As the Government announces a shake up in the benefit system to help reduce the budget deficit, families stand to bear the brunt.

Anne Fox, Head of Campaigns & Public Policy, NCT, commenting on the Comprehensive Spending Review, says;

“Some of the measures announced recently will hit Britain where it hurts the most – the future generation. The Prime Minister said; ‘We want to see Britain become the most family-friendly country in Europe’, - what has been announced today is likely to make it more difficult for many mothers and fathers to start and raise a family in the UK.

While some of the measures announced, such as the increase in the child element of the child tax credit for low-income families, will benefit some families, we are concerned that many other parents will be adversely affected by some of the other announcements made today, adding to a litany of changes affecting families announced since the Emergency Budget.

The review has not delivered on the commitment to make Britain the most family-friendly country in Europe. We look forward to seeing the forthcoming recommendations in the Poverty and Life Chances Review, and the Early Intervention Review, and hope that they will encourage a more supportive environment for families that can be backed up by government action.”

Facts:

• Child benefit will be frozen for three years. This will take effect from April 2011.
• The cut in child tax credit for those on combined income of over £40,000 will take effect from April 2011 with further changes in 2012-13.
• The Health in Pregnancy Grant (£190) has been abolished and takes effect from 1st January 2011.
• The Sure Start Maternity Grant (£500 per baby) will be restricted to only the first-born child from April 2011.
• From October 2011, lone parents will be expected to look for work when their youngest child goes to school.
• The Child Trust Fund will be abolished. Government contributions will cease from 1st January 2011.
• In January 2011 VAT will rise by 2.5%, bringing it to 20%.
• Housing benefit to be capped at £400 per week for a four-bedroom house from April 2011.
• In 2008, 790,000 children were born in the UK, of which 43% were born to first-term parents. That is estimated at over 300,000 babies born in the UK to first-time parents.