There is no research supporting the claim that minimum wages reduce the proportion of families living in poverty.

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And anti-poverty campaigners say the government's approach is wrong, as many families living in poverty have someone working full time on low wages.

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Children living in single female-headed families were more than four times as likely to be living in poverty, and six times as likely to be living in deep poverty, than children living in married couple families.

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According to government statistics, there were 3.2 million children living in families with three or more children in 2010-11 and families with more than two children are more likely to be living in poverty based on standard measures of comparative income.

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In addition to rising inequality, Britain's lowly position in the poverty league table is accentuated by its particularly high share of children living in lone parent families and workless households.

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"Most of the families that we're dealing with are not just low-income, but they are living in poverty, " Nares said.

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"We found families living on low incomes experience many of the same poverty-related problems as those faced by those in urban areas, " said Andy James from Barnardo's Cymru.

BBC: Country