Child benefit cap leaves children without food, report finds

Research conducted by Unity Consulting Scotland found the cap "disproportionately and negatively" impacts larger families, leaving people to choose between "heating and eating".

More than 1,000 families in Wheatley Group housing were likely to be impacted by the cap, which prevents parents claiming Universal Credit or Child Tax Credit for a third child in most circumstances.

Around 110 Scottish parents fully engaged with the survey, with evidence suggesting children are missing out on food, heating and clothes, while debt is "endemic" among impacted families.

The survey found 28.3% of respondents said they felt their children were missing out on food because of the two-child benefit cap, while 36.8% said heating was impacted and 61% said they could not afford to buy new clothes.

It also found that impacted children missed out on after-school activities, with 70.8% of parents stating this, while 70.8% also said occasional treats were missed.

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The report also found the policy was a factor for families considering the number of children to have.

One parent said she had to consider whether she could afford a third child after discovering she was pregnant.

"Our finances were a big question on whether to continue with pregnancy or not, if I'm honest," she said.

"The report concluded: "A consequence (and arguably an intention) of the two-child policy is to limit the number of children families have. Yet, here is Scotland due to demographic challenges, there is a strong argument that we need to actually encourage families to have more children."

Steve Henderson, chief executive of the Wheatley Group, said: “The welfare benefits system is a vital safety net for many of our tenants, especially during these challenging times.”

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He added: “The two-child cap, introduced in 2017, has had a profound impact on families across the UK. By limiting the amount of child tax credit or universal credit that parents can claim, it has pushed many families deeper into poverty.

"Data shows that removing the cap could lift 500,000 children out of poverty, highlighting the urgent need for change.

“At Wheatley, we see first hand the struggles our tenants face due to this cap, and we are calling for a more compassionate and supportive welfare system.”

Chancellor Rachel Reeves is due to set out the UK Government's budget on October 30.

However, senior Labour politicians have said the Government is not currently in a place to scrap the cap.

It was introduced in 2017 and has specific exemptions in place for twins and proving the child is was born as a result of rape.

The Child Poverty Action Group in Scotland estimates scrapping the cap would cost an estimated £1.3 billion.

However the charity said it would lift 250,000 children in the UK out of poverty, including 15,000 in Scotland.

Satwat Rehman, chief executive of One Parent Families Scotland, said: “The Westminster two-child limit policy is a stark reminder that economic austerity often targets the most vulnerable, trapping larger families in poverty and stripping children of their right to a fair start in life.

“The policy not only deepens immediate financial hardship but also sows the seeds for long-term inequality, as it also affects children’s wellbeing and the opportunity to achieve their potential.

“The parents who have contributed to this research, already stretched to their limits, are now pushed to the brink, struggling to provide basic necessities for their children.

“Immediate action in the UK budget to abolish the two-child limit is essential to prevent further harm and ensure that all families have the support they need.”

A UK Government spokesperson: "No child should be in poverty – that’s why our Ministerial Taskforce is looking at all available levers across government as it develops an ambitious strategy to tackle child poverty. Tackling child poverty is a core part of our mission to give everyone opportunity and grow the economy.

“Alongside extending the Household Support Fund to help struggling families this winter, we are also taking bold action to support people into work to spread opportunity and prosperity to all.”