Our pre-Budget briefing details how best to invest financial support in children to reduce child poverty and give every child the chance to fulfil their potential.
Universal credit (UC) claimants are not always getting extra amounts of UC they’re entitled to when they become eligible for some other benefits because of poor data-sharing within the DWP.
High inflation pushed the cost of raising a child to £166,000 for a couple and £220,000 for a lone parent in 2023 but the enduring impact of benefit cuts and ongoing price rises have left many parents unable to give their children what the public says is a minimum acceptable living standard, new research shows.
Our interviews show that claimants did not have the information they needed or wanted to understand how moving to UC would affect them. Such misinformation and misunderstanding are likely to be reasons some people are not moving to UC despite having a strong financial incentive to do so.
The Chancellor’s decisions to uprate benefits in line with inflation and to restore local housing allowance rates to the 30th percentile of rents were welcome, despite coming wrapped in punitive rhetoric, and accompanied by yet another ramping up of benefit sanctions. Increasing benefit rates and support with rent costs will make a difference to many families continuing to struggle with rising prices, who approach this winter terrified about how they will get by. But, sadly, these changes will provide absolutely no help to the over 85,000 households affected by the benefit cap, who will receive not one penny more.
It’s right that benefits are uprated as usual but this should never have been in doubt and legislation mandating inflationary increases is needed as a basic protection for living standards. Struggling families have been worrying themselves sick for months about whether an unmanageable income cut was coming in order to provide the government with a rabbit-out-of-the-hat moment.
Ahead of the Autumn Statement, organisations representing children’s doctors, school leaders and social workers have joined Child Poverty Action Group in calling on the Chancellor to uprate benefits from April at least in line with September’s inflation rate as usual.