Minimum wage rise below inflation tightens squeeze on families

March 20, 2012

Commenting on the decision by Ministers to adopt the proposals of the Low Pay Commission for a rise in the National Minimum wage below inflation, and a freeze for younger workers, the Chief Executive of Child Poverty Action Group, Alison Garnham, said:

“This is another turn of the screw on families working hard in the lowest paid jobs.

“When 58% of children who live in poverty have at least one working parent, low pay is clearly at the heart of the UK's child poverty problem. But from April, there will also be a further series of cuts to tax credits, which will hit many of the same families.

“With earnings falling behind inflation, the Chancellor’s priority at the budget must be to protect families struggling to make ends meet in poverty-pay jobs by postponing tax credit cuts until the universal credit comes in.”

ENDS

Notes to Editors

• For up-to-date background facts and stats on UK poverty, visit: http://www.cpag.org.uk/povertyfacts/index.htm

• CPAG is the leading charity campaigning for the abolition of child poverty in the UK and for a better deal for low-income families and children.

• CPAG is the host organisation for the Campaign to End Child Poverty, which has over 150 member organisations and is campaigning for public and political commitment to ensure the goal of ending child poverty by 2020 is met.