Child Poverty in the UK: What It Is, Why It Matters and What Can Be Done
Society · Guide
Child Poverty in the UK: What It Is, Why It Matters and What Can Be Done
Four million children in the UK are living in poverty. This guide explains what child poverty is, what is driving it, who is most affected, what the government is doing and what communities can do right now.
Quick read: key points
- 4 million children (27% of all children in the UK) were living in poverty in 2024/25. Of those, 2.8 million are in deep poverty. This is 900,000 more than in 2010/11.
- 72% of children in poverty live in working families. Poverty is not only a problem of unemployment. Low pay, high housing costs and inadequate benefits are key drivers.
- Children in poverty are almost 13 times more likely to experience poor health and educational outcomes by the age of 17 than children from the highest-income families.
- The two-child limit on Universal Credit was removed from April 2026. This is projected to lift 450,000 children out of poverty by the end of this Parliament.
- Free school meals will be extended to all children in households receiving Universal Credit from September 2026, lifting an additional 100,000 children out of poverty.
- At community level, there are concrete steps individuals, schools, faith groups and local organisations can take right now without waiting for government action.
Key terms
| Term | What it means |
|---|---|
| Relative poverty | Living in a household with income below 60% of the UK median income for that year. The standard measure used in the DWP’s annual Households Below Average Income (HBAI) report. Described as relative because it moves with average living standards. |
| Absolute poverty | Living below a fixed income threshold, adjusted only for inflation. Does not move with average wages. In 2024/25, 20% of people in the UK were in absolute low income after housing costs. |
| After housing costs (AHC) | Poverty measured after housing costs are deducted. This is widely considered the more accurate measure because housing costs vary enormously across the UK and take a larger share of low-income budgets. |
| Deep material poverty | A new DWP measure introduced in 2025. A child is in deep material poverty if their family cannot afford four or more essential items from a list of 22 (such as adequate heating, fresh food, school trips or a winter coat). In 2024, 2 million children (14%) were in deep material poverty. |
| Two-child limit | A policy introduced in 2017 that restricted Universal Credit child payments to a family’s first two children. Removed from April 2026. It was one of the main drivers of rising child poverty since 2017. |
| Universal Credit | The main means-tested benefit for people on low incomes, replacing six older benefits. Most families with children who qualify for means-tested support receive it through Universal Credit. |
| No Recourse to Public Funds (NRPF) | A visa condition that prevents some migrants from accessing benefits or housing support. Affects thousands of children in poverty who cannot access mainstream support. |
The scale of the problem
The most recent official data, from the Department for Work and Pensions Households Below Average Income report published in March 2026, shows that 4 million children (27% of all children in the UK) were living in relative poverty after housing costs in 2024/25. Of those, 2.8 million are in deep poverty. 2 million children live in households that are food insecure. 1 million live in households that used a food bank in the last twelve months.
Child poverty is not a new problem but it has worsened significantly over the past fifteen years. The government’s own Child Poverty Strategy, published in December 2025, acknowledged that since 2010 child poverty increased by 700,000, with 900,000 more children in relative poverty than in 2010/11.
Child poverty is unevenly distributed across the UK. Yorkshire and the Humber has the highest regional rate (30%). Child poverty rates are highest in the West Midlands (36%) and London (35%), with London’s high rate reflecting the weight of housing costs. At local authority level, rates range from 6% to 45% across the UK. The North of England alone accounts for 1 million of the 4 million children in poverty.
| Children most at risk | Poverty rate (relative, after housing costs, 2023/24) |
|---|---|
| Children in workless households | 65% |
| Children in Bangladeshi households | 65% |
| Children in Pakistani households | 59% |
| Children in families with three or more children | 44% (up since two-child limit introduced) |
| Children with a disabled family member | 33% |
| Children in single-parent families | Higher than average |
| Children in social or private rented housing | 36% (social), 34% (private rented) |
What is driving child poverty
The causes of child poverty are multiple and interconnected. No single factor explains it and no single policy can fix it. The following are the primary drivers identified in the evidence base.
Low pay and insecure work
72% of children in poverty are in working families. Work does not reliably protect families from poverty in the UK. The growth of low-paid, insecure and part-time employment means that many parents work full time and still cannot cover essential costs. Housing costs take a disproportionate share of low incomes. The National Living Wage increased to £12.21 from April 2025 and £12.71 from April 2026, but remains below what the Living Wage Foundation calculates as sufficient for an adequate standard of living in many parts of the UK.
The two-child limit (now removed)
Introduced in April 2017, the two-child limit prevented families from receiving Universal Credit child payments for third and subsequent children. In April 2025, 1.6 million children in 450,000 households were affected. The policy cost affected families over £3,500 per year and was the single most significant driver of rising child poverty since 2017. It was removed from April 2026. 6 in 10 families affected were in work at the time the limit was scrapped.
Housing costs
High and rising housing costs are a primary driver of poverty measured after housing costs are deducted. Children in private rented and social rented accommodation have poverty rates of 34% and 36% respectively. Private rents have risen sharply since 2021. Housing benefit levels have not kept pace with market rents in most areas of the country, leaving a gap that low-income families cannot fill.
Benefit adequacy and access
Benefits have not kept pace with the cost of living for much of the past fifteen years. Billions of pounds of benefits go unclaimed every year because families do not know they are entitled or face barriers to applying. Families with No Recourse to Public Funds (NRPF) because of their immigration status are excluded from mainstream benefit support entirely, even when their children were born in the UK.
Cost of essentials
Food prices are approximately 40% higher than in 2021. Energy bills remain close to double their pre-2021 level. Low-income households spend a larger share of their income on food and energy than average, meaning they bear a disproportionate share of these price rises. School costs, including uniforms, trips and equipment, add further pressure that many families cannot absorb.
The impact on children
The evidence on the impact of poverty on children’s lives and long-term outcomes is extensive and consistent. The effects compound over time. Children born into low-income families are almost 13 times more likely to experience poor health and educational outcomes by the age of 17 than children from the highest-income families.
| Area | What the evidence shows |
|---|---|
| School readiness | By age five, children from the poorest fifth of homes are already on average over a year behind their expected level of development. |
| Primary school attainment | Only three quarters of the poorest children reach expected Key Stage 2 levels at age 11, compared with 97% of children from the richest families. |
| GCSE attainment | Only 21% of children from the poorest fifth of families achieve five good GCSEs, compared with 75% from the richest fifth. Children who received free school meals when young earn around 25% less at age 30 than peers who did not. |
| Mental health | Children growing up in poverty are more likely to experience anxiety, stress and depression. Children with a probable mental health condition are disproportionately likely to live in households that experienced a reduction in income. |
| Adult earnings | Children who grow up in poverty are more likely to leave school without qualifications, less likely to find work and go on to earn around 50% less by age 40 than their better-off peers. |
| Child protection | Rising poverty is linked to increasing rates of child maltreatment. More than ten babies and young children are referred to authorities daily due to neglect and physical abuse. More than two in five children referred are aged five and under. |
Government response: what is being done
The government published its Child Poverty Strategy, titled Our Children, Our Future, on 5 December 2025. It is described as a decade-long mission. The strategy projects that 550,000 children will be lifted out of relative poverty by the end of this Parliament (2029/30), which would be the largest reduction in child poverty in a single Parliament since comparable records began in the 1990s.
However, even if these projections are met, 4.3 million children are still projected to be in relative poverty by the end of this Parliament. The strategy is a significant step forward but does not resolve the problem within this Parliament.
| Policy | What it does | When |
|---|---|---|
| Removal of two-child limit | Lifts 450,000 children out of poverty. Families with three or more children in Universal Credit no longer capped at two child payments. Affects 1.6 million children. Most families receive the update automatically. | April 2026 (in force) |
| Free school meals expansion | Extended to all children in households receiving Universal Credit. Lifts an additional 100,000 children out of poverty. Worth around £500 per child per year to families. Previously only available to households earning under £7,400 per year. | September 2026 |
| Free breakfast clubs | Half a million more children to benefit. Free breakfast clubs in all primary schools. Saves working parents up to £450 per year and up to 95 hours of time. Schools with highest proportions of free school meal pupils prioritised first. | September 2026 |
| Best Start Family Hubs | Up to 1,000 Family Hubs across every local authority in England by 2028. Over £500 million invested. Provides joined-up early years support including health visiting, family support and childcare. | Rollout to 2028 |
| Universal Credit standard allowance increase | First sustained above-inflation rise in the basic rate of Universal Credit since it was introduced. Worth an estimated £725 annually for a single parent aged 25 or over by 2029/30. | In progress |
| Fair Repayment Rate | Reduced Universal Credit deductions cap from 25% to 15% of standard allowance. Supporting 1.2 million households including 700,000 families with children. Average gain £420 per year. | April 2025 (in force) |
The case for the strategy
The Child Poverty Action Group, The Children’s Society and Save the Children have all welcomed the strategy as a significant step forward. The removal of the two-child limit was described by CPAG as the most cost-effective way to reduce child poverty. Investing in the social security system, rather than cutting it, is the approach most strongly supported by the evidence on what works.
The case for going further
Critics including The Children’s Society note that the benefit cap has not been removed alongside the two-child limit, meaning families in deepest poverty will not feel the full effect of the change. Children in families with No Recourse to Public Funds remain largely excluded from mainstream support despite often being British-born. DWP projections show 4.3 million children will still be in poverty by the end of this Parliament even if the strategy succeeds in full. Joseph Rowntree Foundation and other organisations argue that the scale of investment falls short of what is required to address the structural drivers of child poverty.
What communities can do right now
Government policy sets the framework. Communities shape the reality. The following are practical, evidence-informed actions that individuals, schools, faith groups, employers and local organisations can take at community level without waiting for national policy change.
| Action | Who can do it | What it involves |
|---|---|---|
| Run a Holiday Activities and Food programme | Schools, councils, charities | Free holiday provision for children from low-income families, including healthy meals and enriching activities. Government HAF funding is available. An evaluation of the 2024 Gateshead programme found savings for families of approximately £400 per child and strong wellbeing outcomes. |
| Set up or support a school uniform exchange | Schools, parent groups, community organisations | Second-hand uniform exchanges reduce one of the most visible costs of poverty for families. Half of parents report concern about the cost of school uniforms. Many schools now run these schemes at no cost to families. |
| Connect families to unclaimed benefits | Community workers, faith groups, employers | Billions of pounds of benefits go unclaimed every year. Organisations such as Turn2us and Entitledto offer free calculators. Community workers and trusted contacts can help families navigate what they are entitled to. This is one of the highest-impact actions available at zero cost. |
| Support or refer to a food bank or pantry | Anyone | 63% of emergency food parcels from Trussell’s community of food banks go to families with children. A quarter of children aged 0 to 4 are facing hunger. Volunteering, donating and referring families who may be too ashamed to self-refer are all practical contributions. Find your nearest food bank at trussell.org.uk. |
| Advocate for living wage employment | Employers, business owners, HR teams | 72% of children in poverty are in working families. Employers paying the real Living Wage (set by the Living Wage Foundation at £12.60 per hour in 2024/25) directly reduce child poverty among their workforce. Living Wage accreditation is available to all employers at livingwage.org.uk. |
| Support early years provision | Volunteers, community groups | The government is investing in Best Start Family Hubs across England. Local groups can support early years programmes by volunteering, fundraising or advocating for provision in their area. Early years investment has the highest long-term return of any anti-poverty intervention. |
| Challenge stigma and language | Everyone | Poverty is frequently discussed in language that implies fault: benefits dependency, lifestyle choices, worklessness. The evidence does not support this framing. 72% of children in poverty are in working families. Challenging stigmatising language in conversation, media and institutions is a form of practical advocacy that changes how communities respond. |
| Find out the child poverty rate in your area | Anyone | DWP publishes child poverty rates at local authority and ward level. End Child Poverty publishes rates by parliamentary constituency. Knowing your local rate is the starting point for local action. Find constituency data at endchildpoverty.org.uk. |
Practical steps: if your family is affected
If you are a parent or carer in a low-income household, the following actions are the most direct steps available.
| Step | What to do |
|---|---|
| Check your benefit entitlement | Use the free Turn2us benefit calculator at turn2us.org.uk or Entitledto at entitledto.co.uk. Billions go unclaimed annually. Many families are entitled to more than they receive. |
| Apply for free school meals | If your household receives Universal Credit, your child may now be entitled. Contact your child’s school or local authority. The Eligibility Checking System has been updated to make this easier. |
| Apply for the Household Support Fund | Your local council distributes government funding to help households with food, energy and essential costs. Contact your council directly or search your council name and Household Support Fund. |
| Contact your energy supplier | Ask about the Warm Home Discount (£150 off energy bills in winter) and any hardship funds your supplier offers. Energy companies are required to have hardship funds for customers who cannot pay. |
| Get free debt advice | If debt is a problem, contact StepChange (0800 138 1111), Citizens Advice (0800 144 8848) or National Debtline (0808 808 4000). All are free. Never pay for debt advice. |
| Check school uniform support | Many councils offer school uniform grants. Contact your local authority or your child’s school. Some schools also run uniform exchanges. |
Free support organisations
| Organisation | What they offer | Contact |
|---|---|---|
| Child Poverty Action Group (CPAG) | Expert information on benefits, legal rights and child poverty policy. Welfare rights guides and advice tools. | cpag.org.uk |
| Turn2us | Free benefit calculator, grant search and financial support finder. One of the most comprehensive tools for checking entitlement. | turn2us.org.uk |
| Citizens Advice | Free advice on benefits, debt, housing and legal rights. Local offices and national phone line. | 0800 144 8848. citizensadvice.org.uk |
| Trussell (food banks) | Network of community food banks. Emergency food parcels for families in crisis. Find your nearest food bank. | trussell.org.uk |
| Save the Children UK | Direct grants, baby banks, holiday hunger programmes and school uniform support for families in need. | savethechildren.org.uk |
| StepChange | Free debt advice and debt management plans. Confidential, non-judgmental support for families in financial difficulty. | 0800 138 1111. stepchange.org |
| End Child Poverty | Local child poverty data by constituency and local authority. Campaigning resources and reports. | endchildpoverty.org.uk |
| Living Wage Foundation | Real Living Wage rates and employer accreditation for businesses that want to pay a wage that meets actual living costs. | livingwage.org.uk |
Sources used in this guide
DWP, Households Below Average Income 2024/25 Published March 2026. Primary source for all headline child poverty figures including the 4 million children (27%) figure.
DWP, Deep Material Poverty: Financial Year Ending 2024 Published December 2025. Source for the 2 million children (14%) in deep material poverty figure.
HM Government, Our Children, Our Future: Tackling Child Poverty Child Poverty Strategy, published 5 December 2025. Source for all government policy commitments and projections.
HM Government, Two-Child Limit Removal GOV.UK announcement, 19 March 2026. Confirmed removal from 6 April 2026 and projected 450,000 children lifted from poverty.
House of Commons Library, Poverty in the UK: Statistics Updated May 2026. Source for historical trend data, ethnic group and regional breakdowns.
House of Commons Library, Which Children Are Most Likely to Be in Poverty? Published March 2025. Source for poverty rates by family type, employment status and ethnic group.
Child Poverty Action Group Response to Child Poverty Strategy, December 2025. Source for CPAG analysis and two-child limit impact data.
Skinner and Kennedy, Sage Journals, 2025 The cost of poverty for child development. Source for 13 times more likely figure and child protection data.
DWP, Low Income Poverty Projections FYE 2025 to FYE 2030 November 2025. Source for projection that 4.3 million children will still be in poverty by end of Parliament.
Local Government Association, Holiday Activities and Food Programme December 2025. Source for HAF evaluation data and community provision evidence.
Published by The Knowledge Loop Company | www.theknowledgeloop.com
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