Starmer: Tory-Reform pact to plunge children into poverty would mean a “lost generation” of kids in every corner of Britain

Prime Minister Keir Starmer will warn that Tory and Reform UK plans to reverse Labour action to reduce child poverty would plunge hundreds of thousands of struggling children back into poverty.

His warning comes as the Labour Government today [Thursday] will introduce landmark legislation to Parliament to abolish the Two Child Limit to ensure all children get the best start in life.

At November's Budget, Chancellor Rachel Reeves announced the Two Child Limit will be scrapped in full, raising almost half a million children out of poverty across the UK. Two thirds of children currently held back by the failed Tory policy live in working households.

Tackling child poverty is an investment in our country's future. Children who grow up in poverty do less well at school, are more likely to be not in education, employment or training when older, and earn less throughout their lifetimes.

Both Reform UK and the Conservatives' policies on the Two Child Limit would see almost half a million children fall back into poverty, analysis has found. This would be a hammer blow for thousands of families in every corner of the country who otherwise set to be helped by the fair choices the Labour Government has made.

Kemi Badenoch has pledged to reinstate the Two Child Limit in full, plunging 470,000 children back into poverty.

Nigel Farage's policy on the Two Child Limit would help just 3,700 children, which is less than 1 per cent of those affected, according to analysis from the Department of Work and Pensions. Implementing his plans would push 466,000 children back into poverty.

On a visit in Bedfordshire today, the Prime Minister will underline the stark contrast between the firm action Labour is taking to significantly reduce child poverty, and the risk Reform and the Tories pose to that progress, saying it “exposes the deep division and decline” their parties peddle, and that such approaches must be firmly rejected.

Prime Minister Keir Starmer is expected to say:

“Nigel Farage seems intent on linking arms with the Conservatives in a cruel alliance to push kids who need help back into poverty. This child poverty pact is something that should worry us all. These aren't numbers on a spreadsheet – these are children's life chances at stake.

“Labour chooses the other road – lifting almost half a million kids out of child poverty – and that's what we're doing this year. It's the right thing to do for them, their families and our economy. It's astonishing that Reform and the Tories would undo that change and leave a lost generation of kids in every corner of Britain.

“This year Britain is turning a corner, and we're not leaving anyone behind. That's the change you get with Labour – and I'm determined to make sure people right across Britain feel that change this year. We can, and we will, build a Britain built for all.”

In May, Nigel Farage seized headlines by calling for the Two Child Limit to be scrapped. But he later clarified that this was only for “working British people, meaning a couple who both work 37.5 hours a week”.

Now, DWP analysis shows that of the 470,000 households affected by the Two Child Limit (in receipt of Universal Credit with three or more children, of whom the third was born after 6 April 2017), just 3,700 – less than 0.8% of the total – have two adults working full-time.

That means that Reform's policy would help very few children and have almost no effect on child poverty.

The Reform and Conservative policies on the Two Child Limit would take money out of the pockets of families right across Britain. 60,000 households in London alone would lose support if the government's action was reversed, as would around 19,000 families in Wales and 26,000 families in Scotland. 

Families struggling with the cost of living will also benefit from Labour's plans to take £150 off energy bills in April and the rollout of free breakfast clubs.

The Two Child Limit has been one of the biggest drivers of child poverty since its introduction in 2017.

Ends

Notes:

1. Nigel Farage seized headlines earlier this year by calling for the two-child limit to be scrapped.

“We built this country around three key principles, things that we think need to be fought for and defended, things that we think most people in this country hold the dearest in their hearts. And that is of course family, community and country. And that is why we believe lifting the two child cap is the right thing to do.”

Nigel Farage, Reform press conference, 27 May 2025

2. Farage later clarified that this policy only applied to couples who both work 37.5 hours a week.

Beth Rigby: You say you will be the party that backs working people, in light of that, are you reconsidering your policy to scrap the two child benefit cap, given that it will add £3.4 billion a year to the welfare bill?

Nigel Farage: No, because what I said specifically was we would scrap it, no one listened, but we'll scrap it for working British people, meaning a couple who both work 37.5 hours a week.

Beth Rigby: So if people are on benefits?

Nigel Farage: They're not going to qualify for it.

Sky News, 6 September 2025

3. Kemi Badenoch has pledged to bring back the two-child benefit cap and claimed that Reform wants to scrap the two-child limit, suggesting that she is not aware of what their actual policy is.

“If this Labour government scraps the two-child benefit cap, I want people to know, a future Conservative government will bring it back. The cap makes sure people on benefits have to make the same decisions about having children as everyone else. This is fairness. But this is not the kind of fairness that Labour believe in. Only the Conservatives believe in the fairness of the two-child benefit cap. Every single other party in politics – the Liberal Democrats, the Greens and even Reform want to scrap it. Right now, Nigel Farage and Zia Yusuf are holding a press conference on how they would supposedly save money, but in reality, they want to increase benefits by scrapping the two-child benefit cap. They just don't get it.”

Kemi Badenoch, press conference, 18 November 2025,https://www.conservatives.com/news/cut-tax-cut-spending-and-get-britain-back-to-work 

4. According to the latest published DWP figures, in April 2025 there were 469,780 households affected by the two-child limit, with 1,665,540 children living in these households (Universal Credit claimants statistics on the two child limit policy, April 2025 - GOV.UK).

5. A recent Parliamentary answer revealed that “In April 2025, 3,700 couple households where both parents were earning at least the equivalent of 36.5 hours at the national living wage were affected by the two child limit” (Stephen Timms, written PQ answer, 15 December 2025).

6. The proportion of the total cohort of households affected by the two-child limit who would benefit from Reform's policy is therefore 0.79%.

7. The DWP has published, by region and nation, the number of households affected by the two-child limit (excluding those who are also affected by the household benefit cap, and who will therefore not gain as a result of the removal of the two-child limit). The figures include the number of children living in these households. Figures refer to April 2025 (Poverty impacts of social security changes at Budget 2025 - GOV.UK).