A recent analysis reveals that families are experiencing financial struggles, with some left with only £3 per week due to the impact of the benefit cap introduced during the Tory era. The Child Poverty Action Group highlights the severity of the situation, particularly for single parents who are barely left with any money after paying rent.
In inner London, some lone parents with three children are left with a mere £3 per week after covering their private rent expenses. Contrasting figures show that in Guilford, the amount stands at £82, in Brighton at £89, and in Northampton at £170.
As a consequence of this policy, families are compelled to seek emergency support and utilize food banks to make ends meet, often leading to rent arrears. The CPAG advocates for the government to abolish the benefit cap, which was implemented in 2013 to set a maximum limit on the benefits received by working-age households.
Currently, the cap is set at £486 per week for couples and single parents in London, and £423 outside the capital. It is distinct from the two-child benefit limit, which Keir Starmer might eliminate as part of an upcoming child poverty strategy.
Introduced by Chancellor George Osborne during the austerity period, the policy restricts Child Tax Credits and Universal Credit to the first two children in a family. Education Secretary Bridget Phillipson hinted at the potential removal of the two-child benefit limit, emphasizing the government’s commitment to addressing child poverty.
Alison Garnham, the Chief Executive of CPAG, emphasized the harsh impact of the benefit cap on families and urged the government to eliminate the policy to prevent more children from falling into deep poverty.
In response, a Government spokesperson emphasized the importance of providing every child with equal opportunities, highlighting initiatives such as the Child Poverty Taskforce’s forthcoming strategy, investments in children’s development programs, and support for families through free school meals and crisis assistance packages.
