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Darling bottles it on child poverty

1 min read

Most of the press are majoring on the new 50% top rate of income tax for £150,000+ earners in their reports of the budget. No surprise there. After all this is going to hurt the pockets of the press barons themselves.

The fact the government has today officially broken its pledge to halve child poverty by 2010 barely merits a mention in many reports. The small increase to the childcare element of the working tax credit that is announced doesn't kick in till next year anyway.

The new top rate will bolster the Treasury's coffers a bit but what Darling should have done was to give more money to the poorest in the form of tax credits. Poorer families are most likely to spend any extra money and thereby boost our sorry economy. Perhaps Labour thought it best to avoid adding fuel to the fire of commentators who bemoan our culture "state spongers"

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