New data: scrapping the two child limit lifts children out of poverty and could boost local economies

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4th April 2025

For immediate release

 

New data: scrapping the two child limit lifts children out of poverty and could boost local economies

              

Sunday 6th April marks eight years since the implementation of the two-child limit to benefit payments. To mark this anniversary the End Child Poverty Coalition have released new two-child limit data which shows:

 

  • Across the UK 1 in 9 children live in a family impacted by the two-child limit, but rates in some parliamentary constituencies are much higher. As high as just over 1 in 4 in the constituency of Leeds South, and 1 in 3 in Hackney North and Stoke Newington.
  • There is a strong positive correlation between the percentage of children living in poverty in constituencies, and the percentage of children impacted by the policy. Where you have high levels of child poverty, you have a higher proportion of families impacted by the policy.
  • Constituencies with the highest number of children impacted would see an increase to their local economy of up to £19 million annually.
  • This is an important issue for Labour held constituencies – out of the 20 worst impacted areas in England, 17 are Labour constituencies. Represented by MPs including;

 

  • Foreign Secretary David Lammy MP (Tottenham ranks 13th with 23% of children impacted)
  • Secretary of State for Justice, Shabana Mahmood MP (Birmingham Ladywood ranks 3rd with 27% of children impacted)
  • Parliamentary Under-Secretary of State (Minister for Safeguarding and Violence Against Women and Girls) Jess Phillips MP (Birmingham Yardley ranks 8th with 25% of children impacted)

 

  • Deprived areas especially could see a huge boost to local economies if the policy was scrapped; Liverpool Riverside, ranked the most deprived constituency in England, could gain £5.2 million annually. Birmingham Ladywood, the fourth most deprived area could gain £16 million annually, and Bradford East – the ninth most deprived area could gain £11 million annually.

 

The two-child limit to benefit payments is a cruel policy which pushes families into poverty. It deprives families who claim benefit payments of the child element of this, if their third child was born after April 2017. 1 in every 9 children in the UK lives in a home which has benefit payments reduced by this policy.

 

Joseph Howes, CEO of Buttle UK and Chair of the End Child Poverty Coalition said;

 

“Scrapping the two-child limit is a crucial first step to address rising child poverty across the UK. By doing this the government could also see a boost to local economies, targeting some of the most deprived areas of the country. We don’t want to see another year of families suffering as a result of the two-child limit. The government must scrap this policy as part of their soon to be published strategy to tackle child poverty”.

 

 

 

 

 

Rosie, a mother of three children who is impacted by the two-child limit to benefit payments said;

 

“I have found myself relying on credit cards and ‘buy now pay later’ for essential items like bills and fresh food, fruit and vegetables to feed three growing children. My children have missed out on extracurricular activities which inevitably would have had a positive impact on their education, social skills and self-confidence.”

 

 

The new data released today also shows that Cardiff East is the constituency In Wales with the highest percentage of children impacted by the two-child limit. At 17%, just under 1 in 5 children here live in families impacted by the two-child limit. Cardiff East could benefit by £4.5 million annually if the policy was scrapped.

 

Belfast West is the constituency with the highest percentage of children impacted by the two-child limit In Northern Ireland. At 19%, almost 1 in 5 children here live in families impacted by the two-child limit. Belfast West could benefit by £7.5 million annually if the two-child limit was scrapped.

 

Glasgow South West is the constituency with the highest percentage of children impacted by the two-child limit in Scotland. At 17%, just under 1 in 5 children here live in families impacted by the two-child limit. This constituency could benefit by £4 million annually if the policy was scrapped.

 

A copy of the new report ‘At the Limit’ and the full data are available to download here: https://endchildpoverty.org.uk/two_child_limit-2025/

 

 

Notes to editors

 

  1. The End Child Poverty coalition (www.endchildpoverty.org.uk) is made up of over 130 organisations from civic society including children’s charities, child welfare organisations, social justice groups, faith groups, trade unions and others, united in our vision of a UK free of child poverty. Members include Child Poverty Action Group, The Children’s Society, Buttle UK, Gingerbread, Oxfam GB, Action for Children, Trade Unions Congress, Save the Children, and the National Children’s Bureau.

 

  1. You can get in touch with the coalition by emailing rachel@endchildpoverty.org.uk or on 07918 567577.

 

 

 

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