Scrap two-child benefit cap to end child poverty, Labour told: ‘Good intentions are not enough’

The new Labour government has launched a taskforce to work towards ending child poverty, but charities have warned that “good intentions are not enough” as they ramp up calls for the two-child benefit cap to be scrapped.

Keir Starmer’s party has promised an “ambitious” plan for ending child poverty, but it has so far refused to commit to removing the two-child limit, which is also referred to as the two-child benefit cap and has been described as “one of the cruellest welfare policies of the past decade”.

It means that families who have a third child or subsequent children born after April 2017 are denied up to £3,500 a year compared with those whose children were born sooner.

• 1.6 million children at risk of ‘losing their life chances’ because of ‘cruel’ two-child benefit limit
• How UK’s two-child benefit cap is trapping kids in poverty and pushing families to ‘breaking point’

Prime minister Starmer said: “For too long children have been left behind, and no decisive action has been taken to address the root causes of poverty. This is completely unacceptable – no child should be left hungry, cold or have their future held back.

“That’s why we’re prioritising work on an ambitious child poverty strategy and my ministers will leave no stone unturned to give every child the very best start at life.”

Starmer has appointed Liz Kendall, the work and pensions secretary, and Bridget Phillipson, the education secretary, as joint leads of the taskforce. It will bring together expert officials from across government as well as external experts to consider the root causes of child poverty.

Kendall met with leading organisations on including Save the Children, Action for Children, Barnados, TUC, End Child Poverty Coalition, Resolution Foundation and UNICEF to invite their views on how they can shape the strategy.

Dan Paskins, executive director of policy, advocacy and campaigns at Save the Children UK, said: “We welcome the announcement of a child poverty taskforce today as a signal of intent towards improving the lives of 4.3 million children living in poverty.”

But he added: “Good intentions are not enough. Children growing up in poverty need action and no child poverty strategy will be credible unless the two-child limit is scrapped at the Autumn Budget.

“With 1.6 million children impacted by this cruel and unfair policy, the two-child-limit punishes children just for having siblings. Scrapping it could immediately lift half a million children out of poverty and would be the first major step to deliver on the aims of the child poverty taskforce.”

The taskforce will consider how household income, employment, housing, children’s health, childcare and education could improve children’s experiences and chances at life.

Kendall said: “Too many children are growing up in poverty, blighting their lives now and damaging their future prospects. Developing an ambitious strategy to tackle the problem is vital and urgent work which starts today. We will turn the tide on rising poverty levels, so that every child no matter where they come from has the best start in life.”

Paul Carberry, chief executive at Action for Children, who met with Kendall, said: “It’s right that the new taskforce and child poverty unit works across government to look at the wider drivers and solutions to child poverty.

“This should include breaking down the barriers to work many parents face and investing in social security. A strategy for tackling child poverty must start with abolishing the cruel and unnecessary two-child limit.”

Charities estimate that scrapping the two-child benefit cap would lift 300,000 children out of poverty, and 700,000 children would be in less deep poverty.

Alison Garnham, chief executive of Child Poverty Action Group, said: “The taskforce is a welcome first step towards fulfilling the government’s pledge to bring in an ambitious child poverty strategy.  

“But with a record number of kids in poverty now, scrapping the two-child limit on benefits has to happen in the government’s first budget.  The two-child limit is driving up child poverty more than any other policy, children need it to be removed as a priority.”

Joanna Rea, director of advocacy for the UK Committee for UNICEF (UNICEF UK) said: “This is the moment to start making the UK one of the best places to raise a child and reverse years of underinvestment and austerity – which have contributed to the UK having the highest increase in child poverty of any rich country.  

“The first step to lifting babies and young children out of poverty is to immediately abolish the two-child limit on universal credit and end the benefit cap. It is during a child’s early years that we have the best chance to set them up to succeed in life, and this is why this child poverty strategy needs to be a national priority.”

Child poverty has surged by 700,000 since 2010, with over four million children now growing up in a low-income family.

Lynn Perry, chief executive of Barnardo’s, said: “Tackling child poverty is one of the most critical challenges facing the new government, so I’m pleased to see quick action being taken with the establishment of a ministerial taskforce. 

“This approach is necessary as child poverty has a devastating impact on so many parts of children’s lives, from education to mental and physical health.

“We look forward to working with the government as the taskforce takes shape. We also urge the government to commit to financial support for these measures – including, as a start, calling for an end to the unfair two-child benefit cap.”

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