A new report from Gingerbread suggests that working single parent families will be amongst the hardest people hit by the Summer Budget reforms.
According to research that was conducted by the Institute for Public Policy Research on behalf of Gingerbread, 65% of the UK’s 2 million single parents will be financially worse off.
It is estimated on average single parent households will lose £1,300 (or 7.6%) of their income by 2020/2021, due to tax, pay and welfare reforms announced earlier this year by the Government. And in the poorest fifth of single parent households on average £1,610 (or 13.4%) of their income will be lost by 2020/2021.
With tax credit changes set to be implemented in April 2016, one in four single parents will face an instant drop in their income and almost 50% of single parents relying on in-work tax credits will also lose out.