Investing in the Future: The Role of Child Cash Support in Mitigating Child Poverty

Ana Agundez Garcia (), Kateryna Bornukova, Adrian Hernandez and Fidel Picos
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Ana Agundez Garcia: European Commission - JRC, https://joint-research-centre.ec.europa.eu/index_en

No JRC138408, JRC Research Reports from Joint Research Centre

Abstract: Child cash support ranges from 3.2% to 12% of GDP per capita across the 27 countries of the European Union. Different policy instruments are used through the tax and benefit systems to achieve family support objectives. Child cash support is a powerful tool in the fight against child poverty: some EU countries achieve reductions in child at-risk-of-poverty (AROP) rate by as much as 16 percentage points thanks to child cash support. Universal benefits ensure broad coverage, while means-tested benefits are better targeted. However, existing means-tested benefits alone do not provide sufficient support to lift families with children above the poverty line. A combination of universal and means-tested benefits would ensure coverage, while also directing additional resources to those most in need.

Date: 2024-07
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