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Gordon Brown Demands Total Abolition of Two-Child Benefit Limit as Budget Decision Nears

The chancellor now faces a choice on whether to abolish, relax or taper the cap as officials finalise the child poverty strategy before the 26 November Budget.

Overview

  • In a London speech marking CPAG’s 60th anniversary, Gordon Brown called the policy a harmful prejudice and urged funding repeal through higher gambling levies projected to raise about £3.2 billion.
  • HM Treasury is reported to be modelling options including lifting support to three or four children or introducing a taper, with full abolition still under consideration.
  • Official figures show 4.45 million children were in relative low income to March 2024, and campaigners estimate the limit pushes roughly 109 children into poverty each day.
  • Think tanks estimate scrapping the limit would cost roughly £3–£3.5 billion over the parliament and could lift up to around 500,000 children out of poverty.
  • The debate has intensified after George Osborne defended the cap to MPs, as polling shows 59% favour keeping it but strong support for higher gambling levies to reduce child poverty.