The Tories are in danger of appearing complacent over child benefit cuts

Even if the majority of voters support the policy, those who don't could yet hurt the Tories.

In a bid to assuage Tory MPs fearful that the child benefit cuts could be their 10p tax moment, the Conservatives have released new private polling showing that the overwhelming majority of voters support the policy, including those who will lose out. The party's survey, conducted by Populus (and reportedly commissioned by George Osborne), found that 82 per cent of people favour plans to taper the benefit away from households in which at least one person earns more than £50,000 (those in which one person earns at least £60,000 will lose it all together), with just 13 per cent opposed. In addition, 78 per cent of people with children under-18 support the policy, as do 74 per cent of households earning over £69,000, 82 per cent of households with income between £55,000 and £69,000, and 80 per cent of households with income between £41,000 and £55,000.

We've yet to see the wording of the question used by the Tories, but the results are in line with previous polls on the subject. Despite this, it's hard to avoid the sense that the party is in danger of lapsing into complacency. As HM Revenue & Customs will inform those affected this week, families will lose £1,055.60 a year for a first child and a further £696.80 a year for each additional child, meaning that a family with three children stands to lose £2,449.20 - the equivalent of a £3,500 pay cut (since child benefit is untaxed).

The Tories argue that the policy, which takes effect in January 2013, differs from Gordon Brown's ill-fated decision to abolish the 10p tax rate in at least three respects. First, while Brown insisted for months, against all evidence to the contrary, that there would be "no losers" from the move, the coalition has been clear that some will lose out - they can't be accused of deception. Second, while it was the low-paid who lost out under Brown's policy (they saw their marginal tax rate double from 10p to 20p), it is the top 15 per cent of earners who lose out under the Tories'. Finally, while the 10p tax move was widely viewed as "unfair", the majority of voters believe the child benefit cuts are fair.

But as the Daily Express's Patrick O'Flynn suggests, more important than question of how many oppose the policy, is the intensity of their opposition. If the 13 per cent opposed to the move vote against the Tories in protest at the next election, the party will suffer significant losses. Thus, Osborne's poll, if intended to reassure Conservative backbenchers, is likely to have the opposite effect. Rather than persuading Tory MPs that the Chancellor understands their concerns, it will only confirm their fear that he doesn't.

Chancellor George Osborne speaks at the Conservative conference in Manchester earlier this month. Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

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I was wrong about Help to Buy - but I'm still glad it's gone

As a mortgage journalist in 2013, I was deeply sceptical of the guarantee scheme. 

If you just read the headlines about Help to Buy, you could be under the impression that Theresa May has just axed an important scheme for first-time buyers. If you're on the left, you might conclude that she is on a mission to make life worse for ordinary working people. If you just enjoy blue-on-blue action, it's a swipe at the Chancellor she sacked, George Osborne.

Except it's none of those things. Help to Buy mortgage guarantee scheme is a policy that actually worked pretty well - despite the concerns of financial journalists including me - and has served its purpose.

When Osborne first announced Help to Buy in 2013, it was controversial. Mortgage journalists, such as I was at the time, were still mopping up news from the financial crisis. We were still writing up reports about the toxic loan books that had brought the banks crashing down. The idea of the Government promising to bail out mortgage borrowers seemed the height of recklessness.

But the Government always intended Help to Buy mortgage guarantee to act as a stimulus, not a long-term solution. From the beginning, it had an end date - 31 December 2016. The idea was to encourage big banks to start lending again.

So far, the record of Help to Buy has been pretty good. A first-time buyer in 2013 with a 5 per cent deposit had 56 mortgage products to choose from - not much when you consider some of those products would have been ridiculously expensive or would come with many strings attached. By 2016, according to Moneyfacts, first-time buyers had 271 products to choose from, nearly a five-fold increase

Over the same period, financial regulators have introduced much tougher mortgage affordability rules. First-time buyers can be expected to be interrogated about their income, their little luxuries and how they would cope if interest rates rose (contrary to our expectations in 2013, the Bank of England base rate has actually fallen). 

A criticism that still rings true, however, is that the mortgage guarantee scheme only helps boost demand for properties, while doing nothing about the lack of housing supply. Unlike its sister scheme, the Help to Buy equity loan scheme, there is no incentive for property companies to build more homes. According to FullFact, there were just 112,000 homes being built in England and Wales in 2010. By 2015, that had increased, but only to a mere 149,000.

This lack of supply helps to prop up house prices - one of the factors making it so difficult to get on the housing ladder in the first place. In July, the average house price in England was £233,000. This means a first-time buyer with a 5 per cent deposit of £11,650 would still need to be earning nearly £50,000 to meet most mortgage affordability criteria. In other words, the Help to Buy mortgage guarantee is targeted squarely at the middle class.

The Government plans to maintain the Help to Buy equity loan scheme, which is restricted to new builds, and the Help to Buy ISA, which rewards savers at a time of low interest rates. As for Help to Buy mortgage guarantee, the scheme may be dead, but so long as high street banks are offering 95 per cent mortgages, its effects are still with us.