Christian charity CARE has called for fundamental tax reform to support families, warning that the Budget’s measures offer too little help to parents facing financial pressures.
Responding to Wednesday’s announcements, the charity welcomed additional support for self-employed fathers but said more ambitious changes were needed to recognise the contribution families make to national life.
Caroline Ansell, CARE’s director of advocacy and policy, said supporting parents and removing financial obstacles to having children should be central to the country’s economic priorities.
“A strong society supports families and removes financial barriers that prevent people having children,” she said, adding that families have a "vital place" in national life.
While some households will welcome measures offering financial breathing space amid the cost of living, Ansell questioned whether they go far enough.
“But realistically, these amount to very little during the storms that the Chancellor described,” she said.
“What is really needed is far more radical.”
CARE argues that the existing tax system fails to give families adequate support. It is preparing proposals for reform, due to be published in early 2027.
“For years, CARE has championed the need for fundamental reforms to our tax system because right now, the way tax works in this country punishes rather than protects families,” Ansell said.
She acknowledged the difficult economic circumstances surrounding the Budget, including shocks resulting from the ongoing war in the Middle East, and suggested that sweeping reform might have been too much to expect at this stage.
Nevertheless, the charity wants political parties to consider broader changes to how families are supported through taxation ahead of the next general election.
“Raising the next generation is mission critical to Britain’s future so tax reform is about national prosperity as well as fairness,” Ansell said.
“Our hope is that political parties across the House will engage with our new report, be bold in their offer to the British public for the next General Election and set out what they will do to make sure our tax system works for everyone.”
Ansell welcomed higher taxes on high-stakes gambling machines and moves to prevent Adult Gaming Centres from benefiting from business rates relief. CARE said the revenue raised should go towards funding treatment and research into gambling addiction.
She also welcomed plans to extend parental pay to eligible self-employed fathers, partners and adopters from April 2029.
