According to the Child Poverty Action Group (CPAG), which is behind the analysis, 10,000 children have been pulled into poverty by the two-child limit since the Government came into power, which is equivalent to 109 children every day since 5 July.
The two-child limit denies child allowances in universal credit (UC) and tax credits worth up to £3,455 per year to third or subsequent children born after April 2017.
CPAG’s calculation is based upon underlying data from the official Households Below Average Income statistics.
It is now renewing its call on the Government to abolish the two-child benefits cap in the upcoming Budget on 30 October, claiming it is the most ‘cost-effective’ way to stop more children being pulled into poverty.
Chief executive of Child Poverty Action Group, Alison Garnham, said, ‘The clock is ticking while child poverty rises – and the two-child limit is the key driver of the increase. Scrapping it is the most cost-effective way to stop more kids being pulled into poverty on the Government’s watch. We welcome the Government’s Child Poverty Taskforce but the damage grows every day - the policy must be abolished in the upcoming Budget.’
Talking about the impact of the cap, one working parent in a couple with three children said, ‘[The two-child limit] means my youngest doesn't enjoy the same things as my other two children did. E.g. swimming, baby groups. Can't go to farms or walks in the forest as we don't have spare money for treats.’
A single parent of three children, not working, commented, ‘It [my third pregnancy] was a high risk pregnancy, yet he was born – a miracle baby, but in the eyes of the government and according to this policy, he doesn’t exist.’
