“The Chancellor’s
focus on children and his recognition that the Government must
get back on track towards meeting its child poverty target
is to be welcomed. But if the target to halve child poverty
by 2010 is to be met, much further investment will be needed in
next year’s spending review.
“Continuing
to increase the child element of child tax credit
in line with average earnings will help many of the poorest families,
but the Treasury must also continue to improve the administration
and increase take-up. In future years we would also like to see
child benefit increased further as it provides guaranteed support,
particularly for larger families who are at the greatest risk
of poverty.
“Although Child Trust Funds will not improve
the incomes of the poorest families today, we welcome the announcement
of top-up payments at seven. It’s right and fair that the poorest
children get a much larger top-up because their families will
find it very difficult to make their own contributions to the
fund.
“Providing
state schools with similar levels of funding as private schools
enjoy is essential if the education divide between
the richest and poorest children is to be overcome. Investing
in further education and skills is vital if poor quality, low
paid jobs are to be made a thing of the past, but poorly paid
workers must be protected by continued increases in the minimum
wage.
“Recent hikes
in domestic energy prices are hitting the poorest people
the hardest. In the long-term, energy efficiency is important
but in the short-term all low-income families, whether they are
pensioners or not, need assistance to meet today’s growing costs.”