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Welfare reforms – how we’ll fare

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Gravesham residents could lose £30 million a year as the effect of welfare reforms starts to bite, a report has claimed.

The study, Hitting the Poorest Places Hardest, examines the impact of benefit reforms across Britain and revealed each working-age adult in Gravesham would face an estimated financial loss of £463 per year.

The research also showed 13,300 households will be affected by a cut in child benefits, with an estimated loss of £5 million.

Another 7,900 households will see a cut in tax credits and 5,700 will suffer a loss in council tax benefits.

Gravesham residents will also be worse off compared to its Dartford neighbours, who will lose just £384 per working-age adult, but better off than the national average by £7.

Much of the south and east of England, outside London, will escape comparatively lightly, according to the authors, with those worst hit living in the north west.

Working-age adults in Blackpool will lose an average of £910.

Prof Steve Fothergill, from Sheffield Hallam’s Centre for Regional Economic and Social Research, led the study, which was based on a range of official statistics including bedroom tax, disability living allowance, child benefit, tax credits, council tax benefit and several other hand-outs.

He said: “Our figures also show the coalition government is presiding over national welfare reforms that will impact principally on individuals and communities outside its own political heartlands.”

But the government claims welfare reforms are necessary as the cost of benefits has spiralled in recent years.

It said it was helping the poorest with a cut in income tax.

A government spokesman said: “Around nine out of 10 working households will be better off by on average almost £300 a year as a result of changes to the tax and welfare system this month.

“Raising the personal allowance to £10,000 we will have lifted 2.7m people out of income tax since 2010.

“Our welfare reforms, including reassessing people on incapacity benefit, will help people back into work - which will benefit the economy more than simply abandoning them to claim benefits year after year.

“These changes are essential to keep the benefits bill sustainable, so that we can continue to support people when they need it most across the UK.”

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