The National Minimum Wage is making life better for thousands of South Thanet constituents. I was proud to vote for it and proud to be part of fulfilling a key ambition that the Labour Party for a hundred years. All the local Tory MPs, including North Thanet's Roger Gale and Canterbury's Julian Brazier, opposed it and should be ashamed of themselves.

I've also been supporting a campaign to stop bosses including tips in the calculation of a pesrons wages. I'm delighted that the Government has now confirmed it will enact this reform. This change will also help thousands of people in the entertainment industry in South Thanet."

http://www.labour.org.uk/minimumwage

It is easy to lose sight of the real progress this government has made over the last eleven years in tackling child poverty and supporting those on lower incomes. Since 1997 the poorest 10% of people in this county have seen their net income rise by over 12%, relative child poverty has fallen by over 600,000 and relative poverty amongst pensioners has fallen by more than 700,000.

Though much is still to be done – the government remains committed to ending relative child poverty altogether by 2020 – this is a record of real achievement, and shows Labour’s continued commitment to creating a fairer society – not simply through words, but by actions.

Under the Tories, child poverty doubled and in 1997 was the highest in Europe. Had Labour done nothing – child poverty could have risen by a further 1.7million. Labour has not just stopped this rise – it has reduced it by 600,000 - faster than in any other country in Europe.

This has been achieved by understanding that the best way out of poverty is through work, and by making a decent day’s work pay a decent wage. This is why the government introduced the national minimum wage, something the Tories opposed, which will rise to £5.73 for adults following the 2008 budget. The Conservatives said such a minimum wage would cause massive unemployment – they were wrong. Even with the credit crunch and more uncertain times, unemployment is at its lowest level since 1975, employment is the highest it has been since records began and a million lone parents are in work for the first time ever.

The vast majority of working families with children are better off as a result of changes to the tax system, built upon by this year’s budget.

The 20% poorest families are £4,500 a year, or £90 a week better off because of the changes made over the last 11 years.

Increases in the Child Tax Credit, the Working Tax Credit and Child Benefit have raised thousands of families out of poverty and changes made this year will make them even better off

• A single earner couple with 2 children on an income between £10,000 and 20,000 a year will be £465 better off this year.

The position is more complicated for couples due to the interaction between individual taxes and household benefits. However, this year,

• a two-earner couple with 2 children both earning £5,000 will be £638 better off
• a two-earner couple with 2 children both earning £10,000 will be £94 better off
• a single earner couple with 1 child with an income of £6,000 will be better off by £468

The 2008 budget committed an additional £950m to tackling child poverty, lifting up to 250,000 additional children out of poverty from 2010/11. The first child rate of Child Benefit will rise to £20 a week from April 2009, and the child element of the Child Tax Credit will rise by £50.

Low paid workers without children will also be better off if they are entitled to the Working Tax Credit, which applies to those over 25 working more than 30 hours. For someone on £10,000 a year, it is currently worth over £1,100. That means

• A single earner couple on £12,000 a year will be £166 better off.

These are not aspirations – these are achievements, and show the government’s commitment to helping hard working families. Tax Credits are not hand-outs, but targeted tax breaks for people who work hard to support their families. The system is not perfect, but it is the best and fairest system devised so far to target assistance at those who need it.

Pensioners have also benefited considerably from measures introduced by this government over the last eleven years. Since the introduction of Pension Credit relative poverty amongst pensioners has fallen by around 700,000.

• The pensioners Tax free allowance which applies when people reach 65 is being increased this year by £1,180 above inflation.

This more than compensates these individuals for any loss due to the removal of the 10p rate and takes 600,000 pensioners out of tax altogether.

Additionally,

• Free off-peak bus travel across England has been made available for all over 60s from April 2008
• Winter fuel payments of £200 have been introduced for over 60’s households and £300 for over 80s, with a one-off additional payment of £100 to over 80s households and £50 to over 60s households in 2008-09 to accommodate for increasing full prices.

Legitimate concerns have been raised over the abolition of the 10p tax rate. It is right that the government has listened to these concerns and that those groups who have been affected, pensioners under 65 and young people without children, should be compensated though a series of measures which will be outlined in the autumn and backdated to April.

But, that said, this government has done more for those on lower incomes over the past 11 years than any government before it, and Labour’s record in office – the minimum wage, the reduction of child poverty, tax credits, record employment levels and a solid economic base from which to tackle more turbulent times in the global economy - prove it.

The Tories have still not committed to Labour's ambitious target of abolishing child poverty, instead referring to it as a vague 'aspiration'. They opposed the minimum wage, and want to lower the bar as to what constitutes child poverty. Under the Conservatives, unemployment doubled and hit three million twice, the bottom third of the population saw no real terms increases in their incomes at all, wages of as little as £1.20 per hour were common and legal and they let the value of Child Benefit fall. These are not indicators of a party committed to creating a fair society.

It is clear which Party is committed to creating a fairer society. You don’t have to take my word for it; just look at the numbers.

And if you think you might need extra help and could be entitled to tax credits, don’t be afraid to find out. Ring the tax credit helpline on 0845 300 3900. There could be money waiting with your name on it.