Keir Starmer has affirmed that a Labour government would retain the controversial two-child benefits cap, despite pressure from MPs to abolish the policy, which has been accused of exacerbating child poverty. The Labour leader stated that the party would not be changing the policy. This comes after Jonathan Ashworth, the shadow work and pensions secretary, described the cap as “heinous” and suggested that it had contributed to child poverty. The cap has faced criticism for leaving families in some of the poorest parliamentary constituencies in England and Wales significantly worse off.
Starmer previously expressed a desire to eliminate the limit in order to address social injustice in the country. However, he hinted earlier this month that Labour would stick with the Tory policy. His recent comments on a BBC interview appear to confirm this stance.
The benefit cap prevents parents from receiving child tax credit or universal credit for any third or subsequent child born after April 2017. Its purpose is to encourage parents with larger families to find new jobs or work more hours. Critics argue that the cap has resulted in deepening poverty among low-income families. The Child Poverty Action Group claims that abolishing the limit would lift 250,000 children out of poverty and reduce the severity of poverty for an additional 850,000 children, at a cost of £1.3 billion.
Starmer’s decision has been seen by some in the party as a reflection of Labour’s commitment to addressing child poverty. Former prime minister Gordon Brown has previously called for the cap to be scrapped, describing it as “totally unfair”.
In contrast, Starmer did not rule out lifting the freeze on housing benefit, which has been in place since 2020 despite rising rents. He stated that he would wait until closer to the general election to make a decision on this matter.
In a later part of his BBC interview, Starmer expressed a willingness to challenge left-wing views in order to win the next election. He stated that his main promise to party members when he took over as leader was to make Labour electorally viable.
Furthermore, Starmer refrained from committing to increased spending under a Labour government, despite calls from unions to support their policy priorities. However, he did state that a Labour government would always seek to invest in public services.
The Labour leader has emphasized the importance of financial responsibility as the party aims to assure voters of its ability to manage the economy. He indicated that he was comfortable with being labelled a fiscal conservative.
While defending Labour’s focus on economic responsibility, Starmer assured that it would not prevent the party from implementing reforms, including changes to the planning system. He highlighted the need for a significant increase in the number of homes in the country.
In an attempt to distance the party from Just Stop Oil, a campaign group with shared donors, Starmer dismissed reports of Labour officials meeting with the group’s representatives as “nonsense”. He stated that while there is a right to protest, it is not an absolute right.
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