The call follows news that Angela Smith, the Labour MP for Sheffield Hillsborough and a junior member of the government has resigned in protest at the axing of the 10p tax rate.
Metcalfe said: "Labour's decision to scrap the 10 pence starting rate for income tax has meant the take home pay of thousands of families across Basildon and East Thurrock earning less than £350 per week has been slashed."
He dismissed Labour claims that the minimum wage and tax credits would compensate for any losses as rubbish, pointing out that the Government's own figures show 5.3 million families will lose out even when changes to tax credits are taken into account. Thus one in five families will be worse off and the amount lost could be anything up to £446.
He added "There is an open tax revolt in the Labour Party. It shows the Government is in disarray as a serious economic crisis looms. Dozens of Labour backbenchers are publicly attacking the Prime Minister for the effect of the abolition of the 10p tax rate on the lowest paid.”
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