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Rachel Reeves’s Funds welfare splurge to top-up pockets of 350k migrant households

NewsRachel Reeves's Funds welfare splurge to top-up pockets of 350k migrant households

Nearly 350,000 households from foreign-born households are set to profit from new measures launched in Chancellor Rachel Reeves’s newest funds.

New evaluation, primarily based on Freedom of Info requests analyzing 2021 census information, has revealed that households originating from Pakistan and Bangladesh are more likely to obtain the most important share of extra funds.

The brand new bungs will probably be awarded to households with three or extra kids following Ms Reeves’s resolution to abolish the two-child profit cap.

Roughly 341,735 migrant households at the moment are set to achieve from the liberalisation, in keeping with analysis by Conservative MP Nick Timothy.

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Pakistan accounts for the most important group, with 59,948 households containing three or extra kids at present residing in the UK.

Bangladesh follows with 26,294 households, whereas Nigeria and Somalia contribute 22,838 and 17,407 households, respectively.

As of 2021, one-third of all households within the UK with greater than three kids have been foreign-born. Nonetheless, this was earlier than the so-called “Boriswave” of non-EU immigration that entered Britain within the wake of the pandemic, which may imply the true figures are far increased.

In whole, there are 710,882 British and foreign-born households with three or extra kids claiming Common Credit score.

Chancellor Rachel Reeves

Abolishing the cap will add £3.5billion yearly to the welfare invoice by 2029/30, with eligible households receiving roughly £300 additional per thirty days for every extra baby past their first two.

Mr Timothy, the MP for West Suffolk who beforehand served as Theresa Could's chief of workers, launched a scathing assault on the Authorities's strategy.

"You must ask whose aspect this Authorities is on," he stated.

"They promised to not put up taxes after their first disastrous Funds, which itself broke their tax guarantees made earlier than the final election.

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Nick Timothy MP

"Now they’re actively selecting to extend welfare spending when they need to be reducing it whereas making working households pay the value.

"And the beneficiaries, as this analysis reveals, will disproportionately be immigrant households who’ve by no means paid into the system."

The 2-child profit cap, initially launched by the Tories in 2017, restricted Common Credit score and tax credit score claims to a household's first two kids.

Senior figures inside Sir Keir Starmer's Authorities harboured issues that eradicating the cap would show politically damaging, as one senior Whitehall supply defined: "There was positively concern that Reform UK and others would spotlight that and that we might be criticised for it.

"However the cap was lifted in its entirety due to inner political strain MPs wished it," they stated.

In the meantime, Reform UK's coverage chief Zia Yusuf described the findings as disgraceful.

"It’s apparent from the information although numerous it’s hidden that the first beneficiaries of the newest Labour coverage will probably be overseas nationwide households, lots of whom should not in work," he stated.

"It’s completely unfair for British households and taxpayers to must pay for that.

Prime Minister Keir Starmer

"You must must put in to take out of our system,” he informed The Solar.

The Prime Minister has strongly defended the Chancellor's advantages boosting funds, arguing it’ll raise 350,000 kids out of poverty.

A Authorities spokesman stated: "General, the proportion of Common Credit score claimants who’re overseas nationals has fallen since October 2024, and we’ll seek the advice of on limiting migrants' entry to advantages if they aren’t making an financial contribution to the UK."

The Conservatives have pledged to reinstate the two-child restrict in the event that they return to energy, with chief Kemi Badenoch set to ship a speech this week criticising what she phrases "Advantages Britain."

Reform UK has proposed lifting the cap just for working British mother and father whose kids have been born within the UK.

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