Child benefit reform could plunge millions into debt

Millions of families may lose out financially if drastic new reforms of the child benefit system go through as planned.

According to the Times, Frank Field, the government's new poverty advisor, is considering ending the payments to more than seven million families when their children reach 13.

The measures could save the government more than three billion pounds a year, but cost families with two children up to £10,000 in lost payments.
Campaigners have warned that the move could plunge struggling families into further financial turmoil.

Kevin Still, director of Atlantic Financial Management, says: "Meddling with child benefits can have serious consequences to many households, especially those that live on very tight budgets.

"There seem to be some very blinkered views being expressed, especially around assessing people's entitlements based upon household income. Many middle class families already have serious debt problems and they prop up a substantial part of the economy."

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