Rachel Reeves suggested she favored removing benefits linked to family size in next month’s budget.
The Chancellor told the BBC it was not right that children in larger families were “punished” through “no fault of their own”.
The comments are a sign she could get the two-child limit on in-work benefits introduced under the Conservatives in 2017.
Some Labor MPs are calling for a complete overhaul of the policy, amid reports he is considering paying back children.
In September, the Guardian reported that Treasury officials were considering a tapered approach, where parents would receive benefits for their first child and less for subsequent children.
Other options considered included limit additional benefits to three or four children, the newspaper reported.
But speaking to Matt Chorley on BBC Radio 5 Live, Reeves suggested he did not want to see benefits limited by family size.
“I don’t think it’s right that a child is punished because they are in a bigger family, for no fault of their own,” he added.
“And so we will act on child poverty. The last Labor government was proud to reduce child poverty, and we will tackle child poverty again.”
Elsewhere in his speech, he confirmed all the government’s plans to dismantle the manifesto of the labor manifesto of the previous year without paying taxes, VAT or national insurance.
“It may be possible to stick to the manifesto commitments. But it should require things like deep cuts in capital spending,” he added.
“What I promised in the election campaign was to bring stability to our economy.
“My charm now is that I always do what I think is right for our country. Not the easy political choice, but the things that I think should put our country on the right path”.
The two-child cap prevents households with universal or child credit from receiving payment for a third or subsequent child born after April 2017.
The Resolution Foundation Think Tank says axing the policy will cost £3.5bn and lift 470,000 children out of poverty.
Sir Keir Starmer has previously spoken of his desire to step down if economic conditions allow, without specifying the exact circumstances.
The pressure to count the limit increased during the recent repression of the leadership of the labor, where the successful candidate Lucy Powell and Runner-Up Phillget of the Child Welfare.
Reform in the UK is also promising scrapping the limit If it wins power, even if the conservatives get it it won’t be “economic economics”.