Benefits cap ‘will plunge 200,000 children deeper into poverty’

About 200,000 children will be plunged deeper into poverty under the government’s proposed benefits cap, according to latest analysis by The Children’s Society.

Benefits for families and couples in out of work households will be capped at £500 a week under Welfare Reform Bill plans.

The charity estimates this will affect around 50,000 households with an average cut in their weekly income of £93. Of those affected 69,000 are adults and 206,000 are children.

The Children’s Society’s chief executive Bob Reitemeier said: “We urge the government to urgently re-think this harmful cap. It will lead to thousands more children being pushed further into poverty, despite the government being legally bound to end child poverty by 2020.

“This is simply unacceptable. It would be a giant step backwards that will harm society’s poorest children. We are deeply concerned about the potential impact of this unfair policy.”

The charity is calling on the government to bring in a separate cap level for out of work families with children based on an average income of working families with children.

The charity also estimates the most vulnerable families could lose their homes, making about 82,000 homeless.

This latest analysis has been released ahead of the Welfare Reform Bill’s second reading in the House of Lords on 13 September.

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