Government told to scrap two-child benefit cap by charities

Scrapping the two-child benefit limit is the most cost-effective way to reduce child poverty, charities have argued in a letter to the Prime Minister. Failing to scrap the limit could put child poverty at its highest level since records began by the end of this parliament, groups including Barnardo’s, Save the Children UK and Citizens Advice warned. Charities have been ramping up pressure on the Government to ditch the benefits restriction as part of its new child poverty plan.

The strategy is due to be published this spring, although the End Child Poverty Coalition has said it believes the document might not come until June. (Image: Ben Birchall/PA Wire) The letter urges Sir Keir Starmer to “direct the full weight of your government into reducing child poverty with urgency”. It reads: “Scrapping the two-child limit is by far the most cost-effective way to reduce child poverty.



“It would lift 350,000 children out of poverty overnight and result in 700,000 children living in less deep poverty. “If it is not scrapped, the stark reality is that child poverty will be significantly higher at the end of this parliament than when the government took office, making this the first time a Labour government would leave such a legacy, and the number of children living in poverty will be at its highest since records began.” The Child Poverty Action Group, which signed the letter, estimates that the number of children in poverty will jump from 4.

5 million currently to 4.8 million by 2029 unless urgent action is taken. The two-child limit was first announced in 2015 by the Conservatives and came into effect on April 6 2017.

It restricts child tax credit and universal credit (UC) to the first two children in most households. While it applies across the UK, the Scottish Government has pledged to mitigate the policy’s impacts for people there, although payments for this are not expected to begin until 2026. Education Secretary Bridget Phillipson told ITV’s Good Morning Britain “nothing’s off the table” in the UK Government’s plan to tackle child poverty.

Ms Phillipson and Work and Pensions Secretary Liz Kendall are leading a child poverty taskforce “and we are looking at all areas”, she said. Asked if that meant lifting the two-child cap had not been ruled out, Ms Phillipson said: “We’re looking at every option, including social security measures, absolutely. “But there are a range of ways, alongside that, we know that we can tackle child poverty.

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