1.6 million children now affected by two-child benefit cap as Starmer faces pressure to scrap it | Politics News

A total of 1.6 million children are now affected by the two-child benefit cap, as the Labor government faces pressure to lift it.

The conservative government introduced the cap, which prevents parents from claiming child tax credit or Universal Credit for more than two children born after April 2017.

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This means families cannot claim around £3,200 a year per extra child, the Resolution Foundation said.

The organization’s economist Lalitha Try said there was little evidence that the policy had achieved its goals of increasing employment, but there was “clear evidence” of financial losses for families.

“Unless the policy is abolished, the majority of children in large families will fall below the poverty line by the end of the parliament,” he added. “Any new strategy against child poverty must find funds to eliminate it.”

The latest government statistics show that a total of 1.6 million children were affected by the cap in April.

Of those 1.6 million, 1.3 million were from families claiming Universal Credit, with low or no income, and 270,000 were claiming child tax credit, which is available to everyone.

The number of affected families increased from 71,000 in April 2017 to 450,000 in April this year.

Sir Keir Starmer has previously said the lid should be scrapped, but it turned around last yearsaying he would not give up if Labor gained power due to the state of the finances they inherited.

He has faced pressure to eliminate the cap within his party, including former Labor Prime Minister Gordon Brownwho said that it is about “condemning children to poverty”.

Former Conservative Home Secretary Suella Braverman surprised many when she also spoke out in opposition to the policy.

Labor MP Kim Johnson is now pushing for Sir Keir to include the scrapping of the cap in next week’s King’s Speech.

Johnson told Sky News: “My constituency of Liverpool Riverside is the most deprived in the country. Almost half the children in my constituency now live in poverty.

“The families I represent simply cannot wait any longer. The Labor Party has a huge task to undo 14 years of Conservative decline and will have to make difficult decisions about what to prioritize.

“But I would like to see lifting the two-child benefit cap be a priority for the new government, as the most cost-effective and most impactful way to immediately alleviate child poverty in communities like mine across the country.

“This policy has broad support across the political spectrum and I can think of no issue that is more urgent.”

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The Lib Dems, SNP and Plaid Cymru have also called for the cap to be abolished.

Work and Pensions Secretary Liz Kendall said: “Too many children are growing up in poverty and this is a stain on our society.

“We will work to give every child the best start in life, delivering on our manifesto commitment to implement an ambitious strategy to reduce child poverty.

“I will be holding critical meetings with charities and experts next week to begin this urgent work.”

Families receive £25.60 a week for the eldest or only child and £16.95 for the second child, but nothing for more children.

Child tax credit is available to anyone, however if one parent earns more than £60,000 a year they will have to pay a charge, and if one of them earns £80,000 or more the charge will be the same as child benefit, therefore the majority do not claim it.