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Two-Child Benefit Cap Negatively Affecting Children - Bridgend Mother
Abolishing the cap could cost £3 billion but lift 350,000 children out of poverty across the UK, according to government and charity estimates.
- On Wednesday, Chancellor Rachel Reeves announced she will scrap the two-child benefit cap in the Budget, removing the limit within Universal Credit from April 2026, the Office for Budget Responsibility says.
- In April, The Herald and 23 leading anti-poverty charities pressed Prime Minister Sir Keir Starmer for abolition as government modelling showed tapering would save only around £200 million.
- The Office for Budget Responsibility estimates removing the limit will cost £3 billion in 2029-30 and affect 1.6m children nationally.
- Charities reacted that child-poverty campaigners welcomed the move as vital to protect hundreds of thousands, and UK action may free funds the Scottish Government earmarked for mitigation.
- OBR projections indicate the change will reduce child poverty by 450,000 by 2029-30, while Child Poverty Action Group modelling estimates 350,000 children will be lifted from poverty and 700,000 will face shallower poverty.
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Leaning Left8Leaning Right2Center21Last UpdatedBias Distribution68% Center
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68% Center
L 26%
C 68%
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