Campbell criticises child poverty figures

from E politix

Sir Menzies Campbell has criticised the government over new figures which show that child poverty has risen by 100,000.

He also quizzed Tony Blair about changes in the Budget which could see an increase in income tax for low earners.

Speaking during prime minister's questions, the Liberal Democrat leader said: "For those earning less than £18,500 a year who are not eligible for tax credits, they will have to pay an increase in income tax. How fair is that?"

But Blair insisted that over the past 10 years, the poorest families had seen their incomes rise "in percentage terms by more than the top people".

As a result of the measures, including "the investment in tax credits, particularly for families with children", poor families "have benefited enormously over the past few years", he said.

On child poverty, the prime minister said the government was making progress.

"Not merely have we raised some 600,000 children out of poverty, I think almost two million out of absolute poverty, the actual percentage rise in incomes for the bottom 40 per cent between 1979 and 1997, the percentage rise in their income was way below that of the top 40 per cent," Blair said.

He acknowledged that "we have to do even more" and said the Budget would "actually take an additional 200,000 children out of poverty".

"And all the time as the economy grows, we've got to put even more resources into tackling child poverty. But this government is doing it, the last government didn't," he said.