London, December 09, 2025
The UK government has unveiled a new Child Poverty Strategy to lift 550,000 children out of poverty by 2030 through a comprehensive package of measures targeting benefits, housing, education, and cost-of-living support. The strategy was launched on December 5, 2025, positioning child poverty reduction as a government priority.
Headline Goal and Benefits Reform
The central ambition of the strategy is to reduce child poverty by lifting approximately 550,000 children out of relative low income by the end of this parliament, around 2029/30. A key policy shift is the scrapping of the two-child limit on benefits such as Universal Credit and Child Tax Credit, expected to alone lift 450,000 children out of poverty. Families can now claim childcare support for all children, not limited to the first two.
Cost of Living and Essential Support Measures
The plan includes support to help families save up to £500 annually on baby formula. Broader cost-of-living initiatives encompass a £150 discount on energy bills and an increase in the living wage, which will add roughly £900 per year for full-time workers, aiming to alleviate in-work poverty.
Expansion of Childcare and Educational Support
To improve access to early years education, the government commits £400 million to create 3,000 new nursery places and expand 30 hours of free childcare for eligible working parents of children aged nine months up to school age. This extension could save families up to £7,500 annually. Additionally, from September 2026, free school meals will be available to all children in households receiving Universal Credit, benefiting over 500,000 children. The strategy also supports breakfast clubs with funding for schools already serving five million meals annually.
Housing and Temporary Accommodation Reforms
Acknowledging housing as a major factor in child poverty, the strategy bans councils from placing families in Bed and Breakfast accommodations for longer than six weeks. Starting April 2026, a £950 million Local Authority Housing Fund will facilitate the delivery of up to 5,000 high-quality temporary homes by 2030. A new legal duty requires councils to notify schools, GPs, and health visitors when children enter temporary accommodation to ensure coordinated support. Furthermore, the government will collaborate with the NHS to prevent discharging new mothers into unsuitable housing.
Support for Families and Holiday Programs
Up to 1,000 Best Start Family Hubs will be established across England with £500 million in funding to provide integrated health, education, and parenting services. The Holiday Activities and Food Programme will receive more than £600 million, providing healthy meals and activities to half a million children during school holidays. A £1 billion Crisis and Resilience Fund has also been announced to enhance crisis support for families.
Implementation and Legal Framework
The strategy is anchored in the Children’s Wellbeing and Schools Bill, which introduces a legal duty on councils to notify schools and health services of children entering temporary accommodation. The government characterizes this as a cross-government mission, addressing child poverty through an integrated approach involving work, housing, education, and health sectors.
Reactions and Wider Context
Charities and campaigners, including the Joseph Rowntree Foundation (JRF) and Fair By Design, have welcomed the abolition of the two-child benefit limit and the focus on in-work poverty. The Local Government Association supports measures aimed at reducing in-work poverty and improving childcare access. However, some campaigners remain critical, arguing the strategy’s ambition falls short and warning that nearly four million children might still live in poverty by 2030 despite these changes. The JRF calls for additional policies such as a protected minimum floor in Universal Credit and halting planned cuts to disability benefits. The Conservative opposition counters that economic growth and well-paid jobs, rather than benefit increases, are the best solutions to child poverty.
Significance and Future Outlook
Reducing child poverty is widely recognized as critical due to its long-term detrimental effects on health, education, and life opportunities. Education Secretary Bridget Phillipson has described tackling child poverty as a governmental imperative and “a stain on our country.” The strategy’s success will depend on adequate funding, effective implementation, and whether planned cuts to disability and health-related benefits are reversed. A forthcoming Homelessness Strategy will provide further details on housing initiatives.