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Universal Credit (Removal of Two Child Limit) Bill 2026-02-03
03 February 2026
Lead MP
The Secretary of State for Work and Pensions
Debate Type
Ministerial Statement
Tags
ImmigrationNHSTaxation
Other Contributors: 79
At a Glance
The Secretary of State for Work and Pensions raised concerns about universal credit (removal of two child limit) bill 2026-02-03 in the House of Commons. A government minister responded. Other MPs also contributed.
How the Debate Unfolded
MPs spoke in turn to share their views and ask questions. Here's what each person said:
Government Statement
Today I am moving the Second Reading of a Bill to remove the two-child limit on universal credit, which was introduced by the previous Conservative Government. This policy was primarily political rather than focused on welfare reform or financial savings. It led to an additional 300,000 children falling into poverty and did not encourage people to make different choices about family size as claimed. Around half of those affected were not on universal credit when they had their first child, indicating that circumstances change and families find themselves in need later in life. The policy also failed to account for long-term costs such as lower educational attainment, mental health issues, and reduced earnings. Since 2010, the number of children in poverty has risen by 900,000 under the Conservatives' watch. Our first priority was stabilising the economy after their irresponsibility and chaos, but now we are implementing changes that will reduce child poverty by ensuring 450,000 fewer children live in poverty by the end of this Parliament.
Ashley Fox
Con
Bridgwater
Question
Twelve months ago, not only did the Government support the two-child cap, but they were busy suspending Labour Back Benchers who voted against it. Can the Secretary of State tell the House what it was about the Prime Minister’s weak position that caused him to change his mind?
Minister reply
I will come on to discuss the timing of our decision and why we believe it is right.
Desmond Swayne
Con
New Forest West
Question
It appears that those 300,000 were in poverty a year ago, but the Secretary of State has allowed that to persist till now. What has changed? Is this not the Labour equivalent of Project Save Big Dog?
Minister reply
Timing matters and will be explained later why we are doing this at this particular time.
Wendy Morton
Con
Aldridge-Brownhills
Question
Surely he agrees that there is only one way for him to pay for these increases, which is taxes?
Minister reply
The funding will come from savings on fraud and error in the benefits system, changes to the Motability scheme, and reform of online gambling taxation.
Ann Davies
PC
Caerfyrddin
Question
More than one in five households affected by the two-child limit will not benefit because of the cap on benefits. Does the Secretary of State agree that the Government should now lift the benefit cap, so that every eligible household and every eligible child receives full support?
Meg Hillier
Lab
Question
What does the shadow Secretary of State have to say about a constituent struggling with poverty due to temporary accommodation and unemployment? This Bill is crucial for her situation as it offers support, allowing her to go back to work.
Minister reply
The benefit cap does not apply to families in work or those with disabled children. The measure balances support and fairness without undermining incentives to work.
Joy Morrissey
Con
Question
Does my hon. Friend agree that it is an issue of fairness for the taxpayer if people are rewarded more by having children on benefits than working?
Minister reply
The extra money some families will receive without working may exacerbate the poverty trap, making work less attractive compared to welfare.
John Grady
Con
Question
Why should 95,000 children in Scotland be punished by an utterly cruel policy? Is it not fatuous to suggest people are having children for money?
Minister reply
The measure ensures women no longer have to relive traumatic experiences and supports a holistic approach towards changing the story of children’s lives through better educational and health outcomes.
Desmond Swayne
Con
New Forest West
Question
How can Labour Members claim to oppose cruelty when previously voting against lifting the cap?
Minister reply
My right hon. Friend highlights the inconsistent position of many Labour Members who supported the policy they now call cruel and the rape clause. They voted against lifting it, showing hypocrisy in their current stance.
Stuart Anderson
Con
South Shropshire
Question
Given economic constraints, how can we afford this measure?
Minister reply
My hon. Friend rightly points out the serious financial position the country is in and the need to ask hard questions about affordability.
Clive Lewis
Lab
Norwich South
Question
Is there a historical consistency in opposing child welfare measures?
Minister reply
The hon. Gentleman's comments reflect the historical pattern of opposition but fail to acknowledge the internal inconsistency within Labour on this issue.
Torbay
Question
The Liberal Democrats exist to build and safeguard a society that is free, open and fair, and a society in which no one is enslaved by poverty, ignorance or conformity. That is why it is in our DNA to be against the two-child limit... It has to provide warm clothes for the youngsters, because parents cannot afford them. It has to provide food for the youngsters...
Minister reply
The minister's response was not explicitly provided within the given transcript.
Meg Hillier
Lab
Question
I thank the hon. Gentleman for giving way... The Liberal Democrats opposed the two-child limit... A Joseph Rowntree Foundation report published last week highlights how tackling poverty has flatlined since 2005, so the Liberal Democrats welcome this step forward in ending the two-child limit.
Minister reply
The minister's response was not explicitly provided within the given transcript.
Tom Tugendhat
Con
Tonbridge
Question
I am slightly surprised that the hon. Gentleman is claiming that less is taken off them... Does he not think that that tax rate is high enough?
Minister reply
The minister's response was not explicitly provided within the given transcript.
Janet Daby
Lab
Lewisham East
Question
It is a pleasure to follow the hon. Member for Torbay... I hear of families with a roof over their head, but no carpet under their feet; a window to look out of, but no thick curtains to keep out the draft...
Minister reply
The minister's response was not explicitly provided within the given transcript.
Jim Shannon
DUP
Strangford
Question
I commend the hon. Lady. May I put on record my thanks to her for her words, the Secretary of State for his commitment and the Labour Government for bringing this change forward? Some 50,000 children in Northern Ireland, out of 13,000 households, will benefit—out of child poverty and into a better standard of living. That has to be good news.
Minister reply
I thank my hon. Friend—I call him that even though he sits on the other side of the House—for stating that so eloquently and accurately.
Solihull West and Shirley
Question
At its heart, this debate is about choices, and the choice before us today is whether we believe that compassion is best expressed through limitless expenditure or through a system that is fair, responsible and worthy of the people who fund it.
Minister reply
The hon. Gentleman just spoke of whether or not the expenditure was wise.
Debbie Abrahams
Lab
Question
He also spoke about choices. I do not know whether he heard my speech, but children who are born into poor families are five times—five times—more likely to die just because they are poor than children in families with a little more income.
Minister reply
I thank the hon. Lady for her intervention.
Meg Hillier
Lab
Question
My right hon. Friend the Secretary of State for Work and Pensions made clear in his speech the number of people who make these choices and decisions and then, later on, find themselves on universal credit through changes in circumstances.
Minister reply
It would be a safety net if it provided a short-term boost.
Kim Johnson
Lab
Liverpool Riverside
Question
I rise today in support of our Bill to lift the two-child cap—a campaign that has long been close to my heart. Lifting half a million children immediately out of poverty has to be a great thing for this country.
Luke Evans
Con
Hinckley and Bosworth
Question
The policy of lifting the two-child cap is unfair as it rewards non-workers with £3,650 without any requirement to improve their situation. This undermines fairness for those who are working and contributing through higher national insurance contributions and taxes.
Minister reply
We need a generous safety net that supports families but also encourages responsibility and progress towards work. The Government is committed to ensuring that the social security system remains fair to both those receiving support and those contributing to it.
Question
The policy is unfair as people in Beaconsfield, Marlow, and south Bucks villages have seen their taxes go up while these funds are given to non-workers. It undermines fairness.
Minister reply
We aim to ensure that the social security system remains fair for both those receiving support and those contributing to it through their hard work and tax payments.
Fleur Anderson
Lab
Putney
Question
The policy is crucial in tackling child poverty and restoring fairness to our social security system. It dismantles a cruel and unfair benefit cap that has pushed children into poverty.
Minister reply
We are committed to fixing the broken Conservative-led system that led to high levels of child poverty, ensuring all families have the basics and opportunities they need.
Carla Lockhart
DUP
Upper Bann
Question
Does removing the two-child limit help mums avoid decisions such as abortion?
Minister reply
Yes, lifting this policy will better support mothers and help ensure that no woman feels pushed towards an abortion due to financial constraints. This decision will benefit families across Northern Ireland as well.
Kirsty Blackman
SNP
Aberdeen North
Question
Why does the Secretary of State not regret his previous statements on the two-child cap?
Minister reply
While I understand the concern, it is important to focus on moving forward with this necessary change that will benefit families in poverty.
West Dunbartonshire
Question
How many children in West Dunbartonshire will be directly benefited by the removal of the two-child limit?
Minister reply
The removal of this limit will benefit 2,260 children in West Dunbartonshire, providing direct support to families struggling with poverty.
Question
Does the hon. Lady recognise that the continuation of the overall benefit cap means about 150,000 children will not benefit from this Bill and remain in relative poverty? Would she welcome further legislation to remove the overall benefit cap?
Minister reply
While I am delighted that the Government are taking action to remove the two-child cap, there is more work to be done. The Government's commitment to children can be seen through their announced measures such as expanding free school meals and reducing school uniform costs. We will undertake formal scrutiny of our child poverty strategy to ensure it is effective.
Question
Is this debate fundamentally about people, not just cash? Are the Government's promises leading to a level of burden on those working that is growing and growing?
Minister reply
The removal of the two-child cap is an enormous step forward and will bring great relief to families. While there are different perspectives on how best to tackle child poverty and support vulnerable individuals, the Government's measures aim to improve outcomes for children across the country.
Ely and East Cambridgeshire
Question
Like so many Members from across the House, I welcome the Government’s decision finally to scrap the two-child limit on benefits. The cap is a cruel and unfair penalty on those in urgent need of welfare and support.
Minister reply
The removal of the two-child benefit cap is indeed an important step towards reducing child poverty and supporting families in urgent need. This measure aims to ensure that every child gets a good start in life, regardless of their family situation.
Kit Malthouse
North West Hampshire
Con
Question
As my hon. Friend the Member for Solihull West and Shirley mentioned, no one in this House doubts the importance of supporting children. However, I am concerned about the demographic time bomb we face with a falling worker-to-pensioner ratio, which could lead to severe fiscal problems. How will the Government ensure that this measure does not exacerbate these issues?
Minister reply
While I understand your concerns about fiscal sustainability and demographic changes, the primary focus of this policy is to alleviate child poverty immediately by lifting the two-child limit on Universal Credit. We are committed to reviewing the rate at which additional support is provided but must prioritise immediate relief for children struggling in cost-of-living crises.
Richard Quigley
Lab
Isle of Wight West
Question
Why do Opposition Members frame using taxpayers' money to lift children out of poverty as irresponsible when they ignore the £10 billion lost to covid fraud?
Minister reply
The rise in child poverty under the previous Tory Government has been a shameful stain on this country. The policy is not only about providing food and basic necessities but also giving children the opportunity to escape cycles of poverty and build secure, independent futures.
Ashley Fox
Con
Bridgwater
Question
The benefits system is a safety net designed to support people in hardship, but a fair system must balance that with the needs of those who pay for it. Benefits are paid by the taxpayers of today or, if the money is borrowed, as is so often the case with this Government, by the taxpayers of tomorrow... Why has the leader of Reform UK, the hon. Member for Clacton (Nigel Farage), supported scrapping the two-child cap until so very recently? Voters in my constituency, some even sympathetic to his cause, have been horrified...
Question
I am deeply offended by the hon. Gentleman’s comment about people in the north of England, as though they are people who simply vote for their own welfare... Would the hon. Gentleman like to apologise to them?
Question
Let me remind Labour Members that before the election, they said repeatedly that they would not increase taxes on working people... This is what the Labour Government do best: spending other people’s money. It is in their DNA...
Samantha Niblett
Lab
South Derbyshire
Question
I rise to speak in support of lifting the two-child cap, not just as a Member of Parliament but as someone who knows personally what it means to live on the edge of financial insecurity... It is not luxury and comfort; it is just dignity and a fair chance...
Stratford-on-Avon
No extracted contribution text available for this contributor yet.
James Frith
Lab
Bury North
Question
I support the Bill to remove the two-child limit, which is necessary after years of opposition. In Bury North, over 7,000 children live in poverty despite many families being in work and budgeting meticulously. The policy has failed to understand the reality that affluence and deprivation coexist within wards, making this change timely as it is costed and affordable yet overdue. Removing the two-child limit will lift hundreds of thousands of children out of poverty and increase spending power locally.
Minister reply
The Government agrees with Mr Frith's assessment on the importance of addressing child poverty through measures like removing the two-child limit, which helps families manage their budgets better.
Zarah Sultana
Your Party
Coventry South
Question
I welcome the decision to remove the two-child limit but criticise the Labour Government for delaying this action. Over 63,000 children were pushed into poverty due to this delay. Scrapping the limit is crucial as it is the single biggest driver of rising child poverty. However, the benefit cap remains in place, impacting tens of thousands of families who will gain little from this change.
Minister reply
The Minister acknowledges the concerns raised and agrees that further measures are necessary to address the issue fully.
Liz Jarvis
LD
Eastleigh
Question
Scrapping the two-child benefit cap is the single most important action this Government could take to improve outcomes for children in poverty... A fair society does not balance its books on the backs of children.
Darren Paffey
Lab
Southampton Itchen
Question
I am proud to support the Bill and do so with the families of Southampton firmly in mind... No doubt tonight Conservative Members will traipse through the Lobby and vote to keep a lid on the 450,000 children who are about to be released from poverty.
Matt Rodda
Lab
Reading Central
Question
My hon. Friend is making an excellent point... Does he agree that an important aspect of the Government’s work is not only what we are debating today, but the wider and broader package of measures?
Kirsty Blackman
Lab
North East Fife
Question
Does the hon. Member share my concerns that arguments for cancelling the two-child limit could have been applied 19 months ago, allowing 61,000 children to be kept out of poverty sooner?
Minister reply
I appreciate the hon. Member's point regarding earlier debates on this issue. However, the decision to remove the cap reflects a broader approach towards supporting families and improving their life chances.
Nadia Whittome
Lab
Nottingham East
Question
The introduction of the two-child limit in 2017 has devastated child poverty rates. How will the Government address concerns about the benefit cap affecting low-income families currently affected by the two-child limit?
Minister reply
We are committed to addressing child poverty comprehensively. While lifting the cap is a significant step, we recognise that more needs to be done to support those still impacted by other measures such as the benefit cap. We will continue to evaluate and implement additional policies to ensure all families receive adequate support.
Susan Murray
LD
Mid Dunbartonshire
Question
Welcoming this U-turn, how can the Government address concerns about increased costs for UK taxpayers while supporting lifting children out of poverty?
Minister reply
While lifting the two-child limit is a moral imperative and will lift hundreds of thousands of children out of poverty, we must also explore ways to raise tax revenue fairly. We support Liberal Democrat proposals such as windfall taxes on banking profits to fund necessary social services.
Poole
Question
Five in six low-income households on universal credit are going without the essentials. The Joseph Rowntree Foundation and the Trussell Trust say that the welfare system must provide the essentials of daily living—food, heating and so on—if we are to tackle deep-seated poverty in this country. Does my hon. Friend agree?
Minister reply
I agree with my hon. Friend, who cites some absolutely appalling statistics. An essentials guarantee would embed the principle that universal credit should, at a minimum, protect people from going without food, heating and other basics. A protected minimum floor would ensure that no one falls below a humane safety net.
I hope that the Government continue along the path of reversing cruel Conservative policies that harm the most vulnerable in our society.
David Baines
Lab
St Helens North
Minister reply
On one side of the debate, we have those who work with children and families and see the hugely damaging impact that the two-child limit has had. The Child Poverty Action Group says that scrapping the two-child limit is the most cost-effective way to start to reduce child poverty.
Scrapping the two-child limit will lift around 2,500 children in St Helens North out of poverty. In this Parliament, we are on course to lift a record number of children—more than half a million nationally—out of poverty.
Gill German
Lab
Clwyd North
Minister reply
I know all too well the difference this Bill will make for families across the country. In my constituency, I have seen far too many families struggling to make ends meet. Indeed, that reality was a huge part of what drove me to this place from my primary school classroom and a lead role in local government, so I am pleased and proud to welcome and support the Bill today and the tangible difference it will make in Clwyd North and beyond.
It is important to note that the Bill has been fully costed and is part of an overall strategy. Everyone can call for something, but we have made it happen.
Adnan Hussain
Ind
Blackburn
Minister reply
The hon. Member makes a fantastic point. You either get it or you don’t: what we are doing is giving children an opportunity to better their futures. When I was young, my father, who was an engineer, fell ill, and my mother and my family fell to the state. Today, I am an officer of the court, and I am here as a Member of Parliament. Let us give every child a chance to develop and better their futures.
John McDonnell
Lab
Hayes and Harlington
Minister reply
I am pleased that I have sat through the whole debate today. The speeches I have heard from Members on the Government Benches have been incredibly eloquent and moving, and I am really pleased that we are where we are now in scrapping the two-child limit.
Sam Rushworth
Lab
Bishop Auckland
Question
The Bill is a step towards tackling child poverty but needs to be combined with other measures. What are some of the additional steps being taken by the government?
Minister reply
Additional measures include: the Renters’ Rights Act 2025; the Employment Rights Act 2025; increases in the national minimum wage; free breakfast clubs in every school to reduce early morning stress on working parents; extension of free school meals; investment in youth hubs, family hubs, and arts and culture.
Question
How does the Bill address the multifaceted nature of child poverty?
Minister reply
The removal of the two-child cap is a significant step, but other measures are necessary to tackle the multidimensional aspects of child poverty. These include policies on renter rights, employment rights, minimum wage increases, and additional social support initiatives.
Question
One of the most distressing things that I discovered when I was working at Church Action on Poverty and talking to parents of children in poverty was how often mothers went without food. Does she agree that this is what we are changing today, and that it is the reality of this policy?
John Slinger
Lab
Rugby
Question
Does my hon. Friend agree that fecklessness is not a trait exhibited only by poorer people in our country?
Rebecca Smith
Con
South West Devon
Question
Is the hon. Gentleman aware that food banks were first set up under a Labour Government and that the Conservative Government invested hundreds of thousands of pounds in them during the pandemic?
Minister reply
The rise in food bank usage happened before the pandemic, after the introduction of the two-child limit. While I agree with the hon. Lady on funding during the pandemic, she is not across the statistics regarding the increase in food banks.
Gareth Snell
Lab/Co-op
Stoke-on-Trent Central
Question
Is it not incongruous that Conservative Members argue for work as a way out of poverty but vote against measures to create well-paid jobs and increase stability in employment?
Minister reply
Yes, while job creation under the previous government is noted, child poverty and hunger increased during their tenure. This highlights issues with their model of economic growth.
John Slinger
Lab
Rugby
Question
Under successive Conservative Governments, 900,000 more children were pushed into poverty, leading to 4.5 million children living in poverty by the end of their time in office.
Stuart Anderson
Lab
Question
Will the hon. Member say what statistic backs up the statement that a third of children in the UK were living in poverty?
Minister reply
The number of children in poverty rose substantially.
Antonia Bance
Lab
Tipton and Wednesbury
Question
I am sure that my hon. Friend will agree that the statistics on below-average-income households are published annually by the Department for Work and Pensions, which is the source of the statistic that he so cleverly deployed in the course of his argument.
Minister reply
That is indeed the statistic that I was reaching for in my notes.
Question
The Reform policy really is quite something, as I am sure my hon. Friend would agree. Will my hon. Friend recommend that people do not listen to the easy answers of Reform and actually work to make people’s lives better?
Minister reply
I thank my hon. Friend for his speech; he is absolutely right about supporting our pubs patriotically but not trivialising child poverty.
Sandher
Lab
Question
Parents across this country will not appreciate getting 5p off each pint they buy, knowing that it will make more children hungry. I am shocked by the trade-off.
Minister reply
Linking something as serious as tackling child poverty to the price of a pint in our pubs is trivialising an incredibly serious topic.
Evans
Lab
Hinckley and Bosworth
Question
I see the irony of linking this to alcohol, which is a serious problem. Gambling is also a serious problem, but your party linked it to gambling.
Minister reply
It is perfectly acceptable for a Government such as ours to take measures in Budgets to provide resources necessary to enact policies that will lift so many children out of poverty.
Sam Rushworth
Lab
Question
Does my hon. Friend share my confusion at the point that has just been made? Does it not illustrate that all of this is about choices, and that the choice being made on this side of the House is to increase taxes on gambling and mansions in order to decrease child poverty?
Minister reply
I am assuming that the hon. Member for Hinckley and Bosworth is opposing the policy before us today.
Graham Stuart
Con
Beverley and Holderness
Question
Will the hon. Member give way?
Minister reply
I will not give way.
Andrew Pakes
Lab
Peterborough
Question
It is a very unusual way to defend food bank use to say that it is because poverty is now being counted in a better way.
Battersea
Question
We all have to admit that when the Conservatives came into government with the Liberal Democrats in 2010, they unleashed their social security cuts on our communities.
Chris Vince
Lab/Co-op
Harlow
Question
I thank my hon. Friend for recently welcoming me to the Peterborough museum and art gallery, where we went to a “Dr Who” exhibit and discovered that Davros was considering defecting to Reform.
Question
The hon. Gentleman is being most generous with his time. I agree with the hon. Member for Harlow (Chris Vince). Does the hon. Member for Peterborough (Andrew Pakes) agree with him that it would be a sign of this Government’s success if we saw fewer food parcels being put out by food banks by the end of this Parliament than we do today?
Question
The hon. Lady talks about speaking for the public, but consistently, in all polling, 60% of Brits want to see this policy stay in place. What does she say to them?
Minister reply
I say to those who support this policy that in order to will the ends, you have to will the means. Save the Children published polling showing that 78% of the country wants to cut child poverty, and removing this punitive policy is a crucial step towards achieving that goal.
Question
Will the shadow Minister give way?
Minister reply
No, I will not give way; I am going to make some progress.
Question
On the point of doing the right thing, the data suggests that in the shadow Minister’s own constituency there are 1,160 children living in a household that does not currently receive universal credit support for the additional children. What would she say to them?
Minister reply
I speak for the 60% of the population who do not think we should be scrapping the cap. No doubt a large proportion of those people are also in my constituency.
Question
The Government narrowed the scope of the last benefits Bill, and it could widen this Bill to take in the wider benefit cap. Can the Minister explain why, despite interest in lifting the overall benefit cap, only doing nothing or a narrow measure was assessed?
Minister reply
The change proposed by Siân Berry would make a relatively modest alteration but maintaining the incentive for work is crucial and we are not proposing to change it significantly from what exists now.
Question
Did the Minister say anything about the extra money being for people because they were not working?
Minister reply
The majority of beneficiaries under this measure are actually in work, so the argument presented by Dr Evans does not hold.
Question
Implied critique on the relative poverty definition which her party once embraced but now criticises.
Minister reply
Between 2010-11 and 2023-24, even absolute poverty rose under their rule. The government is committed to tackling child poverty effectively.
Question
Acknowledged the work of her committee in scrutinising the child poverty strategy.
Minister reply
Grateful for the scrutiny and support from her committee, which has been instrumental in developing a robust strategy against child poverty.
Question
Teachers are having difficulties supporting children in classes, as 38% of schools staff currently pay out of their own pockets for essentials.
Minister reply
Acknowledged the struggle faced by teachers and emphasised the need to support families so that these funds can be spent on education.
Shadow Comment
Sir Oliver Dowden
Shadow Comment
The previous Conservative Government introduced a clear principle: individuals should take responsibility for their own actions. The two-child limit on universal credit was aimed at encouraging such personal accountability, and the policy did not lead to people having more children than they intended. People chose not to have additional children because of this principle. By lifting this limit, the current government is saying that individuals will now be responsible for the state's decisions rather than their own, and taxpayers will have to pay higher taxes as a result.
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