Millions of children in the UK could be sentenced to a lifetime of poverty, unless there’s a “dramatic change of course” in tackling the issue.

That’s the warning from the head of Save The Children, which reveals in a new report that a record five million children will be trapped in poverty by 2020. The charity says youngsters have paid the highest price in the recession, with families being hit by a triple whammy of years of flat wages, benefit cuts and the rising cost of living.

Families have also been hit by food prices rising by 19 per cent more than the general price level of other goods between 2007 and 2011, and soaring childcare costs, with the price of nursery places for under-twos rising by 77 per cent since 2003.

Despite a cross-party commitment to end child poverty by 2020, new projections show the numbers living in poverty could increase by 1.4 million by then – a rise of 41 per cent on the 3.5 million children currently living in poverty, claims the report, A Fair Start For Every Child.

Save The Children chief executive Justin Forsyth said: “We’re increasingly worried that unless there is a dramatic change of course, we’re at risk of writing off the future of millions of British children, giving them an unfair start in life.

“This isn’t just a question of statistics, we see families through our programmes around the UK who are really struggling.

“Millions of children in the UK are being left behind – sentenced to a lifetime of poverty. Far too many of our children are living in cold and damp homes, without healthy food, with parents who can see no end to their situation.

“If we ignore the rising toll of poverty, we are blighting the future of a further 1.4 million children. In one of the world's richest countries there is simply no excuse.”

The charity’s estimate is based on work by Landman Economics adding projected future social security cuts, to existing Institute of Fiscal Studies estimates.

The report claims poverty in childhood increases the chances of low attainment, with only a third of the poorest children going on to achieve five good GCSEs, and the same number going on to university.

Mr Forsyth added: “The current all-party commitments to social security cuts in the next Parliament, combined with underlying labour market trends and inflation, mean no party has a coherent plan to avoid this crisis.

“Our political class is sleepwalking towards the highest levels of child poverty since records began, while promising to eradicate it completely. It’s time our politicians faced the scale of the crisis and each party set out a concrete plan to get us back on track.”

The charity is calling for every child to have access to high-quality, affordable childcare, a minimum income guarantee for families with children under five, and a national mission for all children to be reading well by the time they’re 11.

While showing that child poverty levels fell between 1998 and 2004, the report demonstrates that they stalled thereafter – even before the financial crisis. It sets out that two-thirds of children in poverty now live in working households, a rise of 12 per cent, and the UK now has one of the highest rates of low pay in the developed world.

In a national survey of 4,000 parents on a range of incomes, Save The Children found that 50 per cent of low-income families have seen their incomes decrease in the last five years. Around 70 per cent found it difficult to meet payments, with more than 40per cent falling into debt.

For the past year, Bradford Metropolitan Food Bank has been distributing more than 800 food parcels a month. During its first six years, from 2004 to 2010, the food bank handed out 3,400 food bags, whereas in the past four years, including an estimate for the rest of this year, the total is 22,650.

Founder Lashman Singh said the rising cost of living, redundancy and benefit cuts have had a significant impact on rising numbers of families using food banks.

“People have been having to wait while their benefits were sorted out, and struggling to get by in the meantime,” he said. “We’ve also had an influx of Eastern European migrants, who are making up large numbers at places like Bradford Day Shelter. Many come here under false expectations of work, and end up destitute.”

A Government spokesman said: “The Government is committed to ending child poverty by tackling its root causes as part of our long-term economic plan. Our reforms will improve the lives of some of the poorest families in our communities by promoting work and helping people to lift themselves out of poverty”

He added that a rise in employment means 100,000 fewer children are living in “workless poor families”, while the new Universal Credit benefit system will “make around three million households better off and lift up to 300,000 children out of poverty”.