Cost of benefits system change

Have your say

CHANGES to child benefit allocations will cost the taxpayer almost £120 million to introduce, a Sheffield MP has revealed.

Meg Munn, Labour MP for Sheffield Heeley, said about £100 million will be spent on staff changes, up to £13 million will go on new computer systems and £5 million will be spent to provide information to all of those who are affected.

The Government plans to remove child benefit from higher earners.

Ms Munn said: “We were told that this new approach would offer a simple solution that would be sorted easily through the existing tax system.

“In fact we’ve ended up with a complex and expensive system which will cost millions to set up, administer and monitor.

Ms Munn added: “Even the Treasury Select Committee has cautioned that these changes will complicate the tax system.”