Official figures suggest the number of Universal Credit households affected by the benefit cap rose sharply after Labour abolished the two-child limit and increased benefit rates. The rise matters because more families are now receiving support for additional children, while the separate benefit cap remains unchanged, limiting total payments for some households.

In May 2026, 160,000 households were subject to the cap, up 53,000, or 48 per cent, from February and 47,000, or 41 per cent, from May 2025. Eighty-one per cent included children, with three-child households forming the largest group; the average monthly reduction was £346. London had the highest proportion affected at 4.3 per cent, compared with 1 per cent in Scotland.