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London pledges billions to scrap the controversial two-child benefit cap, but warns that the era of rising welfare bills must end—a shift with significant implications for the Kenyan diaspora.

The United Kingdom has officially declared war on child poverty with a multi-billion shilling strategy, signaling a decisive shift in social policy that balances renewed compassion with strict fiscal discipline.
For the thousands of Kenyans living and working in the UK, and for policy observers in Nairobi, this move marks a critical pivot: the Labour government is scrapping the hated two-child benefit limit while simultaneously tightening the screws on welfare dependency to curb ballooning costs.
At the heart of the new strategy is a pledge to abolish the two-child limit on Universal Credit. This policy, which previously restricted financial support to the first two children in a family, has long been criticized by rights groups for deepening poverty among larger households.
The reversal comes with a hefty price tag. The Treasury has earmarked £3 billion (approximately KES 504 billion) for the initiative. To put this figure into perspective, this single policy adjustment costs nearly as much as the entire projected allocation for Kenya’s county governments in a single financial year.
Pat McFadden, the UK’s Work and Pensions Secretary, emphasized that this expenditure is an investment rather than a handout. “This is about more than the distribution of money. It’s an investment in the future of the children who are affected by poverty,” McFadden noted during the strategy's launch on Friday.
However, the government’s tone was not purely benevolent. McFadden issued a stern warning regarding the sustainability of the current welfare state, hinting that the days of unconditional support are numbered. He argued that the system is currently failing to move enough people into gainful employment.
The strategy outlines a dual approach:
“No one should think the government is backing away from reforming it,” McFadden warned, referring to the welfare system. He insisted that lifting families out of hardship is inextricably linked to improving their employment prospects.
For the Kenyan diaspora in the UK, particularly those navigating the complexities of the Universal Credit system, these changes offer a mixed bag. The removal of the two-child cap offers immediate relief to larger families struggling with the high cost of living in Britain. However, the accompanying rhetoric suggests a tougher environment ahead for those relying on long-term benefits without seeking work.
Locally, the scale of the UK’s intervention highlights the stark contrast in global social protections. While Kenya continues to expand its Inua Jamii cash transfer programmes, the sheer magnitude of the UK’s £3 billion injection underscores the massive economic gap between the two nations' safety nets.
McFadden concluded with a forward-looking sentiment that resonates across borders: “Getting people into jobs will make families better off and save money on the benefits bill.”
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