Bridget Phillipson Urges Starmer to Scrap Two-Child Benefit Cap

Published: 09 October 2025 | The English Chronicle Desk | The English Chronicle Online

Bridget Phillipson has vowed to press Sir Keir Starmer to abolish the two-child benefit cap if she becomes the deputy Labour leader, emphasising the need for stronger action against child poverty across the United Kingdom. Speaking ahead of the ballots sent to Labour members, the Education Secretary said she is seeking a clear mandate from party members to push the party to act decisively on welfare reform and child support.

The two-child benefit cap, first introduced by the Conservative government in 2017 and maintained under the current administration, prevents families from claiming child tax credit or Universal Credit for their third child and any subsequent children. Critics have argued that the policy has contributed to deepening child poverty, particularly among low-income households, with growing calls from within the Labour Party for the limit to be lifted entirely.

During a Politics weekly podcast with The Guardian, Phillipson stated that she would urge Sir Keir Starmer and Chancellor Rachel Reeves to scrap the cap altogether. She highlighted that each year the policy remains in place, more children are pushed into financial hardship, saying: “Every year that passes, more children move into poverty and the evidence is there for all to see. I have pushed to take action ahead of the Budget and that’s why we’re expanding free school meals, which will lift 100,000 people out of poverty. But there is more to do and that is why I am seeking a mandate from members to do more.”

Phillipson acknowledged that completely removing the policy would carry a significant financial cost, but she emphasised that funding was possible. “I have never said there is no money left to do this. It is a question of priorities. If we want to tackle child poverty effectively, this must be a priority for Labour,” she said. When asked whether a vote for her would be interpreted as a mandate to push for the total removal of the two-child cap, Phillipson confirmed: “Yeah. Members should know if I’m at that Cabinet table, I know what needs to happen and I know what we need to do.”

The two-child cap has long been a contentious issue within Labour and beyond. Last year, Sir Keir Starmer suspended seven of his MPs for six months after they voted for a Scottish National Party motion to abolish the cap, highlighting the internal tensions the policy has caused. Current proposals under consideration by Chancellor Reeves suggest a tapered system that would see families receive slightly reduced benefits for additional children rather than a full removal of the limit. However, Phillipson has been clear that she believes partial measures are insufficient and that the policy should be scrapped entirely.

As chair of the Government’s child poverty task force, Phillipson has a significant platform to influence welfare policy. Research from the Institute for Fiscal Studies shows that removing the two-child limit could cost taxpayers around £2.5 billion per year but would lift roughly 540,000 children out of absolute poverty. Advocates argue that such a move is essential to provide a fairer and more compassionate welfare system and to ensure that families are not penalised simply for having more children.

Labour members are currently voting to elect a new deputy leader following Angela Rayner’s resignation last month, which followed a Telegraph investigation into her tax affairs. Phillipson is competing against Lucy Powell, a former leader of the Commons who was dismissed by Starmer in a reshuffle after Rayner’s departure. Powell has also publicly called for the two-child cap to be lifted and currently leads in Labour membership surveys. She is considered a close ally of Andy Burnham, the Mayor of Greater Manchester, who is tipped as a potential future leadership contender.

The leadership contest has drawn attention not only for the welfare policy debate but also for broader discussions about the Labour Party’s strategy and effectiveness in government. Both candidates have acknowledged that the government made mistakes during its first 15 months in office. Phillipson highlighted areas such as welfare reform and the winter fuel allowance, stressing the importance of learning from these errors to improve future policy implementation.

Powell also stressed the need for honest reflection, saying, “While everyone wants the government to succeed, we all know that we can do better and we’ve got to do better. We have made mistakes and they’ve been significant. Let’s not sugar-coat that. Learning the right lessons is essential if we are to regain public trust and deliver on promises.”

Child poverty has become an increasingly central issue for the Labour Party as economic pressures continue to affect low- and middle-income households. Rising living costs, coupled with the impact of the two-child cap, have left thousands of children living below the poverty line, struggling to access essential nutrition, education, and healthcare. Expanding free school meals and other welfare initiatives has been part of Labour’s response, but senior figures like Phillipson argue that more radical measures are required.

Phillipson’s campaign also highlights a generational aspect, appealing to younger Labour members and those affected directly by the cap. Her emphasis on seeking a clear mandate reflects a strategic approach, seeking not only party approval but also broader public support for a policy reversal. Analysts note that if Labour wins the upcoming general election with a strong mandate to remove the two-child cap, it would mark a major shift in the party’s social welfare agenda and signal a commitment to tackling child poverty in a substantive way.

The deputy leadership contest will conclude with the announcement of the winner on 25 October, and the outcome could have significant implications for Labour’s internal policy debates and public perception. If Phillipson is successful, she is expected to prioritise discussions with Starmer and the Chancellor to ensure that the party’s stance on the two-child cap is implemented in full. Conversely, Powell’s potential victory would likely maintain pressure on the party to deliver reforms but may favour more incremental changes rather than a complete removal of the policy.

Both candidates have emphasised the importance of listening to members and responding to evidence-based research when crafting policy proposals. The debate over the two-child cap is emblematic of a broader ideological struggle within the party, balancing fiscal responsibility with social justice and the moral imperative to reduce child poverty.

For many families affected by the policy, the deputy leadership race represents more than internal party politics; it is a chance to influence the future of social welfare in the UK. The voices of parents, children, and advocates continue to shape the debate, reminding policymakers of the human impact of economic and social legislation.

As ballots are counted and the Labour membership prepares to make its choice, Phillipson and Powell will continue to articulate their visions for the party, with the two-child benefit cap as a central battleground. The winner, announced later this month, will carry a mandate to engage with government ministers and party leadership, setting the tone for Labour’s approach to welfare reform and child poverty in the coming years.