povertychildthis is

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Foreword

Child poverty stiflespotential and opportunityand this report shows theterrible impact it can haveon families. Every childmatters and the cost ofeven one wasted life is too high to count. That

is why this government remains absolutelydetermined to continue with theinvestment and intervention we need to end child poverty in this generation.Rt. Hon. Gordon Brown MP, Prime Minister

This report is a valuablecontribution to a vitalissue. It is essential thatwe address, patiently andsystematically, the rootcauses of poverty anddeprivation in this countryto achieve the goal we

all share of making British child poverty history.Rt. Hon. David Cameron MP, Leader of the Conservative Party

It is shocking that despitebeing one of the richestnations in the world, westill have a terrible rate ofchild poverty. People getcynical and think we can’tchange this, but I believewe can. Children in

poverty are some of the most vulnerablepeople in our society. We must act now to increase both income and opportunityfor families who need it most.Rt. Hon. Nick Clegg MP, Leader of the Liberal Democrats

As a party committed tosocial justice, Plaid Cymruis working for a fairersociety. The number ofchildren currently living inpoverty in Wales isunacceptable and we aredetermined to tackle this

at every level. I commend the valuablework that Citizens Advice is undertakingon child poverty.Ieuan Wyn Jones AM, Leader of Plaid Cymru”

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Introduction The government has made some progress in liftingchildren in Britain out of poverty and has promised tohalve child poverty by 2010 and end it by 2020. Yet, onein three children in the UK now live in poverty, and thefigures are rising again.

Since Citizens Advice was founded in 1939,we have taken part in numerous significantcampaigns to improve the lives for childrenand families. Today we are partners in theCampaign to End Child Poverty and areworking with other organisations toencourage government to find new ways to eradicate child poverty in our country.

In June and July 2008, Citizens Advice askedparents across England and Wales to tell us theirexperiences of struggling to make ends meet,and to show how this impacts on their children.We have presented some of these stories in thisreport, in order to provide an insight into thefinancial, emotional and physical impact ofpoverty on children.

All children deserve to grow up in anenvironment where they can prosper, wheretheir family can afford the essentials that manyof us take for granted, with access to a freeeducation, good housing and work that pays.We hope this report will give children andfamilies who live in poverty a voice, to tell thegovernment that more must be done to keeptheir promise to end child poverty.

David Harker Chief Executive of Citizens Advice

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Sue 31 has six children under 14

afford it.Ican’tMy kids don’t have birthdayparties like their friends as

If the kids need new clothes,then one of my bills don’t getpaid so then I end up fallingbehind with the payments,therefore our phone got cut off. My kids don’t have pocketmoney on a regular basis.

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To end childpoverty…

t.Benefits and tax credits The benefits and tax credits systems need to bedramatically improved to increase full take up of vital benefits and put more money into thepockets of the poorest households.

Supporting the move from benefits to workFamilies who move from relying on benefits to work need more support and better financial incentives so that they are genuinelybetter off as a result. Families who continueto rely on benefits should be allowed to workmore without losing benefits. Families whoreceive working tax credits should have accessto free school meals. Where Jobcentre Plusprovides advice and calculations to people toencourage them to move off benefits and intowork these need to provide a complete pictureof all the additional costs the family may face,otherwise they may risk being worse off orgetting into debt.

Debt and the cost of livingThe rapidly rising costs of essential services suchas gas and electricity need to be brought undercontrol and all creditors should always treatpoor families fairly – taking into account theirability to repay debts at a rate they can afford.

HousingAll families should be able to live in secure,affordable and decent homes. The governmentmust ensure it meets its target to increase thenumber of social rented homes. In addition itmust improve access to financial support andadvice for families who find it difficult to paytheir rent or mortgage and who risk losing theirhome. No family should have to live in a propertyin poor condition, but where this is happeningtenants must have the right to complain withoutfear of being evicted from their home.

EducationAll children and families should have access toan education which is truly free of charge.

Advice makes a difference Advice services play an essential role in helpingmaximise income for families with children, andadvising people on their rights at work and asconsumers. Advice services could do more tohelp end child poverty – and would welcomemore support to do so.

MethodologyOne in three children in the UK live in povertyaccording to the Department for Work andPensions (2008). With this mind Citizens Advicewanted to hear from those families whoexperience child poverty. In June and July 2008Citizens Advice asked parents from England andWales who find it hard to make their money last,how this affects their children. They were askedto tell their story by filling out a postcard or bygoing online to www.adviceguide.org.uk orwww.citizensadvice.org.uk. This reportpresents a selection of the stories received. Therecommendations on what needs to be done toend child poverty are based on these stories andthe ongoing analysis of the 5.7 million clientproblems Citizens Advice helps resolve every year.

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Me and my husband have only justbeen able to live together. We haveextortionate fuel bills. My husbandhas a few debts and they’re eatingup all of his wages every month.Along with all the bills we’re tryingto keep on top of the mortgage.Because we’ve just moved in wehave to change our tax credit claim– so they have cancelled the old oneand it may take up to two weeks tosend us a new application form –before we have even filled it in –can’t do it online cause that serviceisn’t working at the moment. So,

with just the child benefit moneyfor three children to live on for afew weeks until we can get the taxcredit claim sorted

we’re

stuck

Rhiannon 23 has three children under 14

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Benefits and taxcreditsIn 2007, almost £10 billion of means tested benefits went unclaimed. Increasedtake-up of benefits and tax credits could have a huge impact on many families. For example, a lone parent with two children working 30 hours a week earningthe minimum wage, could almost double their income by claiming child andworking tax credits.

k For families with children who experiencepoverty, the benefits and tax credits systemcan mean the difference between havingfood on the table and not. The systemtherefore needs to work for all. When itdoesn’t, children can go through extensiveperiods where their parents can’t makeends meet.

When trying to apply for working taxcredit it has taken 3 weeks to just getthrough on the phone to get anapplication form, two weeks after that,still waiting. Income support has beencancelled. 16p in the bank – what a mess!Judy 41 has two children

I’m a lone parent of two children. Lastyear they went into temporary care and Igot them back a few months back. I hadto make new claims for child benefit andtax credits. I have now been waiting forthree months and trying to get by on themoney I am receiving. They say let’s stopchild poverty, well the whole system isrubbish, you try ring to them and you getnowhere. I know people say just startwork but it’s not as easy as that and I’vetried and actually ended up worse offJessa 19 has two children under 14

The benefits and tax credits system iscomplex. Many people lack basic literacy andnumeracy skills, yet claiming and renewingtax credits, and keeping HM Revenue &Customs informed about changes ofcircumstance, mean that people must beable to handle complex information andmaintain full household records.

As a family of four we struggle to makeends meet week to week. My eldestchild’s birthday is coming up and I thinkshe is going to be let down badly unless Ido something silly but I don’t wanna goback to jail. No one gives us the time tosee if we need financial help. The jobseekers allowance people just fob me offcoz they know I’m not smart enough tounderstand what I need to knowJonathan 28 has two children under 14.

It’s crucial that families get advice andsupport to access, and retain the correctentitlement of benefits and tax credits. HMRevenue & Customs and Jobcentre Plus mustensure that current claimants are receivingtheir correct entitlement and are able tomanage their claims successfully throughoutthe period of the claim.

To end child poverty the benefits and taxcredits systems need to be dramaticallyimproved to increase full take up of vitalbenefits and put more money into thepockets of the poorest households.

I have had both good and badexperiences whilst being on benefits. Alot of problems when I was pregnant andwhen I complained by letter no responseat all! – very disappointing. Also, when Imoved into a refuge my benefits weresuspended – at my most vulnerable time.Ruth 26 has one child under 14

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I feel that although my partner is disabledand we have three young children, I ambeing pushed to return to work straightaway. The thing is we cannot afford forme to work, with the cost of child care,petrol and everything else it is impossible.My partner is unable to look after themfull time due to his disability. Shopping isgetting harder as food prices are goingup. My children cannot have all the newtoys and clothes that other children have.I have taught them that it doesn’t matterwhat everyone else has as long as you arehappy. This is the moral we live by

althoughit’s getting

harderas the years go by

Anna 22 has three children under 14

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I work full time in a school. I struggle tomake ends meet. Things have got worsesince the 10p tax rate was removed and I now have less money – I am a singleparent and don’t want to rely on benefitsbut I think I’m worse off because I choose to work.Lisa 31 has two children under 14

There are a wide range of factors parentstake into account when evaluating whetherthey will be better off in work, such as theadditional cost of losing access to somepassported benefits like free school meals.Also, working part time and earning abovea certain level may result in benefits and taxcredits being cut, making the advantagesfor parents to go into work insufficient.

Parents need advice to calculate how tomaximise their income. Jobcentre Plusprovides some people with a ‘Better-offcalculation’ as part of their benefit to worksupport. This service must be personalisedto truly maximise a person’s income.

Some parents who want to go into workexperience barriers to take up benefitswhile working, through lack of awarenessof which benefits they are entitled to claimor because of inconsistencies in the benefitsand tax credits system.

I’m a single parent of two. I take home£1500 with child benefit and working taxcredit. I have to pay about £200 on travelto get to work each month. With mymortgage and all the other bills to payeach month I find it a real struggle. I earnover the threshold so I don’t get benefitslike free school meals. I am also verydeeply in debt. On top of that I am goingto be made redundant soon, so I plan togo back to study to try to improve mysituation. I am dreading the next yearDaniella 43 has two children under 14

The lack of incentives for some parents togo into work can also have long lastingconsequences for how children view theirfuture in work.

My take home pay is £1200 per month.After mortgage repayment, council taxand other bills I have £200 left to cover allother expenses for me and two teenagers.The effect on them is (and has been alltheir lives) one of being second classcitizens who have not been able to domany of the things their peers do – schooltrips, holidays etc. – they have becomevery disillusioned with the work ethic thatI have always tried to instil as they seefamilies on benefits living on the samestreet as much better off than them.Suzanne 42 has two teenage children

To end child poverty families who movefrom relying on benefits to work needmore support and better financialincentives so that they are genuinelybetter off as a result. Families whocontinue to rely on benefits should beallowed to work more without losingbenefits. Families who receive working taxcredits should have access to free schoolmeals. Where Jobcentre Plus providesadvice and calculations to people toencourage them to move off benefits andinto work these need to provide acomplete picture of all the additional coststhe family may face, otherwise they mayrisk being worse off or getting into debt.

Citizens Advice believes work should pay and that parents moving from benefits towork should be protected during this transition. However, this is not always the casefor families with children who experience poverty. Many parents find themselves in ajob that does not necessarily make them better off financially.

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With the hikes in petrol, gas, electricityand food bills, I’m dreading Christmasand my son’s birthday.

bleak

Colleen 45 has one child under 14

Thisyear

is going to be a

one.

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“It all started when the socialstopped my money 10 weeks ago.

Fran 51 has one teenage child

for bills. My landlord is trying to get us outand my life is falling apart. It’smaking me ill. My child is verydepressed.

NowI have

no money

I live in a private rented housewhich costs £128 a week. It’s far tooexpensive for me to live here as I’ma single parent. I can’t even take mykid out on day trips as I don’t haveany spare money for luxuries. Thehouse I live in has been botheredwith mice and rats now for nearlytwo years. I caught 12 rats in theattic in a few days and I had to getrid of everything out of it whichwas worth well over £1000. I lostmy kid’s school work, baby stuff,bears etc. But last Monday I got amouse again in the attic.

houselet alone a new born baby, thinkof the diseases. Cracks are alsostarting to appear along the stairsand the bathroom floor is sinking.What if someone comes throughit, this house is a joke and thelandlord will do nothing about it.

Anne 28 has one child under 14and is four months pregnant

Ican’t bring my daughterup in this

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”“I cannot have my children with mebecause I am without a home to housethem. My children are suffering so muchand I don’t want to lose themMaria 37, four children under 14

Citizens Advice heard from parents whogot into financial difficulties and didn’tget the help or advice they needed in timeto avoid homelessness.

I’ve just been given 14 days’ notice to quitmy two bedroom flat with my 12 year oldson. Due to rent arrears I have been to thecounty court and they wanted repossessionwith immediate effect but the judge hasgranted me 14 days, then me and my sonare on our own, nowhere to go, no family.I am so scared and don’t know what to do.Mary 35 has one child under 14

Citizens Advice Bureaux help people withrent and mortgage arrears, by ensuring theymaximise their incomes from benefits andtax credits, prioritise their debts and set upmechanisms for affordable repayments. Butfor home owners who are not entitled toincome support and perhaps struggling inlow paid work, the benefits system simplydoesn’t provide the help that is needed.

I got divorced in May 2008. My son who’sdoing his A-Levels was turned down foreducation maintenance allowance. I’m onincapacity benefit, council tax benefit andchild benefit. I’m not eligible for incomesupport or housing benefit and I only get£75.40 in incapacity benefit. The mortgagelender has threatened repossession.Katherine 52 has two teenage children

Both me and my husband work and bringin on average £1400 a month and we arestruggling to live as price of food and fuelis now too expensive so much so that wehave resulted to having to put theseessentials onto our credit cards. We feelthat the government is not helpingfamilies that work and own their ownhome. We feel that maybe we would bebetter off if we did not work and justrelied on benefits and council homes.Janet 33 has two children under 14

During this campaign, parents who areforced to bring up their children in verypoor living conditions explained the impactit has on their children’s health and well-being. Many parents who rent privately areafraid of exercising their rights to haverepairs or health and safety issuesaddressed in fear of being evicted.

To end child poverty all families should beable to live in secure, affordable and decenthomes. The government must ensure itmeets its target to increase the number ofsocial rented homes. In addition it mustimprove access to financial support andadvice for families who find it difficult topay their rent or mortgage and who risklosing their home. No family should have tolive in a property in poor condition, butwhere this is happening tenants must havethe right to complain without fear of beingevicted from their home.

HousingFor families on a low income it can be very difficult to find somewhere to live.There is a huge shortage of affordable council and housing association homes torent, whilst private renting can offer very little security, with high rents andlandlords who may be reluctant to rent to people on benefit. For many, homeownership is completely out of reach.

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I am a single mum of two living onbenefits. My daughter starts secondaryschool in September and I am panickingabout the cost of the uniform as it is soexpensive. I just know

Not only will I have to buy uniform forher there is also my son to consider. Hewill need new uniform too. I just don’tknow how I will cope.

Clara 29 has two children under 14

manageI won’t

be able to

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EducationChildren can be so cruel, and if mychildren stand out just a little bit becausethey are wearing second hand uniform forexample, then I worry that they will be thetarget for bullyingKirsty 34 has two children under 14

Even with the benefits I receive, I find ithard to pay all the bills, and I cannotafford proper uniform or shoes for myson, so he gets picked on at schoolJamelia 28 has one child aged under 14

Every child in England and Wales has theright to a free state education. School hasthe potential to provide all children withopportunities to learn, make friends andparticipate in activities regardless of familyincome. School should be a place wherechildren don’t feel the effects of living inpoverty – but when families are asked topay for uniforms, activities, school trips andclassroom materials, meeting these costscan cause major financial hardship.

My daughter has not been on any schoolholidays because of costs. I have had totake out a budget loan for school uniformover the years. Come September whenshe goes into 6th form I’ll have to paytravel costs as well as uniform. There’s nohelp with these for post 16.Sarah has one teenage child

At Citizens Advice Bureaux across thecountry people report their struggle tomeet the hidden costs of school. Many saythey’re not able to get free school mealseven when they’re struggling to makeends meet.

The Citizens Advice Adding Up Campaignhas called for the government to reveal thehidden costs of sending children to schooland to support those parents who struggleto meet the costs of school meals andschool uniforms.

After trying to pay my bills I only have£100 left to buy food for my children for a month. I have to go to the market in theevening to pick whatever food the marketpeople throw away to cook for my children.When I called for help to apply for at leastfree school dinners for my children theytold me that I am not qualified because I am getting working tax credits. Mychildren wear torn clothes and shoes toschool. I do not know what to do. I amfed up and feel like dying. I am really tired.Jane 40 has three children under 14

This weekend everything in my housewas on emergency and I had no petrol toget to work. I had to send my children toschool claiming they had forgotten theirpacked lunches so the school wouldprovide them with a school meal whilst I asked a colleague to pick me and dropme off again telling her I had a problemstarting my car! Rachel 32 has 2 children under 14

To end child poverty all children andfamilies should have access to aneducation which is truly free of charge.

I’m a single parent of three and myyoungest has ADHD and is classed asdisabled. I struggle week to week to paymy bills, shopping is getting so expensive,my children don’t like the school dinnersso rather than letting them go hungry I’mhaving to buy packed lunch stuff which iscrippling me. I can’t afford any days out, afun fair was here last week but I couldn’tafford it and had to tell the kids no whichmade me feel guilty but we must puteating first. I need all sorts of things as theyoungest breaks things.May 31 has three children under 14

School should be an exciting and important experience for children and theirparents, but for many school means something totally different.

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I have applied for a part time jobthree evenings a week in the localsupermarket. I’ll earn minimumwage but I have worked it out thatif I take the job our tax credits willgo down which then means we are£500.00 a year worse off!

I want to work part time in theevenings so I don’t have to put ourdaughter into care but then our taxcredits get reduced and we thenhave to live off even less money. Itdoesn’t make financial sense. Meand my partner have both workedfull time all our working lives andare in our early thirties. We areused to be able to financiallysupport ourselves and we are nowfinding this very very hard. I can notbelieve we have to buy birthdaypresents from a charity shop! Weare not even going to be able tohave a holiday next year!

Janet 34 has two children under 14

is the What

point?

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“I am a single mother with one daughter,and also off work on incapacity benefit. Inever had debts before and yet now Ihave financial problems since being onbenefits. What you are given in one handis immediately taken from the other. It’sso bad now that I’m struggling to pay my rent and then could have housingproblems. Have approached people forhelp but get doors slammed in my face.Hannah 40 has one child under 14

I am under a lot of financial difficulty,although I’m working part-time, there aretimes when I don’t eat at lunch time, dueto no money. I am unable to buy goodquality clothes and barely have money tobuy much food. I would appreciate it if Icould get some help.Celia 34 has two children under 14

I came to England four years ago. I’mworking 48 hours a week and I’m paid£5.54 per hour. My husband is here aswell and he is working 40 hours a week.My son is going to nursery two days aweek which cost me £316. I try to call andapply for Child Care Cost, but nothing,nothing, nothing because they said I gotenough money. I was trying to explain, if Itake my son to nursery five days a week itwill mean I would work to pay for myson’s nursery only...Eva 23 has one child under 14

If you’re a single mother there’s absolutelyno point in working in England. I went touniversity and gained a first class degreethat enabled me to pursue a career as ateacher. Since graduating I’ve had oneproblem after another. At one point I waspaying more rent than most people’smortgages because I claimed tax credits.Housing benefit considers this as incomeand reduces your entitlement.Dianne 32 has two children under 14

To end child poverty advice services play anessential role helping maximise income forfamilies with children, and advising peopleon their rights at work and as consumers.Advice services could do more to help endchild poverty – and would welcome moresupport to do so.

Advice makes adifferenceCitizens Advice Bureaux give high quality advice to people experiencing poverty.On average, bureaux across the country secure increases in benefits or decreasesin debt of over £3200 per client. Many parents who come to Citizens AdviceBureaux struggle with their income. Advice often focuses on incomemaximisation through work and increase in benefits and tax credit take-up.

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I feel so bad because they never get anytreats or days out. It just breaks my heartand I don’t know how long I can keepstrong for them.

children

Abena 37 has four children under 14

I strugglemy

”“to feed and clothe

Further resourcesAll the following publications can found onwww.citizensadvice.org.uk

EducationAdding Up – the range and impact of schoolcosts on families (2007)

From benefits to workBarriers to work – Lone parents and thechallenges of working (2008)

Rooting out the rogues – Why vulnerableworkers and good employers need a ‘fairemployment commission’ (2007)

Benefit and tax credits systemTax credit take-up resource pack (2006)

HousingSet up to fail – CAB clients’ experience ofmortgage and secured loan arrears problems(2007)

The tenant’s dilemma – warning: your home isat risk of you dare complain (2007)

Unfinished business – housing association’scompliance with the rent arrears pre-actionprotocol and use of Ground 8 (2008)

Advice makes a differenceAn introduction to the Citizens Advice service(2008)

Citizens Advice Impact Report – the impact ofour social policy work in 2006/2007

Citizens Advice115–123 Pentonville RoadLondon N1 9LZTelephone: 020 7833 2181

www.citizensadvice.org.ukwww.adviceguide.org.uk

Report written by Johan Jensen at Citizens AdviceDesign: Navig8 www.navig8.co.uk

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Last winter it got so cold that my childrenand I had to sleep in the living room, nearthe coal fire because we couldn’t sleep inour beds, fully clothed and with extrablankets on top of our quilts.

fortuneMy fuel bills

a

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