Northern Ireland’s Finance Minister has called on the government to use the upcoming Autumn Budget to increase support for workers and families.
Focusing more specifically on childcare, Finance Minister John O’Dowd has urged the Chief Secretary to the Treasury to consider improvements to the Tax-Free Childcare scheme, outlining how important affordable childcare is to keeping parents in work and driving economic growth. Alongside this call, O’Dowd is urging the Treasury to implement a 10% increase on the tax-free childcare support rate, as well as conducting a review into the £2000 annual cap per child.
Echoing the sentiments of many nationwide, O’Dowd has also requested that the two-child benefit cap be removed, stating that this is placing increased hardship on families.
Alongside calls to support families through the Autumn Budget, the Finance Minister has also called on the Treasury to ‘reconsider the funding profile’ related to local growth funding. Commenting on this, he said:
“Local Growth Funding has the potential to support people into employment, education, and training, while also helping local businesses – all of which are essential for driving economic growth.
“However, the significant reduction in the Resource budget for this funding will severely impact the community and voluntary sector’s ability to deliver vital services, particularly for those furthest from the labour market. The Assembly has sent a clear and united message that we stand with the Community and Voluntary sector and that there must be an urgent change in approach.
“I have pressed the Chief Secretary to work with the Ministry of Housing, Communities and Local Government to reconsider the funding profile, which is currently heavily weighted towards Capital. Without a change in approach, the British Government is putting frontline jobs, vital services and projects and programmes that support those furthest removed from the labour market getting back into work at risk.”
The 2025 Autumn Budget will be delivered by Chancellor Rachel Reeves on the 26th November, with many organisations across the sector submitting their proposals and requests for how the government can make change for the better. Among these submissions is that of the Local Government Association, which has requested that the government allow increased fiscal devolution, as well as providing a roadmap for devolution nationwide.
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