Abolition of the two-child benefit cap in today's Budget has been welcomed as a ‘first step' in tackling child poverty.
Chancellor Rachel Reeves labelled the cap a ‘failure' and part of ‘a status quo that punishes children for the circumstances of their birth' in her speech this afternoon.
The Treasury said the removal of the two-child limit in Universal Credit from April would lift 450,000 children out of poverty, while the Office for Budget Responsibility estimated the policy will cost £3bn by 2029-30.
In a joint statement, education select committee chair Helen Hayes and Work and Pensions committee chair Debbie Abrahams said: ‘Cash support through the social security system is essential to alleviate poverty but the comprehensive Child Poverty Strategy needs to go much further and wider, involving all Government departments.'
The King's Fund described it as a ‘bold step towards improving the public's health'.
The Budget also increased the maximum amount of childcare costs that can be claimed by families with three or more children and raised the standard allowance paid to all Universal Credit eligible households by 6% from April.
