First minister calls for end to two-child benefit cap

Wales' first minister has called on Sir Keir Starmer to scrap the two-child benefit cap.

Eluned Morgan said her government was "really worried about child poverty" and called the policy, brought in by the Conservative UK government in 2017, "damaging".

She said it "prevents most families from claiming means-tested benefits for any third or additional children born after April of that year". UK government Education Secretary for England Bridget Phillipson said on Tuesday the policy had driven many families into poverty and "nothing is off the table" as ministers consider scrapping it.

Plaid Cymru accused Morgan of "staggering hypocrisy", for previously criticising its calls to end the cap.

But the Welsh Conservatives warned ditching the cap "would come at a financial cost - ultimately borne by hardworking taxpayers".

According to the most recent UK government statistics, 21,000 families in Wales were affected by the cap in April 2024.

Speaking to BBC Wales at the Urdd Eisteddfod on Wednesday, Morgan said her Welsh government was "really worried about child poverty".

The first minister met the prime minister last week in London, following disagreements between the pair and Morgan calling on the Sir Keir to "cough up for Wales".

The UK government is expected to announce its decision on the cap in autumn, when it publishes its child poverty strategy.

"Today we've issued a statement to call on the UK government to get rid of the two child benefit cap," said Morgan.

"We think it is damaging for lots of families in Wales."

Chancellor Rachel Reeves's spending review, which sets out the UK government's financial priorities between now and the next general election, is due to conclude next month.

Asked why now is the time to scrap the child benefit cap policy, Morgan said it was "not a new ask" from the Welsh government, but a case of "putting it up in neon lights", adding: "Now is the time that the decisions are being made in relation to the spending review.

"There are a lot of other competing issues. I want rail money for Wales as well.

"I get that the chancellor has some tough decisions to make. But Labour needs to be the party that's concerned about child poverty, and we are."

Morgan said she had "a really good relationship" with Sir Keir and she could "speak very frankly" with him.

"But there's an understanding that I'm running a government here in Wales, and he's running a government," she added.

"Sometimes, our priorities are slightly different. I have to speak up for Wales and that's what I do.

"This spending review is key, it's critical, but not all of the decisions, not all of the things we want, will be determined in the spending review.

"We may have to wait until the budget in the autumn to get some of the other things we were calling for."

Plaid Cymru accused her of "staggering hypocrisy".

Plaid social justice spokesperson Sioned Williams said: "Just last Christmas, Eluned Morgan derided Plaid Cymru for demanding the two-child cap be scrapped," she said.

"As recently as last October, Labour MSs voted against our calls in the Senedd to stand up for children in poverty and end this cruel cap.

"Meanwhile in Westminster, not a single Welsh Labour MP backed our efforts to scrap it - and Keir Starmer suspended his own MPs for voting to protect children.

"Now, suddenly, Labour are changing their tone. One would be forgiven for thinking this isn't about principle, but panic driven by polling, not values."

Seven Labour MPs had the whip suspended last July, making them sit as independent members in the House of Commons, after voting against Starmer's newly-elected government by backing an SNP amendment to scrap the cap.

The Welsh Conservative leader in the Senedd, Darren Millar, warned "the reality is that eliminating the two-child benefit cap would come at a financial cost, ultimately borne by hardworking taxpayers".

"While the state should always support the most vulnerable, any extra costs must be weighed against the principle of fairness for the taxpayer," he said.

"Labour promised that having two governments working at either end of the M4 would deliver for Wales, but all we've seen is a party at war with itself and a first minister who clearly holds no sway with the prime minister."

The UK government said it was "determined to bring down child poverty".

A spokesperson said: "We've already expanded free breakfast clubs, increased the national minimum wage for those on the lowest incomes, uprated benefits in April and supported 700,000 of the poorest families by introducing a Fair Repayment Rate on Universal Credit deductions.

"We will publish an ambitious child poverty strategy later this year to ensure we deliver fully-funded measures that tackle the structural and root causes of child poverty across the country."