The new government’s first Budget is just over a week away. Gingerbread are asking for some key changes to improve the lives of the UK’s 2 million single-parent households, many of whom are struggling financially.

The autumn Budget will be announced on 30^th October. It’s an opportunity for the Chancellor of the Exchequer, Rachel Reeves, to update Parliament and the public on the state of the UK economy. She’ll also announce any further economic plans for 2024-25 and beyond.  Gingerbread, and our single-parent campaigners group, have already submitted our Budget representation to the Treasury.  We’re asking the Chancellor to:

1. Ensure Universal Credit (UC) is set at a level that covers the costs of essentials for single parents, and either review or abolish sanctions
2. Remove the 2-child limit on benefits, which could lift 300,000 children out of poverty
3. Take more action on childcare, particularly for single parents who are studying or retraining, and create incentives for employers to create more flexible and part-time roles.

Why we’re asking for these changes

Single parent campaigner Nicola explains how the threat of Universal Credit sanctions affects her:

‘Last week during a work meeting, I got a Universal Credit message notification. My hands started to shake, and I couldn’t concentrate on the call. When I logged into my UC account, I found a link to a training course. My Work Coach had added a jaunty ‘saw this and thought of you’, as if she’d found a book I might like.

The threat of sanctions hangs over every day. When I pass the local foodbank, I imagine the awkward conversation when I turn up for the first time.  Would ‘I got sanctioned’ be enough? Or is it like prison: head down, tight-lipped, get out quickly with your tinned vegetables? I squirrel money everywhere – overpaying my utility bill, hoarding payments to my Healthy Start card and never spending a Tesco voucher. I’m not being paranoid. My Work Coach threatens sanctions at every appointment.

‘I want to see a Universal Credit system that supports my work, instead of hobbling it’ 

Single-parent campaigner Nicola

I’m trapped – both by the system and the way society works. There’s a limit on how much childcare costs can be covered by Universal Credit, so I can’t afford to work extra hours. Raising children still falls disproportionately to women, and there simply aren’t enough flexible jobs out there.  But lifting the threat of sanctions would be like bringing the sun from behind the clouds.

Universal Credit is currently at its lowest-ever value compared to average earnings. That makes sanctions even more biting for the 44% of children in single-parent families living in poverty, and for those, like mine, treading the tightrope over it.

Nicola also wants to see an end to the 2-child benefit cap. She says:

‘This budget is an opportunity for the government to support single-parent families and do the best for their children.

Abolishing the 2-child limit would be the most cost-effective way of reducing child poverty.  Research shows it would lift 250,000 children out of poverty, and a further 850,000 children would be in less deep poverty.’ 

The need for flexible work

‘Flexible, part-time employment is the dream of many single parents,’ says Nicola. ‘But there are so few flexible roles that fit around family responsibilities. This budget could incentivise employers to provide more flexibility in the workplace. It could also tackle the insecurity that many single parents feel at work, fearful that taking time off for a sick child will lead to losing their job.

We encourage the government to establish a support fund for employers to facilitate single parents’ time away from work when needed. These measures are not only investments in the financial stability and wellbeing of single parents, but they begin to build a world where our children might flourish.’

More support with childcare

Parents in education or training are not eligible for the early years childcare which is free for parents in work. Training and studying are a challenge for anyone with young children. But this rule makes it very difficult for single parents – who may not have a supportive ex-partner to help with childcare – to improve their situation. Many single parents tell us that they want to train or retrain – not just to access well paid, more flexible jobs, but also to be a role model for their children.

This lack of childcare provision has a knock-on effect for a range of sectors – in particular the healthcare sector, which is currently facing issues with recruitment and retention of staff. This Government should commit to making those in training or education to be eligible to claim the 30-hours Early Years entitlement.

This Budget provides an opportunity for the new Government to signal to single parents like Nicola that they’re committed to improving things.