Overview
- Stephen Kinnock said that, as things stand, lifting the two-child cap is not government policy and that details will be left to the Chancellor.
- Lord Neil Kinnock argued that repealing the cap could reduce child poverty by about 600,000 and suggested funding it through a wealth tax on the richest.
- Official parliamentary figures show 71,580 families with five or more children on Universal Credit would each gain at least £18,122.88 annually if the cap were removed.
- Think-tank and Treasury analyses estimate abolishing the cap would cost roughly £3.5 billion a year and lift around half a million children out of poverty.
- Ministers say the final decision will be made by Chancellor Rachel Reeves in her October Budget, with various funding proposals still under review.