Eluned Morgan MS, Prif Weinidog and Jane Hutt MS, Cabinet Secretary for Social Justice, Trefnydd and Chief Whip
We want every child in Wales to grow up in warm, happy and loving homes, free from the blight of poverty. This is the fundamental bedrock of ensuring that our children thrive throughout their lives.
The Welsh Government welcomes the Chancellor’s action in the Budget Statement that the Two-Child Limit will be removed. It is simply not right that children have been forced to live in poverty as a direct result of the decisions taken by the previous UK Government. We have consistently urged the UK Government to remove this policy, and it is pleasing and right that we, and the many organisations supporting low-income families in Wales, have now been listened to.
The evidence clearly shows that each year since its introduction in 2017, the Two-Child Limit has driven increases in child poverty in Wales and across the UK. According to the UK Government, today’s, announcement will bring relief to 69,000 children in Wales who have been denied financial support from the UK benefits system. This is welcome action, helping families to meet the day-to-day living costs for some of their children. The Universal Credit child element is currently worth £292.81 per month for the third and subsequent children born after April 2017, and has previously been unavailable to larger families, despite the rising costs of raising a child. Welsh Government analysis shows that the removal of the two-child limit in 2026 would lead to a three to four percentage point reduction in relative child poverty rates (After Housing Costs) in Wales
We hugely welcome the additional consequence of the abolition of the two-child limit will also include the removal of the rape/non-consensual conception clause and its traumatic implications for survivors of sexual violence; this is particularly important to highlight during these 16 days of activism to end violence against women and girls.
The Welsh Government is committed to tackling poverty. Through our Programme for Government, we are protecting, rebuilding, and improving services for people, while delivering better outcomes for low-income households. Between 2022 and 2026, we have invested over £7 billion in measures to reduce costs, boost family incomes, and keep more money in the pockets of Welsh citizens.
We know we do not have the levers to do this alone and will continue to work closely alongside the UK Government to improve the lives of everyone living in Wales. It is our mission to reduce child poverty and increase opportunity for every child.