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UK Launches Child Poverty Plan, Ending Two-Child Benefit Cap in April

Ministers project the largest single‑parliament reduction in child poverty on record by 2030.

Overview

  • The government published its strategy and said the combined measures will lift about 550,000 children out of poverty by 2030.
  • Scrapping the two‑child benefit cap from April is the central measure, estimated to lift around 450,000 children at a cost of £3bn.
  • Parents on universal credit returning from parental leave will become eligible for upfront childcare costs, with support available for childcare for all their children.
  • An £8m pilot across 20 councils aims to stop unlawful B&B stays beyond six weeks, with a new legal duty for councils to notify schools, GPs and health visitors when children enter temporary accommodation and work with the NHS to avoid discharging newborns to B&Bs.
  • The plan includes acting on CMA recommendations to reduce baby formula costs and links to expanded free meals and a £950m housing fund, while charities welcome progress but criticise the absence of binding long‑term targets and call for wider housing and benefit reforms.