Jewish charities say chancellor’s budget a ‘missed opportunity’

Jewish charities have continued to express disappointment in Chancellor Rachel Reeves’ latest budget, including a lack of new funding for the social care sector.

While the removal of the two-child benefit cap is welcomed—especially by larger Strictly Orthodox families—charity leaders warn that the absence of investment leaves vulnerable people at risk.

Naomi Dickson, chief executive of Norwood, told Jewish News: “This Budget is another missed opportunity for social care. With no plan and no funding to meet rising demand, more families will be left without the vital wraparound support Norwood provides.

“We recently welcomed the Lords’ report on the Autism Act and await long-overdue SEN and autism reforms, but without investment now, charities like ours are being pushed to the brink. Our largely unfunded Children and Family Service is under immense pressure, and rising costs—including the national living wage—are increasingly difficult to absorb in the current fundraising climate.

“The Government must act urgently. Social care cannot keep filling the gaps without putting vulnerable people at risk.”

Paperweight, a charity supporting thousands in the community with complex administrative, financial, legal, and social care challenges, also highlighted the impact of the budget.

The organisation noted that many who once felt financially stable are now just “one paycheck, one crisis, or one life event away from reaching a tipping point.”

These pressures are exacerbated by issues such as housing instability, rising food and living costs, and the continuing freeze on income tax thresholds, which will see vulnerable families paying more in tax year on year.

Paperweight also warned that the increase in the National Living Wage, combined with last year’s rise in employer national insurance contributions, could make jobs even harder to come by for those already out of work.

Bayla Perrin, chief executive of The Paperweight Trust, said: “We used to think vulnerability belonged to a small minority. But today it’s teachers, small business owners, parents, carers, and young professionals calling us for the first time. These are people who have always coped—until suddenly they can’t. This Budget has made clear just how thin the line has become.”

The charity noted that the removal of the two-child cap on the childcare element of Universal Credit and Child Tax Credits, set for April, is a “bright light” for some larger Jewish families.

Meanwhile, Richard Franklin, chief executive of Kisharon Langdon, said:“The Budget offers only limited reassurance for people with learning disabilities, autistic people, and their families, while exposing deep risks for the future of social care.

“Local authorities are already buckling under inadequate central government settlements, making it increasingly unlikely that further increases in the national minimum wage will be fully funded.

“As more providers withdraw from the market, charities like ours—already operating beyond capacity—will face growing pressure. This will heighten anxiety for families and, most importantly, for the people we support.

“We also remain deeply concerned about proposed welfare and benefits reforms. Many of those we support rely on stable financial assistance to live independently and with dignity. Any tightening of eligibility or reduction in disability-related benefits would place intolerable strain on individuals who are already disproportionately impacted by rising living costs.”

Franklin concluded: “This budget represents a missed opportunity to protect and stabilise the services vulnerable people rely on every day.”

Jewish Care had earlier expressed their own disappointment with the budget.

CEO Daniel Carmel-Brown acknowledged that while additional NHS funding was welcome, “the social care sector continues to face rising demand without the support needed to meet it.”

But the Jewish Community Council (JCC)  said it welcomes the Government’s decision, announced in this week’s Budget, to remove the two-child benefit cap.

.Levi Schapiro and  Chana Rapaport of the JCC both expressed their strong support for this long-awaited change, for which the organisation has consistently advocated.

Schapiro stated: “The strictly Orthodox community is the fastest-growing Jewish community in the country, and naturally our families tend to be larger. Having children and raising a family is a fundamental principle in Jewish life and values. Families should not be penalised or discouraged from having children; on the contrary, they should be supported and encouraged by the Government. The estimated £6 billion required to fund the removal of the two-child cap is, in our view, a modest and justified investment in tackling child poverty when compared to other areas of public expenditure and should not be criticised.”