Campaigners call for scrapping of two-child limit on Universal Credit

A new report shows there are more than four million children in the UK living in poverty.

Analysis of official statistics by Loughborough University for the End Child Poverty Coalition has seen an overall rise in families struggling in the years 2021-22, and that's BEFORE inflation sent energy and food costs soaring in the last 12 months.

It's thought an end to the additional support made available during the coronavirus pandemic has driven up the number of children experiencing poverty.

• 29% of all children aged 0-19 are living in poverty, with an increasing number living in working households.
• 71% live in households where at least one adult works, a rise of 6 percentage points since last year.
• Lone parents in work especially are struggling with more than a quarter (26%) of all children going through poverty being raised by an adult in full-time employment.

Campaigners are now calling for the government to scrap its two-child limit on Universal Credit - a move they say will instantly move 250,000 children out of poverty.

Minority groups at higher poverty risk

The report's authors say there is also a clear correlation between children in receipt of disability living allowance and the rate of child poverty at a local level.

Additionally, in every region of the UK, children from Black or minority ethic communities are more at risk of being in poverty than those from white backgrounds.

Joseph Howes, Chair of the End Child Poverty Coalition, said: “The pandemic and cost of living crisis have meant more and more children are having to go without food and a warm home.

"These statistics show that the trends in child poverty are particularly worrying in parts of the UK such as the North East and Midlands.

“There is one policy change that we know would make a direct and immediate difference, and that is to scrap the two-child limit for those claiming Universal Credit. The policy is unfair in the indiscriminate impact it has on children, and there is no evidence it has achieved its aims.

"Abolishing the two-child limit would immediately lift 250,000 children out of poverty, and the government could make this change now.

“We were encouraged to hear in January that the Labour Party is reviewing the policy, yet they must commit to scrapping it altogether ahead of the next election if they are to successfully deliver on their commitment to lead an assault on child poverty”.

End of pandemic support

The total number of children experiencing poverty in 2021/2022, 4.2m, is an increase on the 3.6m recorded the previous year.

That year, 2020/21 saw a £20 uplift in the weekly payment of Universal Credit, which helped ensure the first-time levels dropped by more than 1 per cent in a decade.

Its removal has seen the number climb back from 27 per cent of all children to 29 per cent - just behind the high registered in 2019.

Government response

A Government spokesperson said:

“There are nearly two million fewer people, including 400,000 fewer children, in absolute poverty than there were in 2009/10 - proving our commitment to helping the most vulnerable.

“We are providing a £94billion package of immediate cost of living support worth around £3,300 per household. But in the long-term, the best route out of poverty is through employment, which is why we are boosting our childcare offers to help more parents to re-enter and progress in work.

“The two child policy asks families on benefits to make the same financial decisions as families supporting themselves solely through work, and there continues to be careful exemptions and safeguards in place within the policy to protect people in the most vulnerable circumstances.”

Additional government support is available

If you're struggling with the Cost of Living crisis, you can find out what help you might be eligible for on the government website

Some organisations working with families struggling with the cost of living crisis might also qualify for a Cash for Kids grant - get more information here

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