6. What assessment he has made of the economic effect on people working in Wales of reductions in tax credits and other benefits for working people. (136390)

The measures announced in the autumn statement will mean that working households are on average £125 per annum better off in 2013-14.

Is the Secretary of State aware that Neath food bank is now seeing more people in work—many part time and desperate—than out of work? One hundred thousand working people in Wales are now being hammered by his welfare cuts, some among the 230,000 households in Wales that will be forced by the Government to pay council tax for the first time in April. Will he now take down from the Wales Office website his promise that people will be better off under this Government in work and admit that some cannot even afford to eat?

Certainly not. In fact, people who are in work are considerably better off. The average earner on the minimum wage who works full time will by next April be paying half as much in tax as he did at the beginning of this Parliament, in the wake of the right hon. Gentleman’s Government. If he is not willing to tackle the appalling legacy of the welfare shambles that he left, we will be prepared to do so.

Does my right hon. Friend share my amazement at the complaint we have just heard from a senior member of the last Government, a Government who twice froze personal allowances and doubled tax for low earners, from 10p to 20p as a starting rate? Is not the reality that the massive £3,000 hike in the personal allowance—which Labour does not like to hear about—is helping low-paid people in Wales and the whole of—

Order. The hon. Gentleman is an experienced Member, but unfortunately his question was too long and substantially irrelevant. The Minister will focus on the responsibilities of the current Administration, briefly.

I have to say to my hon. Friend that it does not amaze me at all. This Government are dealing with the mess that the Government of the right hon. Member for Neath (Mr Hain) left. That is the fact of the matter; everybody knows that.

Could the Secretary of State tell us exactly how many households will see their modest incomes cut as a result of the reductions in tax benefits and other social security benefits that he voted for last week?

What I can say is that working households across Wales fully understand the need to tackle welfare and benefits. If the hon. Gentleman is not prepared to do that and stand up for working households, this party is.

There was no answer there from the Secretary of State, as usual. Let me tell him the answer. There is no excuse for his not knowing, because his own income assessment makes it clear that 400,000 households—a third of all households in Wales—will lose out as a result of these changes. Let us contrast that with the 4,000 households—that is 4,000 versus 400,000—that will get a tax break as a result of the millionaires’ tax cut. That ratio of 100:1 tells us everything we need to know about this Government. The 99% pay while the 1% profit. Let me be clear: Labour will continue to speak for the 99%; the Secretary of State can speak for the 1%.

As a consequence of the measures taken by this Government, 1.1 million taxpayers in Wales are paying less tax, while 109,000 taxpayers in Wales are now paying no tax at all. That is what we are doing for hard-working people, and I am appalled that the hon. Gentleman sees fit not to support them.