Most of the benefits paid to the poor are repaid in taxes. The net effect of the tax and benefit system is set out in this graphic. It shows that the current welfare system does very little to improve the incomes of the poorest.
The publisher is The Centre for Welfare Reform.
Graphic on Income Adjustment © Simon Duffy 2012.
All Rights Reserved. No part of this paper may be reproduced in any form without permission from the publisher except for the quotation of brief passages in reviews.