Darling urged to back child poverty fight

from IC Wales

PRESSURE was growing on Chancellor Alistair Darling yesterday to use his debut Budget to help rescue the Government’s faltering battle against child poverty.

A Cabinet row is said to be raging over whether billions more should be spent trying to hit the target of halving the number of young people in poverty by 2010.

And more than a third of Labour backbenchers have signed an open letter calling on the Government to spend the cash and meet the pledge.

Many feel it is central to the party’s whole philosophy, but a Commons committee and independent experts have warned it cannot be met without a £3.4bn cash injection.

The MPs warn that “expectation in the party is high” ahead of Wednesday’s Budget.

In 1999 Tony Blair promised to halve the number of children living in poverty from 3.4m to 1.7m by 2010.

Since then the figure has dropped to 2.8m, but the Work and Pensions select committee warned last week that by 2010 it would still only drop to around 2.7m.

And the independent Institute for Fiscal Studies has estimated Chancellor Alistair Darling, pictured, would have to channel £3.4bn, largely through tax credits, to meet the target.

But with already tight government spending commitments under strain from an international economic slowdown, Mr Darling faces a tough choice on priorities.

Gordon Brown referred to child poverty as “the scar that demeans Britain” in a recent speech, and Work and Pensions secretary James Purnell has insisted the pledge will “not be quietly dropped”.

The letter is signed by 76 MPs, including seven from Wales.

It carries extra weight as it is signed by experienced and respected figures, including the former chair of the parliamentary party, Cynon Valley MP Ann Clwyd.

It reads, “We welcome the Prime Minister’s speech last weekend reiterating his firm commitment to ending child poverty, with a pledge to take action in the next few weeks.

“It is thanks to this Labour Government that significant progress has been made on tackling this problem, with 600,000 children being lifted out of poverty since 1997.

“However, too many children still live below the poverty line and form ‘the scar that demeans Britain’, as Gordon Brown said.

“Wednesday’s Budget presents an important opportunity to make the investment that is needed to get the Government back on track for meeting its target of halving child poverty by 2010.

“We appreciate there are strong competing demands for limited funding, but the long- term economic impact and social consequences of child poverty merit the Chancellor making it a priority.

“Expectations are high among the general public and within the party.

“We urge the Prime Minister and the Chancellor to ensure that tackling child poverty is at the heart of the Budget announcement on Wednesday.”

Other signatories include Rhondda MP Chris Bryant, Nia Griffith (Llanelli), Martyn Jones (Clwyd South), Julie Morgan (Cardiff North) and Betty Williams (Conwy).

Ms Clwyd said, “The commitment to end child poverty was an important one for many back-bench Labour MPs.

“Along with my colleagues who have signed this letter, we hope to see measures in this year’s Budget to show our continued commitment to this target.”

One option open to the Chancellor, who is preparing his first Budget, is to step up measures to force mothers back to work once their children reach seven years old.

The DWP believes those plans could lift as many as 70,000 children out of poverty – and the change comes into force in 2010, the same year as the child poverty target is due to be met.

The definition of child poverty is a family income of less than 60% of the UK average (median) wage.

Mr Darling is under pressure on several fronts in what will be one of the tightest budgets for 15 years, with economic growth slowing and inflation creeping upwards.

Unions are pushing ministers to relax their tough stance on public sector pay, which has brought them into conflict with civil servants, police and, in England, nurses.

Dave Prentis, general secretary of the giant Unison union, said, “Alistair Darling’s first Budget gives him an ideal opportunity to show his mettle and set out a vision for a fairer Britain.

Subjecting low-paid public sector workers such as teaching assistants, nursery nurses, care workers and dinner ladies to a 2% pay squeeze, is grossly unjust. The Chancellor needs to relax the stranglehold on public sector pay or face damaging consequences.