What is the Household Benefit Cap?
In April 2013, the government introduced a maximum limit on the total amount of benefit a household can get each week. This is called the Household Benefit Cap.
From autumn 2016 it will be reduced to £20,000 a year for families, couples and lone parents and £13,400 for single people living outside London.
The maximum amount of benefit that can be received on a weekly basis is:
- £384.62 a week, for families, couples and lone parents; or
- £257.69 a week, for single people
The benefits included in the cap and exemptions can be found here.
If your household receives more in benefit than the cap for your family type, your housing benefit or universal credit housing costs element will be reduced accordingly.
If this affects you then you should have already received a letter from the Department of Work and Pensions, outlining how much your housing benefit or universal credit housing costs element will reduce by. If you have concerns about how you will manage your money under the lowered cap contact the team for support.