Keir Starmer insists he's 'on the side' of working Brits... as Middle England is whacked at start of new tax year to fund benefits splurge that will 'give some jobless families a £6k boost'

By GREG HEFFER, POLITICAL CORRESPONDENT Published: 09:18, 6 April 2026 | Updated: 09:21, 6 April 2026 Keir Starmer today insisted he's 'on the side' of working Britons - as Middle England faces being whacked at the start of the new tax year. A slew of tax changes come into force on Easter Monday including the 'family farm tax', a hike in tax on dividend income, and an end to the home working allowance. They - together with Rachel Reeves' 'stealth' rises to income tax and other levy hikes - will all help fund Labour's £3.5billion splurge on scrapping the two-child benefit cap. The policy, which previously restricted child tax credit and Universal Credit to the first two children in most households, officially ends on Easter Monday. The Prime Minister and Chancellor announced the axing of the cap at last year's Budget as they bowed to pressure from Labour MPs. The Tories claimed the move will 'reward worklessness and leave working families picking up the tab'. Their analysis showed a family of two adults and three children that relies on benefits for income could be in line for a £6,400 boost. But, in a furious political row, Labour hit out at the Conservatives for 'fiddling the figures' and 'lying about how the benefits system works'. Keir Starmer has insisted he's 'on the side' of working Britons - as Middle England faces being whacked at the start of the new tax year Tory leader Kemi Badenoch accused the Prime Minister of 'giving another handout to those on benefits' Most households are also being hit by rising bills for council tax, water and broadband in what has been dubbed 'Awful April'. This is even before the impact of US President Donald Trump's increasingly-disastrous war in Iran, which has sent global oil and gas prices soaring. Drivers are already facing spiking costs at the pumps, while households are in line for an increase in energy bills of nearly £300 from July and rising prices in supermarkets. In an article for the Guardian on Monday, Sir Keir hailed the scrapping of the two-child benefit cap, which coincides with an increase in state pensions and the introduction of new workers' rights. 'The test of any government is not what it promises, but whose side it is on when it matters most, and it has rarely mattered more than it does today,' the PM wrote. 'The changes coming into effect on Monday mean greater security at work and stronger protections against rising costs. 'And the choices we have made since day one to stabilise the economy mean we are in a far better position to withstand shocks than we were before. 'The truth is simple: to make families better off, you need a serious, credible economic strategy – and the political will to use it to support those who need it most.  'That is what this Labour Government is delivering, and that is what sets us apart.' But Tory leader Kemi Badenoch said: 'While working people struggle with rising fuel costs and food prices, Keir Starmer is giving another handout to those on benefits. 'The Conservatives believe in fairness and that those on welfare should have to make the same choices about their family as those who aren't. 'That's why we would reinstate the two-child cap and use the savings to bolster our Armed Forces. 'In an increasingly dangerous world, we have to prioritise, and my plans will ensure a stronger economy and a stronger country.' The Conservatives' analysis suggested the impact of Labour's boost to benefits may be heavily concentrated, with families in Leeds, Manchester, Birmingham, Bradford and Glasgow set to receive more than £200million extra annually. But Labour fiercely disputed the Tories' claim that 'a family of two unemployed adults and three children stands to receive a £6,400 income boost'. A Labour Party spokesperson said: 'The Tories have been caught red-handed fiddling the figures, lying about disabled people and lying about how the benefits system works. 'They should be ashamed of their record on child poverty and ashamed that they can't tell the truth. 'Their bogus numbers take a family with two disabled adults and pretends they are simply unemployed. 'They know exactly what they're doing: counting disability benefits as if everyone gets them, to make their numbers bigger. 'Labour is scrapping the two-child limit to lift half a million children out of poverty. Most families who will benefit from this are in work. 'The Tories know this perfectly well, and the fact that they have to lie about it proves it.' The comments below have not been moderated. The views expressed in the contents above are those of our users and do not necessarily reflect the views of MailOnline. By posting your comment you agree to our house rules. 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