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Tuesday, October 14, 2025

“Labour Urged to Raise Gambling Taxes to Fight Child Poverty”

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Labour is urged to consider increasing taxes on gambling companies as a means to generate funds for combating child poverty, according to Lucy Powell. In an article for The Mirror, Powell commended the government for implementing free school breakfast clubs but also called for the removal of the two-child benefit limit, which has been criticized for exacerbating child poverty.

Powell highlighted former Prime Minister Gordon Brown’s suggestion to revamp gambling levies, potentially raising £3.2 billion to abolish the two-child benefit cap. Emphasizing the need to prioritize lifting children out of poverty, Powell advocated for exploring ways to secure additional funding from gambling firms.

Additionally, Powell stressed the importance of clearly articulating the party’s commitment to addressing child poverty and supporting policies like removing the two-child benefits cap. Meanwhile, her rival Bridget Phillipson, leading the government’s child poverty taskforce, denounced the two-child benefit limit as “spiteful” and indicated a willingness to reconsider the policy.

Phillipson affirmed that tackling child poverty would be her primary focus within the Labour Government, emphasizing the need for active leadership to drive progress. The Education Secretary’s remarks followed Powell’s call for a more definitive stance on eliminating the two-child limit in the government’s child poverty strategy.

As discussions intensify within the Labour Party on addressing child poverty, Powell’s advocacy for increased taxes on gambling companies as a funding source has sparked dialogue on potential strategies to combat this pressing issue.

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