Apparently the film depicts Mrs T during her worst bouts of dementia ....
this is appalling they really should have glossed over the 80's and concentrated on her retirement
I dont know quite how that came to be there.
The thing is Tweeky, interest rates in the Eurozone have just recently been reduced to 1%...that's still double what it is here. It's the Bank of England that sets interest rates not the government and as for higher interest rates benefiting the rich, there are a lot of older people that have been thrifty throughout their lives and have savings which they rely upon in their old age but they are getting bugger all interest on their savings at the moment. As you rightly state, all the Labour largess has to be paid for and we are paying for it now.
I'm not sure that I follow your maths re £40K being less than the national average income unless you are assuming that a household automatically has both partners working, which is a spurious argument.
But not every family has 2 wage earners, in fact far from it, so the average income per family is not twice the national average wage.
There are many older people who are far from rich and dependent upon their savings. Low interest rates benefit borrowers not savers and that is one of the problems we have in this country, too many of the former and not enough of the latter. If rates were to increase to say 5% there will be a lot of people in very deep shit
This is why so many people are so out of touch! They think they have it hard when they really don't!
This year I took home less than 20k and less than 10k last year, my wife earns just under 3k a year
40k for us and we would think we had won the lottery. Don't get me wrong, I do not begrudge anyone that money, in fact I intend to earn that much in the future, and more! What I do begrudge is a house hold with that kind of income getting help from the government!
I think, living as we both do in impoverished rural communities, we will share an understanding of the economic and social issues. I confess until I moved here I didn't really understand.
I believe that benefits should go to those genuinely in need, not be universal.