Keir Starmer has suggested that the two-child benefit limit might be removed during the upcoming Budget announcement. The Prime Minister emphasized his commitment to reducing child poverty, currently affecting 4.5 million children. He assured that a range of initiatives will be introduced to address this issue when the Chancellor presents the Budget on November 26.

This development follows Rachel Reeves’ indication that the two-child benefit limit, restricting Universal Credit to the first two children in a family, is likely to be eliminated. During an interview on ITV’s Lorraine program, Starmer affirmed his determination to combat child poverty, citing the previous achievements of the Labour government. He expressed personal dedication to this cause and hinted at imminent measures to be revealed.

While existing measures like free school meals and childcare services are in place, Starmer stressed the need for further action. Regarding the two-child benefit limit, he suggested that significant steps would be taken to alleviate child poverty. The government, under Starmer, has been reviewing the policy introduced by the Conservatives in 2017, with reports indicating a potential shift towards a three-child benefit limit.

Reeves advocated for complete abolition of the limit, aligning with the stance of former Labour Prime Minister Gordon Brown. She argued against penalizing children in larger families and emphasized the importance of reducing child poverty. The Chancellor highlighted the economic costs of unchecked child poverty, emphasizing the need to support children regardless of their parents’ financial circumstances.

In response to the Chancellor’s remarks, a Treasury source indicated a clear intent to address child poverty. The government’s commitment to tackling this issue echoes the achievements of the previous Labour administration.