Labour suspends seven members voted to abolish the two-child benefit cap

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Labour Party to suspend seven of its members who voted in favor of abolishing the two-child benefit cap has ignited significant debate within political circles and among social policy analysts. The two-child limit, introduced in 2017, restricts tax credits and Universal Credit payments to only the first two children in a family, a policy that critics argue disproportionately affects lower-income households. The suspension of these party members highlights an ongoing tension between adherence to party discipline and the moral imperatives associated with social welfare policies.

This incident raises important questions about intra-party democracy and dissenting voices within political organizations. The suspended members, motivated by their constituents' needs, sought to advocate for a more inclusive approach to family benefits. Their actions suggest a growing recognition among some Labour representatives that existing policies may not align with contemporary societal values or economic realities. This schism underscores the challenges faced by parties attempting to balance ideological commitments with electoral pragmatism.

John McDonnell was among the Labour MPs who voted for an SNP motion calling for an end to the policy, which prevents almost all parents from claiming Universal Credit or child tax credit for more than two children.

Mr McDonnell backed the SNP motion alongside Richard Burgon, Ian Byrne, Rebecca Long-Bailey, Imran Hussain, Apsana Begum and Zarah Sultana.

MPs rejected the SNP amendment by 363 votes to 103, in the first major test of the new Labour government’s authority.

George Osborne, the cap prevents parents from claiming universal credit or child tax credit for a third child. According to the Department for Work and Pensions (DWP), there are 1.6 million children living in households affected by the two-child benefit cap. 

The vote has also caused deep tensions between backbenchers, and a number who are supportive of the change have been angered by the fallout and believe that the rebellion will make it harder for the government to now concede on the issue and is likely to alienate new MPs. One MP said the tactics had been “all stick” rather than any real discussion of the issue.

In what appeared to be a move to mollify potential rebels, Keir Starmer indicated for the first time on Monday that he will consider scrapping the cap, which had previously been said to be unaffordable. Bridget Phillipson, the education secretary, said that removing the cap was among measures the government would look at as part of a review into child poverty.

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