Although the Child Tax Credit will go up by one per cent for the next three years, with previously planned freezes going ahead, this is effectively a cut, since the increase is less than the rate of inflation, currently standing at 2.7 per cent.
Mr Osborne also announced that child benefit, which has been frozen since April 2011, will too go up by one per cent for two years from April 2014 – again, well below inflation.
Working parents on low and middle incomes will see their personal allowance increase by £235 in April 2013 to £9,440. Mr Osborne described the rise as ‘a direct boost to the incomes of people working hard to provide for their families.’
Register now to continue reading
Thank you for visiting Nursery World and making use of our archive of more than 35,000 expert features, subject guides, case studies and policy updates. Why not register today and enjoy the following great benefits:
What's included
-
Free access to 4 subscriber-only articles per month
-
Unlimited access to news and opinion
-
Email newsletter providing activity ideas, best practice and breaking news
Already have an account? Sign in here
