Money Wellness
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calendar icon14 Jan 2025

Pendle council’s call to reverse two-child benefit cap

Pendle councillors from different parties have joined forces to criticise the government's decision to keep the two-child benefit cap, according to the Local Democracy Reporting Service.

They say the policy – which started under the Conservatives in 2017 – disproportionately affects families in Pendle, where child poverty levels are higher than anywhere else in the country.

What is the two-child benefit cap?

The two-child cap stops parents from claiming child tax credit or universal credit for more than two children. It currently affects around 1.5m children across the UK.

Scrapping the cap could lift 250,000 children out of poverty and save the UK £3.2bn a year, benefiting both families and the economy.

Voices from Pendle council

Independent councillor Ruby Anwar urged the council to write to the Labour government and local MPs, asking for them to listen to those who are affected and remove the cap.

Anwar highlighted the struggles families face with rising living costs, pointing out that many are forced to choose between essentials like food and heating.

Her sentiments were echoed by several other councillors.

Council leader Asjad Mahmood, for example, voiced concerns that the cap sends a harmful message that some children are less valued than others.

Impact on families

As Anwar mentioned, the rising cost of living has put immense pressure on low-income families.

The price of essentials – like gas, food, clothing and school uniforms – has skyrocketed.

Families are left to juggle their budgets, often making heartbreaking choices.

It’s why we’re calling for an end to the two-child cap – it exacerbates this situation, penalising those with larger families who are already struggling to make ends meet.

What’s the government going to do?

Despite pressure from various groups, the government has said they won't remove the cap.

Instead, they’ve proposed alternative strategies to address child poverty, such as school breakfast clubs and other plans.

Many feel these efforts simply do not go far enough, especially as Scotland plans to offset the cap.

Do you need money help?

If you're struggling to make ends meet because of this limit, it might be time to ask for help.

We offer free and impartial money advice and can help with budgeting, benefits or debt solutions (some debt solutions are free, while others have a fee).

Avatar of Michelle Kight

Michelle Kight

Michelle is a qualified journalist who spent over seven years writing for her local online newspaper. Having grown up in some of the North West’s most deprived areas, she has a first-hand and empathetic understanding of what it means to face serious money worries. With a strong interest in mental health issues, she is a keen advocate of boosting the accessibility of financial wellness services.

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