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flag Lucy Powell proposes taxing gambling to end the two-child benefit cap, lifting 500K kids out of poverty.

flag Labour deputy leadership candidate Lucy Powell has proposed raising taxes on gambling firms to fund ending the two-child benefit cap, a 2015 policy limiting child tax credits and universal credit to the first two children in most households. flag She argued the move could lift half a million children out of poverty and emphasized Labour’s need to clearly prioritize fighting child poverty. flag Powell cited a report suggesting gambling tax reforms could generate £3.2 billion. flag Her rival, Education Secretary Bridget Phillipson, also supports scrapping the cap, calling it a moral imperative, while Prime Minister Sir Keir Starmer has not committed but hasn’t ruled it out. flag Both candidates have secured enough backing to advance to the final ballot, with the winner to be announced on October 25 following a hustings event at Labour’s annual conference.

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