Benefit Cap Update
The Benefit Cap is reducing on 7th November 2016 which means the amount of benefit you receive may go down. Your local council will tell you if you will be affected. It is important that you find out what the benefit cap is for you personally so that you know if your income is going to be reduced and how you will manage your money in the future.
What is the Benefit Cap?
The Benefit Cap limits the total amount of some benefits that working-age people can receive. So if you are of working age and receive Housing Benefit or the Universal Credit Housing Costs element, this could be reduced to bring your total benefits in line with the cap amount.
You will not be affected if you:
- Are working enough hours to qualify for Working Tax Credit, or
- Are claiming Universal Credit and earn at least £430 per month
Discretionary Housing Payment
If your Housing Benefit or Universal Credit Housing Element is reduced, and you are struggling to pay the shortfall, you may be able to apply to your local council for Discretionary Housing Payment.
What is the Benefit Cap Amount?
The Cap limits your income to:
- £384.62 per week (£20,000 per year) for couples and lone parents outside Greater London
- £257.69 per week (£13,400 per year) for single adults outside Greater London
You can work out if you will be affected by using the benefits calculator on the following website https://www.gov.uk/benefit-cap. This website will also give you more information on what to do and where to go for help.