Six Labour Members of Parliament who were previously suspended due to their opposition to the two-child benefit limit have united to urge Rachel Reeves to completely eliminate the “heartless” policy. They believe that the Labour government cannot defend the policy and that abolishing it would demonstrate a genuine commitment to addressing the financial hardships faced by millions of families.
In a joint letter to the Chancellor ahead of the upcoming Budget, the MPs, including John McDonnell, Rebecca Long-Bailey, Ian Byrne, Apsana Begum, Richard Burgon, and Imran Hussain, emphasized that the two-child benefit limit unfairly penalizes children for circumstances beyond their control. They highlighted the detrimental impact of the policy, stating that over 100 children fall into poverty every day due to this restriction.
The MPs asserted that eliminating the two-child limit would be the most significant and cost-effective means for the Labour Government to alleviate child poverty. They are urging for the announcement of the full abolition of the policy in the November Budget.
The push for change coincides with Keir Starmer and Rachel Reeves considering revisions to the policy implemented by former Chancellor George Osborne nearly ten years ago. This policy restricts Child Tax Credits and Universal Credit to the first two children in a family and has been criticized by charities for perpetuating child poverty.
As the government prepares to release its child poverty review alongside the Budget, the Resolution Foundation has cautioned that partial measures, such as transitioning to a three-child limit or reducing benefits for additional children, would still result in heightened child poverty rates by the end of the decade.
Andy Burnham, the Mayor of Greater Manchester, has also voiced support for scrapping the policy and criticized the decision to withdraw party whip from MPs who opposed the government on this issue last summer. He emphasized that in past Labour governments, like the one under Brown and Blair, individuals were not penalized for taking principled stands.
Overall, there is increasing pressure on the government to address the two-child benefit limit, with calls for significant reforms to combat child poverty effectively.
