The two-child limit keeps families in poverty today and prevents a brighter future for our children tomorrow.
New analysis from the National Economic Foundation has found that scrapping it would lift children out of poverty and reduce the economic cost of child poverty by £3.2bn a year.
Their analysis found that Lifting the two-child limit would increase the incomes of low-income families by £1.9bn in 2025/26, rising to £2.6bn in 2029/30 and generate an additional £1.1bn of economic growth in 2025/26, with poorer communities on average benefiting twice as much as richer areas.
However they say that government fiscal rules & OBR assumptions are failing to account for the true economic benefit of scrapping the two-child limit & benefit cap
Cities and towns in the north and the Midlands, would gain the most from scrapping the two-child limit, with constituencies in Birmingham, Bradford, and Bolton, each receiving an immediate annual boost of around £10m.
Families they argue,currently miss out on almost £3,500 a year for every child they have over the limit. If the caps are retained, 49% of children in larger families will be living in poverty by the end of the parliament.
