The Haves and the Have Nots: Who is the villain of the story

Do you hear that? The cheering and celebrating across the country? No. Me neither.

This week saw a major road work in Chancellor George Osborne’s battle on the working poor as the House of Lords voted against reducing the income threshold for working tax credits from £6,420 to £3,850 a year.

In simple terms? Once someone reaches £3,850 earnings their tax credits would be reduced. Child tax credits would also be affected with the threshold being lowered from £16,105 to £12,125. Analysts claimed the impact of these changes would hit the lowest earning members of society by making them up to £1,000 a year worse off.

The House of Lords demanded changes to the proposals, something that is expected to be announced in Osborne’s Autumn statement. While this may seem like a win, there is still £4bn to be cut from the welfare budget. Where this will some from is still up in the air.

The haves and the have nots

What began as a crusade to reduce the deficit has now become a battle of the haves and the have nots. Who is worse off?

Is it those losing out on tax credits as the evil Tories continue their assault on the poor, or is it the self proclaimed middle class who are forced to pay for all the scroungers. One thing is for sure, Cameron has an unnatural obsession with pigs and Osborne was the kid who liked to pull the legs of spiders to watch them suffer, that’s if you believe the media.

Do you want bacon with that egg?

But what if they aren’t as bad as people like to think? The Pomegranate office is right by Manchester Central, the venue of the recent Conservative Party Conference. During which, people of all genders, ages and race lined the streets to beat drums, throw produce and swear at any passer by wearing blue.

The irony that the Conservatives are ruining the country is lost on a group of people dressed in batman pajamas, wearing balaclavas throwing balls at Boris Johnson. Maybe if they put the same amount of effort into finding a job as they do their egg throwing, they might have a job by now.

Now, I’m not a staunch supporter of any party. I don’t attend conferences, or idolise leaders. What I do have is sympathy for any party that is treated worse than Gary Glitter by an angry mob while going to work. Is it any wonder the Conservatives are perceived to dislike the ‘lower class’? If someone threw an egg at me and spat in my face while I walked to work, I’d probably want to take away their tax credits too.

Unfortunately, no one in this world is entitled to anything. If we look at third world countries, or even a society like America, we are significantly better off. When the unemployed are watching 50” 3D TV’s while playing Candy Crush on their new iPad you can’t help but wonder what is going on.

The tale of two friends

I have a friend, single mother, lives alone, works for a popular airline as an airhostess. She gets a decent wage but pays just over £1,000 a month in tax and national insurance. That’s more than some get paid in a month. Although that’s not the point of my story.

The tax my friend pays is used to fund public services such as the NHS, and the education and welfare system, as well as investment in public projects like road maintenance and housing. She doesn’t claim any child tax credits and rents privately.

I had another friend who was unemployed for 10 plus years. He claimed jobseekers and housing benefits. This friend had no intention of working and has learnt to live within his financial means. He has no dependents to speak of.

On the face of it these two friends have very little in common, except they are both entitled to care under the National Health Service. If they both had children, they would have access to the education system. The public projects, such as road and rail maintenance, both affect them equally.

The only difference is that while the first friend paid her share while the second friend didn’t. He had ‘sponged’ from the system for over 10 years. His attendance at the job centre was considered a suggestion, not a requirement. He rarely applied for jobs, only when forced too, and he never attended any training courses.

In step the Conservatives with a glaring contempt for the unemployed. Their Charles Darwin-esque approach to survival of the fittest turned social media into a melting pot of fear and anxiety. Facebook groups sprung up over night with vows of suicide coming from members as they feared the future under the blue tie.

Then came the axe, Osborne swung wildly at any type of welfare benefit as he fought to reduce the deficit. The implementation of sanctions for those who breached the guidelines of their benefits were introduced, outrage swept the job centres as people were ‘unfairly’ targeted.

Let’s just take a step back for a second and apply some logic.

I work for Pomegranate Consulting, as part of this employment I do certain things in exchange for a monthly sum. If I fail to uphold any of my duties, I am subject to disciplinary procedures resulting in my contract being terminated.

Someone who receives benefits, does so on the understanding that they adhere to certain guidelines in exchange for financial recompense. Jobseekers allowance is just that, an allowance for someone who is actively looking for work and receiving no other income. It is a means to an end.

My unemployed friend was sanctioned numerous times meaning he was stripped of his right to claim jobseekers. As a result, he began to realise that if he messed around he wouldn’t get any money. Two days ago my friend was employed for the first time in over 10 years. It’s a minimum wage role in a factory, but it’s his. For someone who played the system to a man filled with self worth my friend is now making a decent wage and is able to play an active part in society and its upkeep. He was a vocally opposed to the Conservatives and their cutbacks in the beginning, but has ultimately gained a lot from their appointment.

The moral of the story

It’s easy to criticise those in power. To rebel against a system that seems ‘unfair’ but what’s worse? Those who abuse the welfare system for their own gain or those that make the tough decisions for the betterment of the majority.

If you claim benefits, housing, jobseeker or other, you do so thanks to those who contribute through income tax. No one in this world is entitled to anything. We all pitch in, sometimes we rely on the kindness of others to see us through, other times we become the crutch for those who need it the most.

The NHS is a fine example of this. Available to those that need it, funded by the majority. Waiting times may be long, doctors may be foreign, treatment may take a while, but it’s available to all. Can you say the same for America?

George Osborne’s plan to reduce the reliance on tax credits, in exchange for an increase in the national living wage should be admired. By reducing the overreliance on welfare, we pull people up rather than keeping them down.

Don’t get me wrong, his approach to the proposal was ill thought out and crass at times, but it leads us in the right direction as a society. People pitching in, earning a fair wage and not taking more than you need. We are exceptionally lucky to live in a society that provides opportunity, all you need to do is reach out and grab it.

Life is what you make it.