Martin Lewis clears up confusion over child benefit cap

Martin Lewis has cleared up confusion over the two-child benefit cap as Labour defeated an amendment to scrap the controversial measure.

The cap prevents parents from claiming universal credit or tax credit for their third child.

It came into place under a Conservative government April 2017 and applies to children who were born after 6 April 2017.

The Tories said the measures were designed to encourage benefit recipients “to make the same choices as those supporting themselves solely through work."

It is a separate payment to child benefit, which does not have a limit on the number of children it can be claimed for.