Overview
- The Department for Work and Pensions' final publication on Wednesday, July 8, shows 495,990 households were affected by the two‑child limit in April 2026 and that 436,780 of 478,120 households not receiving the child element are expected to see increases in their Universal Credit payments.
- DWP data show about 1.75 million children lived in affected households and roughly 1.695 million children were in homes not receiving some child element because of the cap.
- The law change took effect for assessment periods beginning on or after 6 April 2026 when the government formally removed the two‑child restriction on Universal Credit and Child Tax Credit.
- The figures show most affected households (58%) include at least one person in work and the impact is uneven across the country with higher concentrations in parts of Greater Manchester.
- The government estimates the change could lift 450,000 children out of poverty by 2029/30 but official poverty statistics will only show the effect with a lag when the 2026/27 data are published in 2028, and charities have said the cap previously drove hardship.