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Tax credits and the benefits system, which cost the equivalent of a 4p cut in the basic rate of tax, “brutally discriminate” against two-parent families, according to a report from a former Labour minister. Frank Field, who served as Minister for Welfare Reform, said that a single mother working 16 hours a week, after tax credits, gains a total income of £487 a week.
However, a two-parent family earning the minimum wage has to work 116 hours to gain the same income because the tax credits system does not make allowance for the second adult.
Mr Field said that this discrimination helped to explain why children in working two-parent families now made up the single most important group of poor children. He said that half of all poor children were in working families, despite attempts to help people to work their way out of poverty, and the number of children in poor working households was at the same level as in 1995.
His report, Welfare Isn’t Working, published by the Reform think-tank, also predicted that the Government will miss its target of halving child poverty by 2010-11. He noted that the Government missed the 2004-05 target — to cut the number of children in poverty by a quarter — and said that there had been no change in the numbers in severe poverty since 1997.
He gave a warning that the fall in the number of children in poverty would have to be eight times the rate it had been over the past five years for the Government to meet its 2010-11 target.
The study also said that in 2004-05 two parents with two children had to earn £240 a week to lift themselves above the poverty line. A single parent with two children had to earn £76.
However, campaigners denied that there was discrimination in favour of single parents. Chris Pond, the chief executive of One Parent Families, said: “It is adding insult to injury to suggest that lone parents, half of whose children are living in poverty, are receiving disproportionate support.”
He said that half of all children living with a lone parent were poor, and 41 per cent of single parents had a gross weekly household income of less than £200 compared with 8 per cent of married couples with children and 11 per cent of cohabiting families.
Kate Green, the chief executive of Child Poverty Action Group, said: “Children in loneparent families face a 50 per cent risk of being in poverty, compared to a 23 per cent risk for children in two-parent families.”
A Treasury spokesman claimed that Budget reforms would lift a further 200,000 children out of poverty by 2008-09. He said: “The Government has succeeded in arresting and reversing the long-term trend of rising child poverty, and remains committed to its target of halving child poverty by 2010-11.
“Since 1998-99 the Government has lifted 600,000 children out of poverty, around half of which have been from ‘couple’ families.”
Mr Field’s report calls for a government strategy to end discrimination against two-parent families, increase incentives to work for potential second earners, improve education success by the poorest children to prevent poverty passing down the generations and make the child-support system effective.

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I work in the nursery industry and I know plenty of people pretending to be single to scam the system, there are also plenty of parents claiming childcare costs they dont pay to the nursery, the whole system is completely open to fraud, id love to have an hour with Gordon on this one!
Amanda, nottingham,
I personally know someone who has one child at school who is aged 7 and she is a single parent. She was advised by the benefits agency that she would be better off if she gave up work so that she could get her rent paid for her and other benefits. She did this and there is no reason why she shouldn't work due to the age of her child at least part time around school hours. I have 2 children i work part time and partner full time and we are struggling to pay our mortgage and otherb bills etc..Yet she is able to stay at home and is studying to better herself! How nice that she has the time and financial security to be able to have that lifestyle. It makes me sick, this government don't look after the people that work hard it seems that all the 'spongers' and people who choose to sit around on their backsides get the better deal! Its about time that someone looked after the people who are prepared to give something back to the country, after all we pay our taxes to support the above slobs
Marie, Bristol,
Hear Hear - about time somebody spoke up about the discrimination against the children of married couples. This continues when the kids go to university - lone parent children have access to all kinds of assistance even if the 'absent' parent is earning a fortune and does contribute significantly to the child's income. The government only takes the one parent income into account.
Julie Dale, stone,
This is disgusting. I have to work 37.5 hrs a week plus overtime and earn less than someone who doesn't want to work or works a pitiful amount and they earn more than me but paid for by me. This is modern society. The new tier in society, you have the Mega Rich, the rich, the benefit society and then at the bottom of the pile....the hard worker.
When will workers start seeing some of of their hard earned cash? We keep hearing about the poor, single parents etc...now what about allowing us to keep our money instead of tax tax tax.
Also, don't pay for people to come out of poverty....don't give benefits in money, tax rebates etc....make them earn their way out. Make them get education to get better jobs. Benefits give the easy way out....money for nothing.
Adrian Jones, Farnborough,
Its about time someone actually came out and said two parent families are discriminated against. Everyone knows Brown and his cronies have made the tax burden on families, In particular the traditional two parent familiy almost unbearable. They have encouraged a lone parent benefit culture! It seems only lone parents warrant any help.
I personally know of at least a dozen single parents who are getting more than my working daughter and partner, Who both work and have one child with another on the way. They are struggling financially but don't appear to qaulify for any help, while having to both work to make ends meet.
Carolyn, Yorkshire, England
dont know where they get the figures from ..i was quoted £290 a week whilst working 16 hrs on minimum wage at5 my lone parent meeting a few months ago
h mcc, saltcoats , ayrshire
We are worse off then ever thanks to tax credits. Since apparently being ovepaid (their mistake) I haven't received anything for over a year and have found myself in debt to them for the first time in my life!!!!!!!!!!!!!!!!
At one point they even changed my tax code and were making me pay more tax on my meagre wage to claim back money they said THEY had overpaid me.
It makes me furious that as a working couple trying to give our two children the best we can, there are bums out there who are earning just as much doing nothing, getting their houses paid for and freebies left right and centre!!!!!!
Helen Woods, Rainhill, UK
At last, someone has the guts to tell the truth. My husband and I have a combined income of £50k, which might sound a lot, but we have to pay out £2.5k in childcare and after the mortgage and usual bills, have no disposal income at all. Our big treat is one Sun holiday (£9.50 each) a year. We are not entitled to any WFTC or CTC as we are judged too wealthy! In their publicity it states anyone with an income of £60k or less can claim. So, why can't we?
HMJ, Aylesbury, Bucks
Mr Field didn´t quite dare to say "Labour isn´t working".
Tim C, Isle of Wight,
Thank you Mr.Field for your honesty, a rare attribute in politicians these days! I have long suspected Gordon Brown should not be revered for 'alleged' skills as Chancellor. New Labour are blatantly anti two parent families and to their shame this adds to the breakdown in social cohesion prevalent today. I speak from personal experience, I was far better off 14 years ago when my wife took 6 years out of work to care for our child during the most important formative years. With the election of New Labour, reclaim of tax credits on the share dividends of non taxpayers ceased, pensions were pillaged and stealth taxes abound. Gordon Brown's sins as Chancellor will be exposed with the passing of time and tax credits, pensions and benefits will be near the top of the list!
R.B., Leicester, Leicestershire
At last someone has spoken up about this injustice!
As a (now happily re-married) mother of 2 children of school age, I could not believe the drop in income we suffered when I remarried - we both work full-time. My new husband pays maintenance for his 3 children (which isn't taken into account when awarding tax credits) which leaves him very little disposable income and my (now our) award was cut by a total of over £500 per month.
To rub salt in the wound, my daughter (at college studying A levels) is unable to claim EMA payments of £30 per week plus bonus's of £100 a time since our joint gross income we just tips over the £30k p.a. mark - so she has to work as well as study unlike some of her 'luckier' peers!
Myself and my children would have been far better off financially if I had stayed single and working just 16 hours a week as I was. No wonder the UK has a housing crisis !!!
Sandi, Glossop, Derbyshrie