Government decision to scrap two-child profit cap welcomed by pro-life group

The Government’s plans to abolish the controversial two-child profit cap within the upcoming November budget have been welcomed by Right to Life UK.

The pro-life group said there was growing evidence that the policy had influenced many ladies’s decisions to have an abortion. 

Chancellor Rachel Reeves is anticipated to formally announce the policy reversal, which can lift restrictions which have hindered families from obtaining financial support through tax credits or Universal Credit beyond their first two children.

Introduced in April 2017, the two-child cap has long been criticised by campaigners who argue that it disproportionately affects low-income families.

Right To Life UK welcomed the Government’s move, pointing to official data showing a pointy rise in abortions amongst women with two or more children in the course of the years following its introduction.

Figures from the Department of Health and Social Care reveal that between 2016 and 2021, abortions amongst women with a minimum of two prior births rose by nearly 26%.

By contrast, abortion rates amongst women with one child or none increased by under 10% over the identical period.

A 2020 survey by abortion provider BPAS found that 59% of moms of multiple children who selected abortion were aware of the cap before their decision.

Among those receiving Universal Credit or tax credits, 57% said the policy played a big role of their decision.

Several women described the pressure they felt.

One respondent said: “If there was no two-child limit I might have kept the child, but I couldn’t afford to feed and clothe it … I’ve really struggled to return to terms with [my decision].” 

Another added: “[The two-child limit] was a giant factor for me. My husband has lost his job so we’re on a really tight budget and after we checked out our funds we realised we couldn’t afford to have one other baby.”

Charities and anti-poverty groups have long argued that the cap entrenches hardship for big families.

The Child Poverty Action Group estimates that throughout the five years for the reason that implementation of the policy, it influenced the lives of 1.4 million children across 400,000 families.

Additionally, the organisation stated: “Every yr about 50,000 children are pushed into poverty consequently of the two-child limit, and an extra 150,000 children who’re already living in poverty see their circumstances deteriorate further.”

According to the End Child Poverty Coalition, the policy reduced support by a mean of £3,514 per child in 2025/26.

The Institute for Fiscal Studies (IFS) has calculated that scrapping the cap will cost taxpayers £3.4 billion annually – “roughly 3% of the working-age profit budget; additionally it is roughly the identical cost as freezing fuel duties for the subsequent parliament, or cutting the essential rate of income tax by half a penny.”

Yet, campaigners argue this investment is mandatory to deal with rising child poverty levels.

The CEO of Right To Life UK, Alisdair Hungerford-Morgan, hailed the announcement as “a big step in the suitable direction.”

He said: “When women discover they’re pregnant, they ought to be met with the sensible help and support they should proceed their pregnancy, not told they are going to receive less financial support for his or her next child than for his or her previous children.”

Government ministers and senior officials in Whitehall, who’ve been considering measures to tackle child poverty, are expected to recommend the removal of the cap to the Prime Minister ahead of the November Budget.