The upcoming month will witness an alarming milestone as the number of children affected by the two-child limit in working families is set to hit one million, leading to concerns raised by advocates about the strain faced by parents.
Research conducted by the Child Poverty Action Group (CPAG) using statistics from the Department for Work and Pensions (DWP) revealed that 59% of families impacted by the two-child limit are employed, while a significant portion of those not affected are exempt due to having young children, or facing illness or disability.
For instance, a single parent with three children earning minimum wage on a full-time basis is currently falling £4,500 below the poverty threshold due to the two-child limit. Removing this policy would reduce the shortfall to £1,000 annually.
Similarly, a couple with three children subject to the two-child limit, with one working full-time and the other part-time at minimum wage, are currently £2,000 below the poverty line. Without the restriction, their income would exceed the poverty line by £1,500.
Pressure is mounting on the Government to eliminate the two-child limit as part of the upcoming child poverty strategy. Abolishing this policy is widely acknowledged as the most effective method to alleviate child poverty, with CPAG estimating that rescinding the policy could lift 350,000 children out of poverty and alleviate financial hardship for many others, at an estimated cost of £2 billion.
Alison Garnham, the Chief Executive of CPAG, emphasized the challenges faced by families impacted by the two-child limit, stressing the urgency for the government to act decisively in addressing this issue in order to prevent a rise in child poverty levels.
In response, a Government spokesperson highlighted the commitment to ensuring every child receives a strong foundation, mentioning initiatives such as the Child Poverty Taskforce’s forthcoming strategy aimed at addressing the root causes of child poverty. Additionally, significant investments are being made in children’s development through programs like Best Start Family Hubs, free school meal extensions, and crisis support packages to combat hunger among disadvantaged families.
It remains crucial for policymakers to address the concerns raised by advocacy groups and work towards implementing effective strategies to alleviate the financial burden on working families and reduce child poverty rates.