For immediate release:

“LABOUR HAPPY TO SCRAP BANKERS’ BONUS CAP BUT NOT CHILD BENEFIT CAP”, SNP MSP

Local MSP Clare Haughey has challenged Rutherglen’s new Labour MP on why his party would rather cap child benefits than cap bankers’ bonuses.

In October, Labour’s Shadow Chancellor Rachel Reeves criticised the Tory Government for scrapping the cap on bankers’ bonuses but has since U-turned saying her party “don’t have any intention” of bringing the cap back should they get into power.

Meanwhile, Labour have refused to commit to scrapping the two-child benefit cap and associated rape clause – a policy which affects 1.5 million children across the UK.

An estimated 1,960 children are impacted by the policy in the Rutherglen and Hamilton West constituency alone.

According to the End Child Poverty collation, the link between the cap and poverty is “unsurprising” as families subject to the two-child limit are missing out on up to £3,235 per child in 2023/24.

Just four banks – HSBC, Lloyds, Natwest and Barclays – paid an estimated £4 billion in bonuses in 2021, and an estimated 3,000 UK bankers earn more than £1 million per year.

Commenting, Clare Haughey MSP said:

“Labour’s priorities are all over the shop – they would rather cap child benefits, which are pushing families into poverty, than cap bankers’ bonuses.

“The Resolution Foundation think-tank estimates that by the end of the decade, the benefit cap and two-child limit are due to drive the majority of large families into poverty. Yet, Labour have no intention of removing this cap.

“The Westminster policy is impacting almost 2,000 children in this constituency alone and so local residents will rightly be asking Michael Shanks if he’s happy to take the side of wealthy bankers over local people. This is a question of values.

“The SNP will always prioritise lifting families out of poverty, through game-changing measures like the Scottish Child Payment, but it’s clear Labour, especially under Sir Keir Starmer, will prioritise the wealth of bankers instead.”

ENDS