The Government has made substantial progress in halting and reversing the rising trend of child poverty, with 600,000 children lifted out of relative income poverty since 1998/99. Taken together, measures announced since Budget 2007 will lift around 500,000 children out of poverty.
PBR announced that Government will:
- bring forward its commitment to increase the child element of the Child Tax Credit by £25 above indexation in April 2010 to April 2009. The child element will therefore increase by £75 above indexation to £2,235;
- bring forward its commitment to increase Child Benefit from £18.80 to £20pw for the first child, and from £12.55 to £13.20pw for subsequent children to January 2009;
Budget 2008 announced an additional £125 million across the UK for pilots to develop new methods of tacking child poverty.
The Government is determined to address long term child poverty, and set out its approach in Ending Child Poverty: Everybody’s Business, published in March 2008.