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Former Prime Minister Gordon Brown has urged the government to urgently scrap the two-child benefit limit, warning that child poverty is rising to levels not seen in 60 years. He described the current situation as a "social crisis" and said removing the restriction on benefits for third and subsequent children would be the most morally and economically sensible step to reduce poverty.
Introduced by the Conservatives in 2017, the policy limits Child Tax Credit and Universal Credit to only the first two children in a family. Brown argued that the government could offset the cost of lifting the cap by increasing taxes on the under-taxed profits of the gambling industry, particularly online casinos and slot machines.
Speaking on BBC Radio 4, Brown shared alarming statistics about children living without basic necessities such as beds, cookers, and fridges. He emphasized the long-term costs of ignoring the issue and said he has seen the decline firsthand in his own community.
Labour leader Keir Starmer has pledged to reduce child poverty before the next election, but concrete plans won’t be revealed until autumn. Education Secretary Bridget Phillipson has suggested Labour would not have introduced the policy and acknowledged its damaging impact, although reversing it has become financially harder after scrapping other benefits reforms.
Brown backed an IPPR think tank proposal to raise up to £3.2 billion through targeted taxes on the gambling sector, a move that could fund the reversal of both the two-child limit and the wider benefit cap. However, the Betting and Gaming Council warned such measures could penalize regular gamblers and push activity underground.
Meanwhile, 15 charity leaders have written to Keir Starmer, urging him to abolish the two-child rule to help lift children out of poverty.
