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BBC News
3 days ago
- General
- BBC News
Childcare costs push families out of work and into poverty
High childcare costs are pushing more families into poverty and out of work, according to new research. A report by the Bevan Foundation said the soaring cost of childcare in Wales is beyond the reach of many, with some families now limiting the number of children they are having due to comes as parents call upon on the Welsh government to extend funded childcare to young children between nine months and two years old, like in a statement, the Welsh government said it was investing more than "£150m" in childcare provision and more was available in "the most disadvantaged communities". Catrin Hughes holds sessions where mums can spend time with their babies in Menai Bridge, Anglesey, and says the soaring childcare costs are a hot topic among new mums."Sometimes we [mums] go without because the cost of childcare is massive," said Ms Hughes."People are living further away from their families, so they haven't got that additional support, and grandparents are working longer so the pension age is a lot higher."We'd just like the government to look again at their policies and bring them in line with England."In Wales, children between three and four years old qualify for 30 hours of free childcare for 48 weeks of the year if their parents either work or are in eligible two-year-olds will be able to qualify for 12.5 hours of care a week under the Flying Start initiative, but this is yet to be rolled out England, children between nine months and two of working parents can qualify for 15 hours of free Jones, 33, said she has decided to only have two children due to the rising said balancing everything is "really hard", as there has been "rises in everything". "We can only afford two children to give them the best we can give them in a way," she said. "It's a system that isn't working for anyone in it," said Dr Steffan Evans, head of policy at the Bevan Foundation."The costs are expensive for families across Wales and there is a lack of support there for families with the youngest children."That means families are being pushed out of work and locked into poverty and mean children miss out on all the opportunities that childcare provides." Children's Commissioner for Wales Rocio Cifuentes described the rising costs as a "major concern", adding that poverty among children in Wales has reached "a new low". Mudiad Meithrin, a voluntary movement specialising in Welsh-medium early years development, has joined calls upon the Welsh government to fund childcare earlier."There is an element of a postcode lottery when it comes to the two-year-olds because Flying Start is still being rolled out," said its chief executive Dr Gwenllian Lansdown."There's no funded hours for under two years of age so it's difficult for those parents who want to go back to work because there's nothing available."The system is onerous, complex and overly bureaucratic."In response, the Welsh government said it was increasing spending with more than £150m for childcare initiatives, including the childcare offer and Flying Start childcare. "Flying start childcare focuses on our most disadvantaged communities, in the first instance, ensuring that support reaches families in greatest need," it said. "Our childcare offer provides up to 30 hours per week of government-funded nursery education and childcare for eligible parents of three and four-year-olds, for up to 48 weeks of the year. "Unlike in England, it is available to parents in training and education as well as those in work. It is available 48 weeks per year, compared to England's 38 weeks, and includes some flexible holiday provision which can be taken throughout the year."The spokesperson added it was committed to investing in Wales' future to create a "fairer, more equal" Wales where "every child has the opportunity to achieve their potential".
The National
01-07-2025
- Business
- The National
Labour MP backs calls for Wales to copy Scottish Child Payment
Montgomeryshire and Glyndwr MP Steve Witherden praised research by the Bevan Foundation which found that creating a 'Welsh Child Payment', based on the Scottish benefit, would be the 'most powerful and effective' way of cutting child poverty. The backbencher said that the evidence for 'putting money into people's pockets' as a way to tackle poverty was 'overwhelming'. Asked whether he believed that the Welsh Government should have the ability to set its own welfare policies, Witherden he was 'supportive of devo max', adding: 'I think it's about having the autonomy to choose, isn't it? If you have devo max, you do have more power to decide.' He added: 'I don't think anyone in Scotland would claim that it was some kind of utopia in this regard, child poverty exists there as it does everywhere in the UK, sadly. 'At the moment the Scottish percentages do look more favourable than the England and Wales combined percentages on child poverty.' (Image: PA Wires) Witherden highlighted research which looked at the potential impact of Wales copying the Scottish Child Payment, saying: 'There's lots of evidence for this – putting money in people's pockets, for lack of a more technical term – how helpful it is. 'There's sound research on this outside of the UK, USAID, UK development aid, it's found that when you can directly get the cash to people on the ground, it does alleviate poverty, it does make a difference. 'There's sound research backing that up, I know it has its critics, I'm not one of them, I follow the evidence and the evidence is quite overwhelming.' READ MORE: Welfare reforms could push 150,000 into poverty, official DWP modelling suggests The MP, first elected to Parliament last year, also called on the UK Government to publish an interim update on the work of its child poverty taskforce. He said: 'I'd like to hear some feedback on the findings thus far.' The taskforce was supposed to publish its findings this spring but the Government has delayed this, confirming in May that it was committed to publishing 'later this year'. It would look at a range of measures to bring down child poverty, including scrapping the two-child cap. (Image: Canva) The Scottish Child Payment was announced by the SNP in 2019 and the first payments were made two years later. It is paid to families who are in receipt of Universal Credit or income-based Jobseeker's Allowance. Parents get £27.15 per week for each child they have under the age of 16. The Scottish Child Payment has been described as a 'game changer' by the Child Poverty Action Group. Official statistics have found that there were projected to be 90,000 fewer Scottish children expected to live in poverty by 2024 because of the policy and other measures. The Bevan Foundation's report from June this year said: 'Among all the interventions modelled, the introduction of a Welsh Child Payment emerges as the most powerful and effective. 'Based on the Scottish Child Payment, this intervention would provide support for each child in low-income families, with no deductions from existing benefits. It reaches nearly one-third of households that are in poverty within the data and reduces child poverty across the sample by almost 23%.' The Welsh nationalist party Plaid Cymru have also backed calls for a Welsh Child Payment, saying it had 'proved transformational in Scotland'. The UK and Welsh governments were approached for comment.
ITV News
10-06-2025
- Business
- ITV News
Wales' poverty crisis deepening as more than 1 in 5 living in hardship, new report reveals
Poverty in Wales is deepening, according to a new report from the Joseph Rowntree Foundation (JRF) and the Bevan Foundation. The study also claims there has been little progress in reducing poverty in Wales over the past 20 years, with poverty rates remaining at around 21–22%. According to the 'Poverty in Wales' report, published on Tuesday, more than 1 in 5 people in Wales (22%) – which is around 700,000 people – are living in poverty. Of these, 400,000 are working-age adults (21%), 200,000 are children (31%) and 100,000 are pensioners (16%). The report warns that if no action is taken, child poverty in Wales could reach 34% by 2029-30, which would make it the highest rate of all UK nations. The highest child poverty rates by local authority are Blaenau Gwent (34%), Merthyr Tydfil, Ceredigion and Newport (32%), and the Isle of Anglesey and Pembrokeshire (31%). The Welsh Government says it is determined to do all it can to prevent people from going into poverty and to help those who need support the most. The findings also reveal that nearly half a million people in Wales lived in deep poverty in 2020-23, with 310,000 in very deep poverty. Households below 50% of the median household income are defined as living in deep poverty and those living below 40% are defined as being in very deep poverty. Dr Victoria Winckler, Director at the Bevan Foundation, said: "It is shocking that there has been no progress reducing poverty in Wales in the last twenty years. "Even worse, more people are in deep poverty than ever before, forced to use food banks, unable to heat their homes, watching every penny. 'The report shows that the root causes are many years of cuts to social security coupled with a severe shortage of decent jobs and affordable housing. The steps taken by the Welsh Government to alleviate poverty are welcome, but there is much more to do. 'As political parties gear up for the next Senedd election, we urge them to commit to practical, deliverable action to end poverty." Chris Birt, JRF Associate Director for Scotland, Wales, and Northern Ireland said: "Deepening poverty and a child poverty rate of almost one in three in Wales should be a stark wake up call to both the UK Government and all parties aspiring to form the next Welsh Government. "The Senedd has significant powers that contribute to improving people in Wales's standard of living. Driving down costs, better connecting communities, providing affordable housing and breaking down barriers to employment are all things they can do to reduce poverty. 'But the scale of the challenge needs to be met by the scale of the response. The same is of course true of the UK Government. The threadbare social security system is their responsibility, and it drives much hardship. A good place to start reversing that would be casting the two-child limit into history as quickly as possible. 'There is much work to be done by both the Welsh and UK Governments, but the prize is a Wales where people are able to explore their potential and be free from hardship – something that is miles from reality for far too many people today.' In response to the report, the Welsh Government says it recognises that it is a "challenging time" for many children, families and communities in Wales, and is determined to do all it can to prevent people from going into poverty and help those who need support the most. A Welsh Government spokesperson said: "Our commitment is backed by substantial investment of nearly £7bn between 2022-2026 to reduce costs and maximise incomes for Welsh families. "Our child poverty strategy sets out how we will use the levers we have to deliver against our ambitious objectives to support families most in need. "We will continue to call for positive changes in social security policy to tackle child poverty, particularly seeking a commitment to end the two child benefit rule."
South Wales Argus
10-06-2025
- Business
- South Wales Argus
How has the Heads of the Valleys road helped communities?
The Bevan Foundation and the Taxpayers Alliance have come to radically different conclusions on the project. Work concluded in May this year, at an official cost of £1.4bn. The road's dualling of the A465 section was conducted by Welsh Government and cost some £500 million. The complex project ran over budget. The ambitious sections between Gilwern and Brynmawr, running through the deep Clydach Gorge, delayed the project by three years and inflated costs by nearly£150 million. Welsh Think tank The Bevan Foundation, attempting to make sense of the Welsh Government's brake on road building and squaring it with the costs of the mega-investment, concluded the road means yet more investment across the whole area, which is essential to upskill the population and drive growth. In its report, the foundation concluded that much of the poor land and poor built environment needed upgrading, training and skills needs to be led by the Welsh Government and local authorities. By just building a road that has few users in a deindustrialised area, the whole region could be stuck in what economists call the Middle-Income Trap, where countries just reassemble complex goods and add little value and create few high-skilled jobs. Meanwhile, the Taxpayers' Alliance questioned the Welsh Government's whole 'muddled' approach to transport and development. Thay argue it isn't even whether the road cost £1.4 billion or £2 billion, due to a 'dissembling bureaucracy.' They warn Wales needs to learn lessons or it will become saddled with a series of 'sunk cost fallacies.' A spokesman for the group said: "While Welsh taxpayers will be relieved to see roadworks finally completed, they will be aghast at enormous costs and absurd time it has taken to get the project over the line.' Mocking the outcome of a 50mph road after 23 years and a fortune spent, the group said: "Twenty three years and billions spent - upgrading a single stretch of road while essential infrastructure maintenance in other parts of Wales has been ignored! "Ministers in Cardiff need to get their act together and ensure that future projects are kept on time and within budget!" Welsh Government was approached for a comment. They said they will unveil their vision for development of the area surrounding the road network on Thursday, June 12. The Bevan Foundation's report is called A Route to Prosperity.
Scotsman
26-05-2025
- Business
- Scotsman
Readers' Letters: Labour reforms will only harm disabled people's work prospects
The UK Government's plan to slash disability benefits is just wrong, says reader Sign up to our daily newsletter – Regular news stories and round-ups from around Scotland direct to your inbox Sign up Thank you for signing up! Did you know with a Digital Subscription to The Scotsman, you can get unlimited access to the website including our premium content, as well as benefiting from fewer ads, loyalty rewards and much more. Learn More Sorry, there seem to be some issues. Please try again later. Submitting... Last Wednesday Work and Pensions Secretary Liz Kendall insisted the massive cuts to disability benefits she was planning would improve people's lives and get more into work. One of the purposes of the Personal Independence Payment (PiP) which will be affected by the cuts is to help finance the purchase of mobility aids such as wheelchairs and crutches, without which some disabled people would not be able to get into their jobs. It is surely absurd to maintain that slashing this 'lifeline' benefit will improve disabled people's employment prospects! Advertisement Hide Ad Advertisement Hide Ad I wonder if Ms Kendall has had an opportunity to study the recently published report by data experts Policy In Practice and think tank the Bevan Foundation on the likely impact of Labour's planned overhaul of disability benefits and universal credit in Wales? The bottom line is that an estimated £470 million is likely to be 'sucked out' of the Welsh economy and poverty rates in affected households could more than triple (from 24.5 to 78.4 per cent). Liz Kendall MP, Secretary of State for Work and Pensions, has said welfare changes are 'never easy and rarely popular' (Picture:) Dr Steffan Evans of the Bevan Foundation said: 'it is clear that the UK Government's proposed reforms to the benefits system will have a particularly severe impact on poverty in Wales, making life harder for thousands of disabled people.' It is difficult to view Liz Kendall's cuts as anything other than one more austerity measure. How many Labour MPs will have the courage and compassion to vote against them? Alan Woodcock, Dundee Big deal? As details of the UK-EU trade deal become clearer, the UK Government, even by its own admission, has highlighted that the economic gains resulting from it will be marginal. Advertisement Hide Ad Advertisement Hide Ad At a recent meeting of G7 finance ministers in Canada, Chancellor Rachel Reeves claimed the deal would add nearly £9 billion to the UK economy by 2040 and boost trade with the EU as Britain's single biggest trading partner. The UK Government estimates that material changes in areas covered, such as fisheries, food and energy, will increase GDP by 0.2 per cent by 2040. Contrasting with this, the Office for Budget Responsibility estimates Brexit will reduce the UK's long-term GDP by approximately 4 per cent compared to remaining in the EU. The deal shows the UK clearly moving towards a relationship with the EU that is the worst of both worlds, formally sovereign, yet locked in ongoing negotiations and deeply enmeshed in EU frameworks across the entire economy. Moreover, these conditions also mean the UK can't strike a trade deal with the US involving food and agriculture unless there is no trans-shipment of goods, or unless the EU signs a trade deal with the US that solves this issue. Trade deals with the likes of India, US and EU simply limit the immense economic damage of Brexit to the UK economy, rather than bringing any benefits. Alex Orr, Edinburgh Reject zonal pricing We all want lower energy bills in Scotland, but zonal pricing – as advocated by Greg Jackson (Perspective, 23 May) – is no magic solution. On the contrary, it risks causing irreparable harm to the country's economy, growth and jobs. Independent experts warn that zonal will increase bills. Advertisement Hide Ad Advertisement Hide Ad The UK's national pricing system ensures all consumers, regardless of location, pay the same wholesale price. This protects remote communities – like the Highlands and Islands – from disproportionately volatile costs due to their distance from demand centres. Zonal pricing would undermine this fairness. A survey by Fairer Energy Future found only 18 per cent of consumers support zonal pricing, while over 60 per cent believe it would lead to higher bills in many areas. The public sees the risk: a postcode lottery where your bill depends not on usage, but on where you live. If voters wanted regional price differences, the current system could be adapted without the disruption zonal pricing would bring. Ofgem previously blocked changes to transmission charges, which could save the taxpayer billions, and those rules could be reversed. Examples promoted by pro-zonal proponents are not success stories – they are a warning for the Government. In Norway, zonal pricing led to Oslo customers paying up to ten times more than those in the north. This disparity contributed to the government's collapse in 2025. The new administration quickly introduced a national capped price option to restore fairness. In Sweden, zonal price gaps have widened fivefold since 2020. Around Stockholm, customers faced volatile, elevated prices. In 2024, a 30 per cent zonal premium hit southern Sweden. When zonal markets go out of balance, they do so quickly – with sharp, unpredictable spikes in high-demand areas. Advertisement Hide Ad Advertisement Hide Ad The reality is stark: £30 billion in renewable investment and 8,000 Scottish jobs are at risk if zonal pricing is introduced. It would also derail Labour's ambitions for green jobs in Scotland, where floating wind represents a major growth opportunity. Instead of breaking the system apart, we should modernise it with practical, fairer and greener steps – getting us to clean power by 2030 without the risks zonal pricing brings. Graham Pannell, Fairer Energy Future Unfair to islands 'What went wrong with Calmac under the SNP?' It's a fair question for a non-Scot to ask! I grew up in Ireland with the Mull of Kintrye and Islay in sight. But at age 32 I more fully experienced the glory of that pretty region as a relief GP and the attractive old world flavour of 1990s Calmac. Everything was clean and neat, cheap tea or coffee was decent quality, and civil Calmac staff dished out generous portions of fried food at a fair price. The UK Government spends billions on overseas aid, and hotel rooms for illegal immigrants. So why shave or stunt lifeline services to remote Hebridean islanders? Labour (or the SNP) may be in no hurry to answer this query! James Hardy, Belfast Write to The Scotsman Advertisement Hide Ad Advertisement Hide Ad
