Over a million children are punished for something they can’t control - their birth order

Will it continue the legacy of rising child poverty - or will it honour its promises and break the cycle of disadvantage?

The two-child limit on Universal Credit is one of the most harmful austerity measures introduced in 2017. Disproportionately affecting babies and toddlers, it denies support to children in low-income families because they have older siblings. It’s a policy that punishes families already struggling and kicks them when they are down.

Today, 1.6 million children across the UK are affected by the two-child limit, including over 15,000 in Liverpool. That’s 15,000 children in a city already facing some of the highest levels of deprivation in England - a city where more than one in three children lives in poverty.

The two-child limit penalises families for circumstances often beyond their control, such as job loss or illness, leaving a family of five to survive on a budget designed for four.

More than 1 in 4 households with children now experience food insecurity, this policy takes £10 a day away from each child born after the second, money that could go towards food, clothing and heating. The basics every child needs. And the policy hits hardest where support is needed most:

• 68 per cent of families affected by the two-child limit in Liverpool have a child under five
• 61 per cent are single-parent households
• 44 per cent include someone with a disability

This isn’t only unjust, it is economically misguided, costing the country more in the long run. The evidence is clear: experiencing poverty in early childhood can harm brain development, physical health, and emotional wellbeing. It is linked to poorer educational outcomes, higher NHS costs, and lower productivity. We all pay the price.

And let’s be clear: this isn’t just about people out of work. On a national level, nearly 60 per cent of impacted children have at least one parent in employment. They’re working hard, doing their best, but being told their third child doesn’t count, they should have planned better.

The Government has pledged to tackle child poverty. In July 2024, Prime Minister Keir Starmer said: “No child should be left hungry, cold or have their future held back.” But right now, this policy is holding back over a million futures.

If the Government is serious about breaking the cycle of poverty, it must start by scrapping the two-child limit. Because every child matters - not just the first two.

Other countries understand this. No other nation caps support at just two children. The UK stands out for all the wrong reasons: a wealthy nation choosing to withhold help from children based on birth order.

UNICEF UK’s Early Moments Matter campaign is clear: the early years can shape a child’s future. And right now, we’re shaping a future where over a million children are being left behind.

This government has a choice. It can continue a policy that punishes children for the size of their families. Or it can show leadership, compassion, and common sense in line with its values.

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Joanna Rea is Director of Advocacy at the UK Committee for UNICEF (UNICEF UK).

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