Displaying items by tag: twochild benefit cap

Leading UK charities are urging Keir Starmer to urgently scrap the two-child benefit cap, warning it could push child poverty to record levels by the end of this parliament. A letter signed by organisations such as Barnardo’s, Save the Children, and Citizens Advice has told the Government that removing the cap is the most cost-effective measure to reduce poverty. The two-child limit, introduced in 2017, restricts child tax credits and universal credit to the first two children in most households. Critics argue this penalises larger families and disproportionately affects low-income homes. The End Child Poverty Coalition predicts the long-awaited child poverty strategy may not appear until June, while the Child Poverty Action Group estimates child poverty could rise from 4.5 million to 4.8 million children by 2029. Scrapping the limit could lift 350,000 children out of poverty overnight and lessen the severity for 700,000 more. While the Scottish government has pledged to mitigate the policy, nationwide reform remains uncertain and urgently needed.