Martin Lewis has issued a clarification to anyone claiming Child Benefit, explaining the difference between Child Benefit, the two-child limit, and the benefit cap. The Money Saving Expert took to X to clear up confusion after 'child benefit' trended, noting that the trending topic actually concerns the two-child cap on Universal Credit, which is a separate issue.
In a video he shared last year, Lewis explained that Child Benefit is a universal payment of £25.60 a week for the first child and £16.95 for each subsequent child (now £26.05 and £17.25 respectively as of April 2025). This is subject to the benefit cap and an additional restriction based on the highest earning parent's income.
The two-child limit, which has been in the news, applies to Universal Credit and Tax Credits for low-income families. It means that for a third or subsequent child born after April 6, 2017, no additional benefit is provided. There are exemptions for children born before that date.
Lewis also addressed the benefit cap, which sets a maximum amount a household can receive in benefits, including Child Benefit, Universal Credit, and Tax Credits. He urged people to check online for the full list of affected benefits to see if they might be impacted.
The clarification comes after reports that the government is unlikely to scrap the two-child cap, despite charities claiming it could lift 350,000 children out of poverty. Meanwhile, free breakfast clubs have been introduced in 750 schools, potentially saving parents up to £450 a year.
