The Manx Labour Party says it will oppose any expansion of means testing - insisting it is unfair, inefficient and penalises the most disadavantaged.

Instead, it is calling on a system of affluence testing, in which benefits are not paid above a certain maximum income level.

Responding to the Cabinet Office’s consultation on ’high level policy’ on means testing, the MLP said it was ’not unsympathetic’ to government’s need to make savings, or the view that benefits are being paid to those who are well off enough not to need them.

But it said: ’Means testing is not efficient, fair or in the interests of the most disadvantaged and for these reasons the MLP is opposed to its use.

’If there is to be a reduction of universal benefits, things such as such as free prescriptions, TV licences, bus passes or winter fuel allowance, we believe that rather than means testing it should be via affluence testing.

’Instead of setting a minimum income level below which someone can make a claim it would be better set an income level above which the benefit ceases.’

It said the income level should be set at significantly higher than that of a couple on the full state old age pension.

And it claimed advantages of this approach would be that those who are above the income threshold will be more willing to opt out of claiming, and that it doesn’t stigmatise low income households.

The general principle behind the Cabinet Office’s proposals is that public services should be directed towards those who need them most.

Its high level policy document rules out a ’one size fits all’ system for means testing and says that there should be a step-by-step transition rather than a ’big bang reform’.

Assessments should be as simple as possible, it says. And it recommends there should be a standard list of incomes, capital assets, additions and deductions used for means testing and a single application process.

The consultation document proposes the income of up to two adults, in a relationship, sharing an address should be the standard measure for determining means.

Card-based technology would allow a phased withdrawal of benefits as incomes rise, allowing ’cliff edges’ to be avoided. Households would be banded at levels of discount to standard charges ranging from 0 to 100 per cent.

But the Manx Labour Party insists there is no evidence to support claims of widespread benefit fraud or that the welfare bill has become unaffordable - and believes using these arguments to justify means-testing is ’cynical and disingenuous’

Following the consultation, which ended on August 18, more detailed means testing policies will be drawn up by a CoMin sub-committee.