Poverty: Children

Tackling child poverty is at the heart of this Government’s mission to break down barriers to opportunity. The Child Poverty Taskforce is developing the Government’s plan to bring about an enduring reduction in child poverty this Parliament, as part of a 10-year strategy for lasting change.

The Minister for Employment visited the West Midlands in January 2025 and heard from key local stakeholders about challenges facing the area and how they think poverty can be better tackled.

As a down payment on the child poverty strategy, the Government has already taken action at Autumn Budget 2024 which will benefit all constituencies. This action includes the Fair Repayment Rate which lowers the cap on deductions in Universal Credit to 15% of the standard allowance from April 2025. This will benefit 1.2m households by an average of £420 per year, including 700,000 of the poorest families with children benefiting as a result of this change. In addition, the Government will provide £1 billion (including Barnett impact) to extend the Household Support Fund in England and Discretionary Housing Payments in England and Wales in 2025-26. This will help individuals and families facing the greatest hardship, including supporting them with the cost of essentials such as food, energy and housing. This builds on the previous investment of £500 million (including Barnett impact) to extend the Household Support Fund to 31 March 2025.