Overview

• In an August 16 interview, Lord Kinnock said removing the cap could mean roughly 600,000 fewer children living in poverty.
• He suggested funding the change through higher taxes on assets held by the wealthiest 1%, including a 2% levy on fortunes exceeding £10 million.
• Official figures earlier this year showed 4.5 million children in poverty and recent data indicated nearly 1.7 million are now affected by the two-child limit.
• Labour ministers and the government’s child poverty taskforce have confirmed that full repeal of the cap remains under review ahead of the autumn Budget.
• Kinnock acknowledged that any abolition may need to be phased to manage the immediate revenue implications.