LONDON, Sept 30 (Reuters) – Britain’s Finance Minister Rachel Reeves plans to scrap a two-child limit on welfare payments to parents in the upcoming state budget, set to be presented on November 26, the Guardian newspaper reported on Tuesday.
Reeves, asked about the report, said she would continue to reduce child poverty during Labour’s time in power and would set out further details at the budget.
Sign up here.
She said policies would not be announced without specifying how they would be funded.
The Guardian said the November budget was expected to highlight lifting the cap as one of the most effective measures to help pull hundreds of thousands of children out of poverty.
The newspaper said the finance ministry was weighing options such as limiting extra benefits to three or four children, tapering payments by child, or lifting the cap only for working parents on universal credit.
After being elected in July 2024 Labour refused to scrap the two-child benefit cap, introduced by the previous Conservative government, arguing the spending reductions were necessary to fix a hole in government finances.


