Tax credits have been Gordon Brown's big idea for the British welfare state. He has used them to deliver unprecedented sums of money to poorer families and begin to reverse the steep rise in child poverty seen throughout the 1980s.
But, like all welfare reformers, the Chancellor must struggle with the "iron triangle" - the conflict between encouraging work, reducing poverty and keeping down costs. With the Government having set itself increasingly challenging targets for child poverty right out to 2020, these conflicts can only intensify.
Authors
Robert Chote
Comment details
- Publisher
- IFS
Suggested citation
Chote, R. (2005). Does the Government have the means to make child poverty history in Britain? [Comment] IFS. Available at: https://ifs.org.uk/articles/does-government-have-means-make-child-poverty-history-britain (accessed: 19 May 2024).
More from IFS
Understand this issue
Spring Budget 2024: What you need to know
podcast
IFS reaction to the Chancellor's Spring Budget.
7 March 2024
Spring Budget 2024: the Chancellor’s options
event
27 February 2024 at 10:00
At this online event, IFS researchers outlined some of the constraints facing the Chancellor ahead of the Spring Budget.
The £600 billion problem awaiting the next government
podcast
We speak to David Gauke and Giles Wilkes, two experts who have been at the heart of the spending review process.
25 April 2024
Policy analysis
Spring Budget 2024
collection
All our analysis of the Spring Budget 2024. Includes research, comment, explainers and more.
6 March 2024
Reforming the taxation of non-doms: policy options and uncertainties
comment
This comment summarises what is known about non-doms, the options for reforming how they are taxed and potential revenue implications.
4 March 2024
Oil and gas make Scotland’s underlying public finances particularly volatile and uncertain
comment
A fallback in oil and gas prices has hit Scotland’s underlying public finance position this year.
27 March 2024
Academic research
Intertemporal income shifting and the taxation of business owner-managers
journal article
We show that responses of UK company owner-managers to personal taxes are due to intertemporal income shifting and not reductions in business activity
24 January 2024
Insurance, redistribution, and the inequality of lifetime income
working paper
This paper studies how the tax-and-transfer system mitigates income inequalities over the lifetime, which can lead to disparities in living standards.
2 November 2023
Symposium: tax equity around the world - introduction
journal article
This set of issues was showcased at the 4th World Bank Tax Conference in September 2022, which focused on ‘Global Tax Equity’.
11 September 2023