Child Action Poverty Group says tax credit increase needs to come now, not next year

The Child Action Poverty Group and the Green Party both say the announcement is short of the recommendations of the Welfare Expert Advisory Group.
The Child Action Poverty Group and the Green Party both say the announcement is short of the recommendations of the Welfare Expert Advisory Group. Photo credit: Image - Getty Images

The Government's tax credit increase announcement has disappointed the Child Action Poverty Group (CAPG) while the Green Party thinks the Government is window dressing the issue.  

The family tax credit will increase between $13 to $15 per week from April next year for families and children in financial distress. 

CAPG spokesperson Susan St John says the announcement is short of the recommendations of the Welfare Expert Advisory Group. 

"Overall, low-income families will be just $5 per child better off in April next year than they would have been without this announcement."

The Green Party agrees, welcoming the income support increases but saying the Government needs to go further. 

"This support announced today will help. But Labour should have gone further and increased income support more quickly, and enough to ensure every family has enough to put food on the table.

"These changes fall far short of what the Welfare Expert Advisory Group recommended, and show a lack of urgency when it comes to lifting families out of poverty."

CAPG spokesperson Janet McAllister says the payment is needed now. 

"Families need a very significant payment well before now, let alone April next year."

The Green Party echoed that urgency. 

"The Government has also chosen to make families wait until April next year before any change comes in, with no immediate relief for families doing it hard during lockdown."

"Despite the fact that rising inflation has compounded the impact of COVID lockdowns and made the situation even harder for thousands of families by driving up the costs of living." 

The Green Party say they've done some digging and think the Government is window dressing the core issue. 

"Once we dig into the details of this announcement it looks like the Government is window dressing. Meanwhile behind the front door are tens of thousands of families struggling to make ends meet." 

The family tax credit will increase by almost $15 per week for the eldest child in a family and any other children $13 per week. The increase will come into effect on April 1 2022.