Sir Keir Starmer confirmed a £304 monthly boost for Universal Credit claimants in his resignation speech on Monday, stating that half a million children would be lifted out of poverty as a result of decisions by him and Chancellor Rachel Reeves.
Scrapping the Two-Child Benefit Cap
Labour has scrapped the two-child benefit cap, allowing parents with larger families to claim more in Universal Credit. Previously, families could only claim for two children. Households with three children will now receive an extra £304 each month, while those with four children will get £608. Families with five or six children can claim even more.
Starmer Defends the Policy
Speaking during Prime Minister's Questions on Wednesday, Starmer passionately defended the divisive policy. He said: "Thanks to this Chancellor we've delivered the fastest falling NHS waiting lists in 17 years, the money for new rights for renters and working people. And we're lifting half a million children out of poverty."
Critics Warn of Ballooning Welfare Bill
Critics argue that the decision has caused the welfare bill to balloon, but Starmer insisted tackling child poverty was the right thing to do. He concluded: "The test for any Prime Minister is handing over the country in better shape than you found it. I know I can do that. Because of our decisions, my decisions, the country is moving in the right direction in a stronger and a fairer Britain."
Starmer's Legacy
Starmer highlighted his record, including ending austerity, investing in public services, reducing NHS waiting lists, strengthening workers' and renters' rights, supporting Ukraine, restoring Britain's reputation, and lifting half a million children out of poverty. He stated: "Change promised by a Labour Government, fought for by a Labour Government, change delivered by a Labour Government."



