Northern Isles MP, Alistair Carmichael, has welcomed the House of Lords voting against the Government’s proposals to withdraw tax credits for low and middle income earners.

Despite peers failing to back a Liberal Democrat ‘fatal motion’ that would have terminated the plans altogether, they did back a Labour motion to delay the cuts until an assessment of their financial impact is carried out. Consequently, the Chancellor of the Exchequer, George Osborne, has been forced to admit that he will change his plans.    

Commenting, Mr Carmichael said:

“Monday’s vote in the House of Lords is a welcome move in the right direction.  I was sorry that the Labour Party and the non-aligned peers were not prepared to support the Liberal Democrat motion that would have killed the proposals completely.   Even so, it is back to the drawing board for the Chancellor.

 

“Ironically the Lords may have done the Chancellor a favour.  If he had not been defeated in the House of Lords then I think it was just a matter of time before he would have been defeated by his own backbenchers where there has been strong and growing opposition to these changes for some time now.

 

“Punishing working people on low wages is not a fair way to eliminate our public spending deficit.”