Scottish First Minister calls on UK Government to scrap two-child benefit cap

First Minister John Swinney has said the Scottish Government is committed to putting “more money in people’s pockets” and has called on the UK Government to scrap the two-child limit benefit cap.

As Challenge Poverty Week begins, Mr Swinney said the Scottish Government’s cost-of-living guarantee is delivering real savings for families across the country.

The guarantee includes free bus travel for 2.3 million people, more than £6,000 in early learning and childcare support for each eligible child and free prescriptions.

He also pointed to wider support such as the five family payments, including the Scottish child payment.

Mr Swinney said: “Tackling child poverty is this Government’s defining mission and our determination is backed up by a commitment to put more money in people’s pockets and deliver real savings to support families.

“There are fewer children in poverty in Scotland than the rest of the UK because we have made bold policy choices backed by an unwavering resolve.

“The Scottish child payment was benefitting around 322,000 children and their families as of the end of June.

“Our free school meals programme is providing nutritious meals to more than 230,000 primary school pupils.

“We have cut costs for commuters by scrapping peak rail fares. Some 2.3 million people travel free on buses. And we’re mitigating the two-child limit early next year.”

First Minister John Swinney praised the impact of the Scottish child payment. PA Media

The proportion of Scottish children living in absolute poverty has reached its lowest level in 30 years.

The latest figures for 2023-24 show the rates of both relative and absolute child poverty in Scotland were nine percentage points lower than the UK average.

Scottish Government policies are estimated to keep 70,000 children out of relative poverty in 2025-26.

Mr Swinney called on the UK Government “to act” and to remove the two-child benefit limit.

The two-child limit was brought in by the Conservatives and restricts child tax credit and Universal Credit to the first two children in most households.

He says: “The UK Government, if it is serious about tackling poverty, must match our ambition and, at the very least, fully scrap the two-child limit so that a generation of children don’t have their opportunities limited by inaction.

“But scrapping the two-child limit should also be done alongside the removal of the benefit cap. It is unconscionable to me that the UK Government could fail to address this – it must scrap both punitive policies.

“If it does, and it matches the Scottish child payment and introduces an essentials guarantee, our modelling estimates that the UK Government could reduce relative child poverty in Scotland by 100,000 children next year.

“We have made a difference through bold, game-changing policies. The blueprint is there. It is time for the UK Government to act.”

A UK Government spokesperson said: “We are working closely with and supporting the Scottish Government through the largest real-terms settlement in the history of devolution.

“The Government is determined to bring down child poverty. We’ve already uprated benefits, increased the national minimum wage and are supporting 700,000 of the poorest families by introducing a fair repayment rate on Universal Credit deductions.

“We will publish an ambitious child poverty strategy later this year to ensure we deliver fully-funded measures that tackle the structural and root causes of child poverty across the country.”