Budget 2005
10.03.05

Leading children’s charity the Child Poverty Action Group has called on the Chancellor to make child poverty the centrepiece of the Budget which will be delivered on Wednesday 16th March 2005.

CPAG, which recently published its manifesto, Ten steps to a society free from child poverty, has urged the Government to ensure any new measures reach those children most in need first.

Employment

'We recognise the importance that income returns from employment have for government strategy in continuing to reduce child poverty but greater effort to improve job conditions and pay is needed as is more effective support for those who may be able to move into work. The bedrock of this must be improved financial provision of those currently unable to work. Without this their children will suffer,' said CPAG’s Chief Executive Kate Green OBE.

Tax Credits and Child Benefit

'Alongside labour market reform we stress the need to continue to increase the real value of financial support for children through both the child tax credit and child benefit.

'We take this opportunity again to stress – from a child poverty perspective – the importance of child benefit, as a stable, well taken up, popular and stigma free benefit. Child benefit avoids the administrative problems which have bedevilled the implementation and running of the tax credit system, problems, which have led to, affected families experiencing unnecessary hardship.

'The position of the child cannot be thought of separately from that of family incomes – potentially made up of payments for both adult and child - and it is with this in mind that we are anxious that the continued reduction in the real value (as against average earnings) of income support is undermining efforts to eradicate child poverty.

'We urge the Chancellor to ensure that policy reaches those children most in need first. To address this the incomes of the poorest families need to rise, and, whilst we recognise that it has a strong contribution to make, this cannot be done through the labour market alone.'

For further information:
Ashley Riley
Press Officer
Tel. 020 7812 5216
Mobile 07811 324339
Email ariley@cpag.org.uk

CPAG will be available for comment and interview on Wednesday and will release a statement on the Budget when it has been delivered.

• Download a copy of CPAG's manifesto (205 KB pdf file)
  
  
• Download a leaflet summary of CPAG's manifesto (471 KB pdf file)

Notes:

CPAG’s ten steps to a society free of child poverty are:

• All political parties to commit to eradicate child poverty.
• Poverty proof policies – make each consistent with eradicating child poverty.
• Uprate the combined value of child tax credit and child benefit at least in line with the fastest growing of prices or earnings. The element of this that is child benefit ought to be maximised.
• Increase the adult payments within income support in line with those for children.
• Reform the administration of tax credits and benefits – ensure they get the right amount to the right people at the right time.
• Ensure all children have full access to the requirements – meals, uniforms and activities – of their education.
• Provide benefit entitlements to all UK residents equally, irrespective of immigration status.
• Work towards better jobs, not just more jobs.
• Introduce free at the point of delivery, good quality universal childcare.
• Reduce the disproportionate burden of taxation on poorer families.