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Ministers considering scrapping two-child benefit cap, education secretary says

  • Labour ministers, including Education Secretary Bridget Phillipson, have confirmed they are considering scrapping the two-child benefit cap introduced in 2017 by the previous Conservative government.
  • This policy limits benefit payments to families for only two children, and pressure to remove it has grown amid delayed child poverty strategy announcements and calls from charities.
  • Phillipson noted the policy pulls more than 100 children into poverty daily and emphasized that removing the cap forms part of a wider strategy to reduce child poverty despite high costs.
  • She stated that the option remains under consideration and admitted that reversing the decision presents significant challenges, requires substantial funding, and must be handled carefully.
  • The government views cutting child poverty as a moral mission and aims to ensure background does not determine a child's success, while balancing fiscal responsibility and policy costs.
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Financial Times broke the news in London, United Kingdom on Monday, May 26, 2025.
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