Marriage tax breaks would alleviate child poverty, Mr Duncan Smith

The problem about relative poverty is precisely its relativity. The child poverty index, which measures whether a family’s income is below 60 per cent of the average, is a case in point; when incomes go down, bingo, so does child poverty. Which means that one sure fire if controversial way to improve the Government’s child poverty record would be to drive down everyone’s earnings. Iain Duncan Smith, Work and Pensions Secretary, made just this point yesterday when he made a speech about whether the definition should be rather wider than it is.

‘As we saw last year,’ he observed, ‘when the child poverty level dropped by two per cent – a fall in the median income may lift a family out of poverty on paper. Yet at a closer look, real incomes did not rise and absolute poverty was unchanged. For the 300,000 children no longer in poverty according to the official statistics, life was no different.’