Overview
- Chancellor Rachel Reeves and Prime Minister Keir Starmer have indicated the limit will be removed, with formal confirmation expected in the Budget on 26 November.
- Reports say ministers dropped a potential taper in favor of full abolition after pressure within Labour, drawing objections from Conservatives who argue the cap supports fairness.
- Cost estimates in the coverage put the price of ending the policy at roughly £3–£3.5 billion a year.
- Analysts and charities estimate that abolishing the rule could lift hundreds of thousands of children out of poverty, with around 1.5–1.7 million currently affected.
- Voices from charities, celebrities and affected parents describe real‑world hardship, including a Welsh family who could gain about £10,000 a year and a working single mother who says the cap fuels in‑work poverty.