CHILD poverty costs the region £226 million a year, according to new research by a specialist charity.

Reduced tax receipts and earnings for people who have grown up in poverty, benefit payments to those in need and the cost of direct anti-poverty services all contribute to the bill, calculated by the Child Poverty Action Group (CPAG).

The charity is releasing the figures this week to coincide with the launch of a new report aimed at helping councils to address the issue.

Alison Garnham, chief executive of the CPAG, said: “Many residents will be shocked to hear that so many local children are living in poverty. We hope that local campaigners will be able to use our report to encourage their local councillors to do more to end child poverty in their area and support those families facing the greatest hardship.”

The charity provided figures estimating the cost of child poverty in each council area in Britain, based on population and the local child poverty rate. It said the annual cost was £42 million in York, £77 million in East Yorkshire, £19 million in Selby, £22 million in Harrogate, £14 million in Hambleton, £9 million in Ryedale and £43 million in Scarborough.

Ms Garnham said much of the cost of addressing child poverty fell to councils, but she said: “The good news is that reducing child poverty benefits everyone by cutting the costs to local authority services and boosting the local economy through improved skills and qualifications for school leavers.”

City of York Council leader James Alexander said: “We know that, despite the city’s perceived affluence, poverty is a reality for around 14,000 people living in York. In fact our figures suggest that the number of children and young people living in poverty in the city is even higher than that quoted by the Child Poverty Action Group.

“The financial impact of this is, of course, significant, but it is the lasting impact that childhood poverty has on young people’s life chances that is so devastating.

“The new York Poverty Action Group, which includes The Press, has made a commitment to do everything in its power to ensure that poverty is eradicated in York.

‘‘We hope that our vision for a poverty-free York, will go some way to making this happen.”

The CPAG today published its latest report, entitled Local Authorities And Child Poverty: Balancing Threats And Opportunities.

The report says most councils the charity spoke to were aware that poverty came with long-term costs and that reducing child poverty could produce long-term savings, but it said it was difficult to convince councillors of the potential savings that could be made by tackling child poverty.