How the fighting talk fizzled from Mitt Romney's Republican Party

The GOP has allowed the Democrats to seize their ideological heartland - patriotism and defence.

Mitt Romney is in Ohio again, his fifteenth trip to this state this year. He pledged yesterday at a campaign rally in Mansfield, about three hours east of Hicksville, to protect the military from coming budgetary cuts to defence, known as the “sequestration”. He was undermined by the fact that a majority of congressional republicans – his running-mate Paul Ryan included – voted in favour of it.

This is the latest in a series of similar embarrassments for the Romney campaign. The Grand Old Party, as the Republicans are known, has been comprehensively outflanked and routed on the subject of the military, and are ceding vast swathes of territory on what just eight years ago was their home ground: patriotism and defence.

The evidence is clearest in the candidates' speeches to their national conventions. In his acceptance speech in 2004, George W Bush used the words “troops,” “Iraq,” “Afghanistan,” “battle,” “soldier,” “terror” and “safe,” and their derivatives (safety, terrorist, terrorism and so on) a total of 58 times – fifty-eight – to John Kerry's 11.

This pattern reversed in the 2008 election. John McCain used the above words just nine times in his acceptance speech, while Obama used them 29 times – though the effect of this was somewhat lightened by McCain's own war record, on which his campaign dwelt incessantly.

This reversal is even more dramatic in the conventions just past. While Obama did tone down the fighting talk, using those words above just 11 times, Mitt Romney did not use any of them. Not even once.

Remember that this is the presidential nominee from the party of George W Bush, the party that forged the neo-conservatism of Karl Rove and Dick Cheney; remember also that this is the party that coined the phrase “war on terror”.

Not once did this man who wants to be elected Commander-in-Chief of the world's most powerful military mention the wars in Iraq and Afghanistan; not once did he mention terrorism, or war. Veterans and soldiers merited not one single solitary mention. Ryan, too, failed to hint at even the existence of any of these things in his speech.

John McCain was a war veteran; in fact he had a long and distinguished military career. Mitt Romney is not, and nor is this a deficit his running-mate fills; indeed, as mentioned before, Ryan voted in favour of sequestration of the military budget.

The Democrats are planting banners and occupying what used to be the Republicans' ideological heartland. Perhaps their party leadership simply got complacent, unable to conceive that the Democrats could steal a march on them in this way. Perhaps the rise in influence of the Tea Party on the far right, with their small-government and big-God ideals, has something to do with it. More likely is that, given the Romney-Ryan ticket's paucity of foreign policy heft, their campaign tacticians are scared of bringing up the subject and allowing the President to play his trump card: the killing of Osama Bin Laden in May 2011.

The Obama campaign has just brought out a new poster which says :“Sarah Palin said she could see Russia from Alaska; Mitt Romney talks like he's only seen Russia by watching Rocky IV”. They are also firing broadsides into Romney's pledges to protect military spending while reducing the deficit; this was the bullseye of Bill Clinton's barnstorming “arithmetic” line in his speech last week.

Yesterday in his Ohio rally, Romney ran to one of the few remaining Republican safe zones left – religion – pledging to keep God in the public sphere and in his party's platform - a thinly-veiled reference to the Democrats' omission of the word from theirs. But, in front of a military crowd, the blow failed to land.

Today is 9/11, the anniversary of the day that changed America – and American foreign policy – forever. Today will be a day of solemnity and remembrance for both campaigns, and for the nation. Romney is spending the day in Reno, Nevada, addressing the National Guard Association conference alongside a brace of generals. But it seems like too little, too late. Those horrific attacks, eleven years ago today, lit a fire deep in the belly of this country. It seems to have fizzled and died in the belly of the Republican Party.

Mitt Romney didn't use words like "soldier", "terror" or "safe" once in his convention speech. Photograph: Getty Images

Nicky Woolf is reporting for the New Statesman from the US. He tweets @NickyWoolf.

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Q&A: What are tax credits and how do they work?

All you need to know about the government's plan to cut tax credits.

What are tax credits?

Tax credits are payments made regularly by the state into bank accounts to support families with children, or those who are in low-paid jobs. There are two types of tax credit: the working tax credit and the child tax credit.

What are they for?

To redistribute income to those less able to get by, or to provide for their children, on what they earn.

Are they similar to tax relief?

No. They don’t have much to do with tax. They’re more of a welfare thing. You don’t need to be a taxpayer to receive tax credits. It’s just that, unlike other benefits, they are based on the tax year and paid via the tax office.

Who is eligible?

Anyone aged over 16 (for child tax credits) and over 25 (for working tax credits) who normally lives in the UK can apply for them, depending on their income, the hours they work, whether they have a disability, and whether they pay for childcare.

What are their circumstances?

The more you earn, the less you are likely to receive. Single claimants must work at least 16 hours a week. Let’s take a full-time worker: if you work at least 30 hours a week, you are generally eligible for working tax credits if you earn less than £13,253 a year (if you’re single and don’t have children), or less than £18,023 (jointly as part of a couple without children but working at least 30 hours a week).

And for families?

A family with children and an income below about £32,200 can claim child tax credit. It used to be that the more children you have, the more you are eligible to receive – but George Osborne in his most recent Budget has limited child tax credit to two children.

How much money do you receive?

Again, this depends on your circumstances. The basic payment for a single claimant, or a joint claim by a couple, of working tax credits is £1,940 for the tax year. You can then receive extra, depending on your circumstances. For example, single parents can receive up to an additional £2,010, on top of the basic £1,940 payment; people who work more than 30 hours a week can receive up to an extra £810; and disabled workers up to £2,970. The average award of tax credit is £6,340 per year. Child tax credit claimants get £545 per year as a flat payment, plus £2,780 per child.

How many people claim tax credits?

About 4.5m people – the vast majority of these people (around 4m) have children.

How much does it cost the taxpayer?

The estimation is that they will cost the government £30bn in April 2015/16. That’s around 14 per cent of the £220bn welfare budget, which the Tories have pledged to cut by £12bn.

Who introduced this system?

New Labour. Gordon Brown, when he was Chancellor, developed tax credits in his first term. The system as we know it was established in April 2003.

Why did they do this?

To lift working people out of poverty, and to remove the disincentives to work believed to have been inculcated by welfare. The tax credit system made it more attractive for people depending on benefits to work, and gave those in low-paid jobs a helping hand.

Did it work?

Yes. Tax credits’ biggest achievement was lifting a record number of children out of poverty since the war. The proportion of children living below the poverty line fell from 35 per cent in 1998/9 to 19 per cent in 2012/13.

So what’s the problem?

Well, it’s a bit of a weird system in that it lets companies pay wages that are too low to live on without the state supplementing them. Many also criticise tax credits for allowing the minimum wage – also brought in by New Labour – to stagnate (ie. not keep up with the rate of inflation). David Cameron has called the system of taxing low earners and then handing them some money back via tax credits a “ridiculous merry-go-round”.

Then it’s a good thing to scrap them?

It would be fine if all those low earners and families struggling to get by would be given support in place of tax credits – a living wage, for example.

And that’s why the Tories are introducing a living wage...

That’s what they call it. But it’s not. The Chancellor announced in his most recent Budget a new minimum wage of £7.20 an hour for over-25s, rising to £9 by 2020. He called this the “national living wage” – it’s not, because the current living wage (which is calculated by the Living Wage Foundation, and currently non-compulsory) is already £9.15 in London and £7.85 in the rest of the country.

Will people be better off?

No. Quite the reverse. The IFS has said this slightly higher national minimum wage will not compensate working families who will be subjected to tax credit cuts; it is arithmetically impossible. The IFS director, Paul Johnson, commented: “Unequivocally, tax credit recipients in work will be made worse off by the measures in the Budget on average.” It has been calculated that 3.2m low-paid workers will have their pay packets cut by an average of £1,350 a year.

Could the government change its policy to avoid this?

The Prime Minister and his frontbenchers have been pretty stubborn about pushing on with the plan. In spite of criticism from all angles – the IFS, campaigners, Labour, The Sun – Cameron has ruled out a review of the policy in the Autumn Statement, which is on 25 November. But there is an alternative. The chair of parliament’s Work & Pensions Select Committee and Labour MP Frank Field has proposed what he calls a “cost neutral” tweak to the tax credit cuts.

How would this alternative work?

Currently, if your income is less than £6,420, you will receive the maximum amount of tax credits. That threshold is called the gross income threshold. Field wants to introduce a second gross income threshold of £13,100 (what you earn if you work 35 hours a week on minimum wage). Those earning a salary between those two thresholds would have their tax credits reduced at a slower rate on whatever they earn above £6,420 up to £13,100. The percentage of what you earn above the basic threshold that is deducted from your tax credits is called the taper rate, and it is currently at 41 per cent. In contrast to this plan, the Tories want to halve the income threshold to £3,850 a year and increase the taper rate to 48 per cent once you hit that threshold, which basically means you lose more tax credits, faster, the more you earn.

When will the tax credit cuts come in?

They will be imposed from April next year, barring a u-turn.

Anoosh Chakelian is deputy web editor at the New Statesman.