Google


Wednesday, March 12, 2008

Child poverty in Darling budget

Darling's new budget claims to raise 250k children out of poverty. The measures are shown below, of those only the second and third one actually make a difference. The increase in child tax credit is actually less than £1 per week. Bigger increases in child tax credit are needed to achieve the 2010 target. Overall the commitments are tiny and disappointing.

Budget 2008 sets out the next steps, including measures to make significant
further progress towards the target of halving child poverty by 2010:
- increasing the first child rate of Child Benefit to £20 a week from April
2009, reinforcing the Government’s commitment to Child Benefit as the
foundation of financial support for all families;
- increasing the child element of the Child Tax Credit by £50 a year above
indexation from April 2009 to further help low to middle income families;
and
- disregarding Child Benefit in calculating income for Housing and Council
Tax Benefit from October 2009, improving work incentives for many of the
lowest paid families and boosting their incomes. A working family with one
child on the lowest incomes will gain up to £17 a week from this change.

No comments: