A change is coming to child benefit. This Saturday, more families will become eligible as the earnings threshold at which you start losing child benefit increases. The government has finally recognised that ‘the way we treat child benefit in the tax system is confusing and unfair’ and proposed two changes to try to simplify it. It’s ironic that this confusion and unfairness was introduced by the government in the first place.
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.
The Scottish Government’s announcement this week of increased funding for discretionary housing payments (DHPs) to mitigate the benefit cap as fully as possible is hugely welcome. It is vital now that people affected by the benefit cap apply to their local authority as soon as possible and ask for a backdate to the beginning of this year.
A family’s ability to get universal credit is often based not on their actual circumstances, but on a fictional version of their circumstances. Welfare rights worker Carri Swann explains.
We welcome the commitment from the Scottish government that tackling child poverty is a top priority. Scottish government policies are working. However, soaring inflation and real terms UK benefit cuts in 2022 mean the gap between family incomes and the minimum cost of raising a child is widening horribly. It is more important than ever that all budget decisions are developed through a child poverty lens to understand the direct and indirect impacts on low-income families.
Emergency support plays a small but vital role in the social security system. It is there to help families through one-off shocks that cause a sudden drop in income or increase in costs, such as the onset of a health problem or the washing machine breaking down. But, in practice, many families are not getting the support they need when they need it, and this is contributing to the rising demand for food banks.
Today we publish our third annual report ‘The Cost of a Child in 2014’, written by Donald Hirsch from the Centre for Research in Social Policy at Loughborough University and funded by JRF. It draws on the Minimum Income Standard project (MIS) to establish how much families need to cover their basic needs like food, clothes and shelter, and to participate in society.