Today is a major victory in our fight to end child poverty, says North East Mayor
“Today is a major victory in our fight to end child poverty,” says North East Mayor, Kim McGuinness.
Ms McGuinness spoke of how the Budget, set out today by chancellor Rachel Reeves, will impact the North East, with a boost for some families.
It includes the lifting of the two-child benefit cap "within universal credit" from April 2026.
Currently, many low-income families do not receive further benefits after having a third or subsequent child as they can only claim universal credit or tax credits for their first two children.
The lifting of the cap has been hailed as life-changing.
North East Mayor, Kim McGuinness, said: “Today is a major victory in our fight to end child poverty in the North East. We fought for the end of the cruel two-child benefit cap that pushed families into poverty and stifled opportunity.
“Today the Chancellor lifted that cap. This will change the lives of nearly 50,000 North East children. Every child deserves the best possible start in life, and this makes our £30m child poverty action plan even more impactful.
“At the same time more than 4,200 retired miners in our region will get bigger pension payments, something families across our region will celebrate.”
She added: “I lobbied government to keep bus fares affordable so I’m pleased they’ve listened and kept the cap. However, I’m planning to keep them even lower for North East passengers, with plans to freeze our £1 for young people aged 21 and under and a £2.50 fare for adults, that’s 50p cheaper than the national cap.
Other changes include new powers to place an overnight tourist tax on visitors to the region.
The new levy will enable regional mayors to generate additional income to further develop tourism, jobs, and infrastructure in their areas.
“A visitor levy means we can enter a new era of regional events and festivals. This will create thousands of jobs, while attracting even more visitors to our unique world heritage sites at Hadrian’s Wall and Durham Cathedral, our stunning coastlines and the iconic Tyne bridges and quayside,” added the Mayor.
“We’ve also secured £96m for a Local Growth Fund which we will use to help small businesses on our high streets and retail parks to grow and create new jobs for people right across our region.
“While I welcome these measures, we now must see more for the North East in the coming months. Including a commitment to re-opening a railway line connecting towns and villages in County Durham with our Metro at Washington, as well as upgrades to the East Coast Main Line.”