7 Essential Facts About The £293 Universal Credit Boost Per Child: What The Scrapped Two-Child Limit Means For Your Family
The £293 Universal Credit boost per child is not a new, separate payment but rather the crucial monthly value of the 'child element' that families will now be able to claim for their third and subsequent children. As of December 19, 2025, this figure is at the heart of the UK's most significant welfare reform in years: the confirmed decision to scrap the controversial two-child limit on Universal Credit and Child Tax Credit.
This major policy shift, announced to take effect from April 2026, is set to provide a vital financial lifeline to hundreds of thousands of low-income households. The £293 figure represents the current monthly rate of the child element for a child born before April 6, 2017, or the higher rate for a disabled child, and its restoration for all children is a monumental step toward improving living standards and alleviating child poverty across the UK.
The Confirmed End of the Two-Child Limit: A £293 Lifeline
The two-child limit has been one of the most contentious elements of the Universal Credit system since its introduction. This rule prevented families from receiving the 'child element' of Universal Credit or Child Tax Credit for a third or subsequent child born after April 6, 2017. The government's decision, confirmed in late 2025, to remove this cap entirely is the direct source of the so-called "£293 Universal Credit boost."
The 'boost' is simply the value of the payment that was previously withheld. For families with three or more children, this change means a substantial and permanent increase in their monthly income, providing a much-needed injection of funds to cope with the ongoing cost of living crisis. The policy is specifically designed to target the poorest households, where the impact of the limit has been most severe.
Key Details of the Policy Change and Implementation
- Effective Date: The removal of the two-child limit is set to take effect from April 2026.
- The £293 Figure: This is the approximate monthly value of the higher Universal Credit 'child element' payment. While the exact rate is subject to annual uprating (which typically occurs in April), the figure of £293 per month is the rate often used when discussing the financial impact of the policy on a per-child basis.
- Who Benefits: Households with three or more children who are currently claiming Universal Credit or Child Tax Credit will see their payments increase for every child previously excluded by the cap.
- Impact on Poverty: Policy analysts estimate that this change will lift hundreds of thousands of children out of poverty, making it one of the most effective measures in recent years for supporting low-income families.
Understanding the Universal Credit Child Element Rates
To fully grasp the significance of the £293 boost, it is essential to understand how the Universal Credit 'child element' is calculated. This element is an extra amount added to a claimant's standard allowance for each dependent child. The rates vary based on the child's birth date.
Currently, there are two main rates for the Universal Credit child element (though these are subject to annual uprating by the Department for Work and Pensions (DWP)):
Monthly Universal Credit Child Element Rates (Approximate)
The £293 figure is a crucial benchmark, but families should be aware of the different rates that apply:
- First or Second Child (Born on or after 6 April 2017): This rate is the lower of the two, but is paid for the first two children regardless of birth date.
- Child Born Before 6 April 2017: This higher rate is paid for children born before the two-child limit was introduced. This is the rate often approximated by the £293 figure.
- Disabled Child Element: An additional, significantly higher amount is paid for a disabled child, which is likely where the £293 figure is most consistently derived, as it represents a major financial uplift.
The removal of the limit means that for a third, fourth, or fifth child, a family will receive the applicable child element rate, which can be up to the £293 per month benchmark, depending on the child's age and circumstances.
Beyond the £293: Other Key Universal Credit Changes for 2025/2026
While the scrapping of the two-child limit and the resulting £293 boost dominates the headlines, several other significant welfare reforms are scheduled for 2025 and 2026 that will impact Universal Credit claimants. These changes are part of a broader government strategy to adjust the welfare system in response to inflation and economic pressures.
Major Universal Credit and Benefit Reforms
Families receiving Universal Credit should keep track of these additional changes:
- Standard Allowance Uprating: The Universal Credit standard allowance is set for an increase, typically tied to the September Consumer Price Index (CPI) from the previous year. This annual uprating is a critical factor in maintaining the value of the benefit.
- Benefit Cap Adjustments: The overall Benefit Cap, which limits the total amount of benefits a household can receive, is also subject to review and change. From April 7, 2025, the threshold was adjusted, meaning some households previously capped may receive more, while others may see a change in their total entitlement.
- National Minimum Wage Increase: The National Minimum Wage (NMW) and National Living Wage (NLW) are also set to increase. Since Universal Credit payments are affected by earnings, this change will impact the calculation of benefits for working claimants, often leading to a reduction in their UC payment due to the taper rate.
- The 'Baby Element' Proposal: Although not yet confirmed government policy, there has been significant discussion around introducing a specific 'baby element' to Universal Credit. This proposal suggests a £293 per month boost for families with a child under one year old, highlighting the high costs associated with a new baby. This is another reason the £293 figure has gained traction in public discourse.
The £293 Universal Credit boost per child is a powerful symbol of a policy reversal that will have a real-world impact on family finances. For claimants, the most important action is to ensure their details are up-to-date with the DWP and to monitor official government communications as the April 2026 implementation date approaches. This financial injection for third and subsequent children represents a significant shift in welfare policy and a major step towards better financial security for the UK's most vulnerable families.
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