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Child poverty: Tax credit take-up could affect target

Poor take-up of tax credits could be behind new figures that suggest the Government is likely to miss its target to reduce child poverty by a quarter by 2004/05, campaigners claim.

Only 100,000 children were lifted out of poverty after housing costs in 2003/04, and 3.5m are still in poverty, according to a Department for Work and Pensions report, conducted with the Office for National Statistics.

The Government needs to reduce the figure by another 500,000 by 2004/05 to hit its target of a 25 per cent reduction on its baseline figure of 4.1m children, set in 1999.

Jonathan Stearn, director of End Child Poverty, said: "We thought we'd see a rise in the take-up of tax credits but there were administrative problems."

He said a key way of overcoming the problem would be to increase the universal child benefit from 17 a week to 20 and to pay this for every child, not just the eldest.

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