Abolishing the two-child limit is, by far, the most cost-effective way of reducing child poverty, and if done this year will transform the lives of millions of children and families by the end of this parliament.
The latest poverty statistics show that in 2023/24 there were a record 4.5 million children in relative poverty (after housing costs), a rise from 4.3 million in 2022/23. This is 31 per cent of children.
On Thursday 21 March, the annual Households Below Average Income (HBAI) report will be released by the Department for Work and Pensions. Estimates are provided for average incomes, income inequality, and for the number and percentage of people living in poverty. The statistics are the UK’s official source of poverty estimates and, with a larger sample size than other surveys, are the main source of data on household and individual incomes.
Our pre-Budget briefing details how best to invest financial support in children to reduce child poverty and give every child the chance to fulfil their potential.
Tackling child poverty in Scotland is a priority for the Scottish government, and the government's policies are working to reduce child poverty. However more needs to be done to ensure Scotland meets its legally binding child poverty targets. We have set out what the Scottish government's spending priorities should be to ensure child poverty targets are met.
This briefing, from CPAG, End Child Poverty, the Church of England, and the Benefit Changes and Larger Families project, marks the sixth anniversary of the two-child limit.
The cost of child poverty extends beyond the physical and emotional hardship felt by children growing up in low-income families. In 2008, the total financial cost was estimated to be at least £25 billion a year. In 2023, it has risen to over £39 billion a year.
This briefing summaries the findings of two papers from the Benefit Changes and Larger Families research study which explore whether the two-child limit has affected families’ decisions about how many children to have.