The FT notes this morning that:
The prime minister will say Britain needs to move from a “low-wage, high-tax, high-welfare society to a higher-wage, lower-tax, lower-welfare society” as he hints at a radical overhaul of the tax credit system.
Increase the minimum wage, significantly, then Mr Cameron. That’s the obvious first step in that process.
Cut tax, if you want too.
But making benefits cut the first stage is just callousness when there is no guarantee on the others. And everyone knows it.
They’ve already taken the first step. Raising the personal allowance significantly. Which cuts tax, raises take home incomes and reduces the amount of welfare necessary.
Ritchie should actually know this: he’s been whining about it enough after all.