Benefit Cap

The Benefit Cap is a limit on how much anyone can receive in benefits.

The Government will add up the amount of money you get from; Universal Credit, Housing Benefit, Income Support, Jobseeker's Allowance, Employment and Support Allowance, Child Tax Credits, Child Benefit, and Carer's Allowance. If the total comes to more than the maximum amount allowed, your Housing Benefit or Universal Credit payments will be reduced.

From 7th November 2016 the benefit cap reduced:

Outside Greater London

If you live outside a Greater London borough, the cap is:

  • £384.62 per week (£20,000 a year) if you’re in a couple, whether your children live with you or not
  • £384.62 per week (£20,000 a year) if you’re single and your children live with you
  • £257.69 per week (£13,400 a year) if you’re single and you don’t have children, or your children don’t live with you

Inside Greater London

If you live in a Greater London borough, the cap is:

  • £442.31 per week (£23,000 a year) if you’re in a couple, whether your children live with you or not
  • £442.31 per week (£23,000 a year) if you’re single and your children live with you
  • £296.35 per week (£15,410 a year) if you’re single and you don’t have children, or your children don’t live with you

What benefits are included in the Benefit Cap?

  • Bereavement Allowance
  • Child Benefit
  • Child Tax Credit
  • Employment Support Allowance
  • Housing Benefit
  • Incapacity Benefit
  • Income Support
  • Jobseekers Allowance
  • Maternity Allowance
  • Severe Disablement Allowance
  • Widowed Parents Allowance (or Widowed Mother's Allowance or Widows Pension you started getting before 9 April 2001).

What benefits are not included in the Benefit Cap?

  • Working Tax Credits
  • Carers Allowance
  • Guardian's Allowance
  • Disability Living Allowance / Personal Independence Payment
  • War Widows / Widowers Benefit
  • Attendance Allowance
  • Armed Forces Compensation Scheme payments
  • Industrial Injuries Benefits
  • Council Tax Reduction (sometimes called Council Tax Support)

How can I find out if I'm affected by the benefit cap?

The DWP has put together a Benefit Cap Calculator you can use that can give you an indication as to whether you will be affected or not.
OR visit Gov.uk to find out more about the benefit cap