Tories vow to re-introduce two-child benefit cap if 'recklessly' scrapped by Labour

The party argues the cap is “necessary to ensure that our country lives within its means and that welfare spending does not spiral out of control”.

It claims getting rid of it would be a “reckless act” and burden the country with more borrowing.

Sir Keir Starmer is looking to make an announcement on the two-child benefit cap at the Labour conference, LBC understands.

Sources said work was underway to scrap it after months of kicking the can down the road under the government's child poverty strategy, which was due in the spring.

The move would cost the country £3.5 billion a year, according to an estimate by the resolution foundation.

The Tories say this would open the door to “unlimited welfare spending”.

Read more: Starmer 'working on' two child benefit cap announcement at Labour party conference

Read more: Abolishing two-child benefit cap is ‘on the table’, says Labour’s Phillipson

This position makes it the only party that is committed to the cap, with Reform, the Liberal Democrats and the SNP all committing to scrapping it.

Conservative Party leader Kemi Badenoch said: “Lifting the two-child benefit cap would be a reckless act that will cost £3.5 billion a year, meaning more taxes and more borrowing, when we are already living beyond our means.

“Keir Starmer is too weak to stand up to his left-wing backbench MPs, so he is preparing to scrap the cap and increase welfare spending. Meanwhile Reform, the Liberal Democrats and the SNP are already campaigning to lift the cap.”

She added that Conservatives are the only party “telling the truth about our finances and saying what should be obvious to everyone”.

“We have to cut the deficit and control public spending so we don’t burden the next generation with yet more borrowing,” Ms Badenoch continued.

She continued: “So I am committing now that if the two-child cap is lifted, the next Conservative Government will reinstate it because we believe in fairness and that people on benefits should make the same responsible decisions about having children as everyone else.”

Shadow Work and Pensions Secretary Helen Whately said the cap ensures a fair system for taxpayers and claimed scrapping it would be fiscally irresponsible.

“Families across the country are working hard to balance their own budgets, and the government must do the same,” she said.

Ms Whately added: "At a time when Labour’s choices are hitting people’s pockets across the country, it is only right that families receiving benefits face the same choices as those who are not dependent on welfare. The two–child cap is central to that principle - it ensures the system is fair, sustainable, and targeted towards those most in need.”

A report by the Institute for Fiscal Studies published this week found the cap has “no statistically significant impact” on children achieving a “good level of development”.

The cap - which limits benefits to the first two children in a family - affects around 1.7million children across the UK.