Benefit Cap

Please note all this information has been taken & can be found on the UK Gov site and The turn 2us site

Benefits affected by the cap

The benefit cap is a limit on the total amount of benefit you can get. It applies to most people aged 16 or over who have not reached State Pension age.

The benefit cap affects:

  • Universal Credit
  • Bereavement Allowance
  • Child Benefit
  • Child Tax Credit
  • Employment and Support Allowance
  • Housing Benefit
  • Incapacity Benefit
  • Income Support
  • Jobseeker’s Allowance
  • Maternity Allowance
  • Severe Disablement Allowance
  • Widowed Parent’s Allowance (or Widowed Mother’s Allowance or Widow’s Pension if you started getting it before 9 April 2001)

 

You can go to the turn 2 us site and use their Benefits Calculator to check whether you are affected or will be affected by the Benefit Cap (They will tell you if you are affected by the cap on the 

You will not be effected by the Benefit Cap if your total benefit entitlement is less than the Benefit Cap amount

The Benefit Cap usually applies to you if you or your partner is of  working age and you receive:

  • Housing Benefit
  • Universal Credit

The Benefit Cap does not apply to you if you are exempt from the Benefit Cap or you are in a grace period. 

 

You are exempt from the Benefit Cap if:

  • You (or your partner or your child under 18) are receiving:
    • Personal Independence Payment (PIP)
    • Adult Disability Payment
    • Disability Living Allowance (DLA)
    • Child Disability Payment Scotland
  • You (or your partner) are receiving:
    • Attendance Allowance
    • Carer’s Allowance
    • Guardian’s Allowance
    • Carer’s Element of Universal Credit
    • Support component of Employment and Support Allowance
    • Limited Capability for Work-Related Activity (LCWRA) element of Universal Credit
    • Armed Forces Compensation Scheme Payments or War Pension Pension Scheme payments
    • Armed Forces Independence Payment
    • Industrial Injuries Disablement Benefit
    • War Disablement Pension
    • War Widow’s or Widower’s Pension
  • You are claiming Universal Credit and you (and your partner) earn at least £722 per month before tax, national insurance and pensions deductions.
  • You are claiming Housing Benefit and you (and your partner) receive Working Tax Credit, or qualify for it but your income is too high to receive any payment.
  • You and your partner are over State Pension age
  • Either you or your partner became State Pension age before 14 May 2019 and you are getting Pension age Housing Benefit. 

 

If you are claiming Universal Credit and you are earning at least the amount you would get for 16 hours per week at National Living Wage, you are exempt from the Benefit Cap.

You are exempt if you are earning at least £722 per month. 

 

If you are claiming Housing Benefit and you are getting Working Tax Credit, you are exempt from the Benefit Cap.

You are also exempt if you have an open claim for Working Tax Credit and meet the qualification requirements, but are not receiving payment because your income is too high.

 

If you are claiming Universal Credit, the Benefit Cap will not be applied for a nine month grace period if:

  • You (or your partner) earned at least £722 per month for each of the previous 12 months.

If you are claiming Housing Benefit, the Benefit Cap will not be applied for a 39 week grace period if:

  • You (or your partner) were working for at least 50 out of the previous 52 weeks, and
  • Whilst you (or your partner) were working, you were not entitled to Income Support, Jobseeker’s Allowance (JSA) or Employment and Support Allowance (ESA).

How much is the Benefit Cap?

The current cap is:

  • £486.98 per week (£2,110.25 per month or £25,323 per year) for couples and lone parents in Greater London
  • £423.46 per week (£ 1,835 per month or £22,020 per year) for couples and lone parents outside Greater London
  • £326.29 per week (£1,413.92 per month or £16,967 per year) for single adults in Greater London
  • £283.71 per week (£1,229.42 per month or £14,753 per year) for single adults outside Greater London.

Compare listings

Compare

Join Us