The Two Child Limit Payment (Scotland) Regulations 2026: scrutiny report

There are exceptions to the two-child limit for some children. To qualify for some of these exceptions, an individual may need to disclose personal information and relive traumatic experiences. The non-consensual conception exception has been problematic in its definition, delivery and evidence requirements.¹For example, Equality Impact Assessment page 32, CAS and Scottish Women’s Aid responses to
the Scottish Government consultation, also CPAG and CAS responses to our call for evidence Social Security Scotland and the Scottish Government should adopt processes and policy design which are sensitive to potential trauma which may be triggered by consideration of the choice of whether to apply for an exception or mitigation payment.

In almost all cases²The only example stakeholders raised where someone may be better off claiming a Two Child Limit Payment rather than an exception to the two-child limit is where they are eligible for a transitional payment of Universal Credit. Someone could become impacted by the benefit cap if they apply for an exception rather than a Two Child Limit Payment but the benefit cap should also be mitigated so they should be no worse off by applying for an exception as long as they get a payment to mitigate the benefit cap. it seems that families are likely to be no worse off applying for an exception, and in some cases will be better off with an exception rather than a Two Child Limit Payment. However, some individuals may choose to claim the Two Child Limit Payment even if it results in a lower payment.

We welcome the decision that individuals who could be eligible for either an exception or a Two Child Limit Payment are not required to apply for an exception if they prefer to claim the Two Child Limit Payment instead. We note that this may mean, in some cases, the Scottish Government could be making a mitigation payment in circumstances where an exception may be applied for. This would increase Scottish Government expenditure, which could be avoided. However, the numbers impacted are likely to be small³In most cases the household is also likely to be impacted by the benefit cap, which the Scottish Government has committed to fully mitigate, so there would be no net impact on Scottish Government finance. There will be cases, such as where the claimant has an exception to both the two-child limit and the benefit cap where there could be an impact, but we think will be a small number of cases and we feel that this approach is in line with principle (d) (respect for the dignity of individuals is to be at the heart of the Scottish social security system). We are therefore content, that on balance, this policy decision is in line with the principles.

Recommendation 4: Social Security Scotland should ensure all staff take a trauma-informed approach when working with individuals who are considering applying for either an exception under Universal Credit rules or the Two Child Limit Payment.