It is estimated scrapping the cap would cost the Government between £3-£3.5 billion by the end of this parliament.
Chancellor Rachel Reeves (Image: Getty)
A mother-of-five has said scrapping the controversial two-child benefit cap would “make a difference” to her children. It comes as both the Prime Minister and the Chancellor have indicated the cap will be lifted in the Budget in less than two weeks time.
The move could see the White family, from Monmouth in south Wales, be as much as £10,000 a year better off. The two-child benefit cap came into effect under the Conservatives in 2017 and restricts child tax credit and universal credit to the first two children in most households. More than 1.5 million children in the UK are living in households affected by the cap — around one in nine kids.
Sir Keir Starmer and Rachel Reeves have suggested they will lift the two-child benefit cap (Image: Getty)
It is estimated scrapping the policy would cost the Government between £3-£3.5 billion by the end of this parliament.
Lisa White, who has five children aged between three and 10, said lifting the limit would “definitely make a difference to the kids”.
She told the Daily Mail: “I’d be able to treat them if I wanted to. I’d be able to take them for days out.”
The family currently receive benefits payments of £1,935 a month, exceeding the standard child benefits limit of £1,835 a month because Ms White’s partner David also qualifies for a disability benefit, meaning usual rules do not apply, according to the Mail.
The couple used to work in a care home but are now unemployed.
Ms White, 31, told the Mail both would ideally like to return to work, but she cannot due to one of the children only attending school part-time, while David “can’t really take care of the children on his own”.
She said would love to work but that the benefits system “is in place for people who can’t”, adding: “It would be impossible for me.”
The Child Poverty Action Group estimates scrapping the two-child limit would lift 350,000 children out of poverty and mean 700,000 are in less deep poverty.
Ms White said she does not believe her children are in poverty, yet added: “But if being above the poverty line means you can buy new clothes and shoes for your children whenever you like, then perhaps we fall into that category.
“I do have to buy second-hand for them. My definition of poverty would be to be homeless with no gas or electricity or food. My kids are warm and well fed.”
Earlier this week, Sir Keir Starmer hinted at axing the cap, saying the Government would be taking “a number of measures” to “drive child poverty down”.
His comments came after Rachel Reeves hinted she was open to scrapping the limit in her November 26 Budget, saying she did not think children should be “penalised” for being part of large families.
A significant number of Labour backbenchers would welcome the move which would anger Tories who have argued the cap makes the system fairer.
