Unsettling new research shows children are more likely to be growing up in poverty even when all adults in their household are in full-time work
The study, published on Tuesday (19 May) by Action for Children and The Institute for Public Policy Research (IPPR), reveals the risk of child poverty has skyrocketed since 2000.
It found in families where both parents work full time, the likelihood of child poverty has tripled from 2% to 6%. In single-parent households, it has risen from 9% to 14%.
Harrowingly, the organisations estimate around 430,000 children are affected.
Researchers noted almost three-quarters of children in poverty now live in working households, compared with around half at the turn of the century.
Single-parent households were identified as being at particular risk, with 15% of children moving into poverty within a year, compared with lower rates in couple households. Just 22% move out of poverty annually, compared with 30% in two parent homes.
Factors including childcare costs, limited access to flexible work and barriers to increasing pay, were cited as some of the reasons as to why families are struggling.
In a focus group, one parent said: ‘If I was single, I wouldn’t be able to work at all – my youngest isn’t at school yet and we don’t have family nearby. We’ve had to organise everything around childcare just to keep one income coming in.’
Meanwhile, Anna (not her real name), a full-time working parent to an 11-year-old, explained that she has had to ‘wait for the right stage in [her] child’s development before being able to consider progression [at work].’
‘My long‑term goal is to be fully independent from benefits,’ she continued. ‘I do not want to rely on universal Credit, and I find it uncomfortable and stressful having to report spending and submit receipts.
‘Delays and lags in the system add further anxiety. I do not openly tell people that I receive universal credit, as it is something I find difficult and would prefer not to need.’
The report, which can be read in full here, calls for reforms to universal credit childcare support, including covering 100% of costs and removing upfront payments.
It also recommends stronger work incentives, better access to flexible and higher-paid jobs and more tailored employed support for parents.
Henry Parkes, principal economist and head of quantitative research at IPPR, said: ‘Parents are doing everything we’ve asked of them – working full-time and juggling childcare – yet many are still watching their children grow up in poverty. That’s not a failure of individual families, it’s a sign the system is no longer delivering on its basic promise.’
News of the research comes amid government efforts to reduce child poverty across the UK. As part of last year’s autumn budget, Chancellor Rachel Reeves announced the decision to scrap the two-child benefit cap, which officially came into force in April.
Lucy Schonegevel, director of influencing, policy and campaigns at Action for Children, said: ‘The Child Poverty Strategy offers a strong foundation on which to build, but we would like to see more practical measures to help working families to progress in the labour market and increase their earnings.
‘This should include fixing the many issues with Universal Credit childcare support, piloting an enhanced progression offer for parents on Universal Credit and strengthening the work allowance to improve work incentives – particularly for second earners and single parents.’
Image: Colin + Meg/UnSplash
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