Jessica Luper 07 August 2015

Benefit cap moves tens of thousands back into work figures show

The benefit cap is providing an incentive to work for over 25,000 people, according to official figures published by the Government.

The report showed that 25,300 people who had their benefits capped moved into work, reduced their housing benefit claim or no longer claim housing benefit at all.

The benefit cap, introduced in April 2013, limits the amount of benefits a household can receive to a maximum of £26,000 a year. However, new measures announced in the Summer Budget will see the cap reduced to £23,000 in Greater London and £20,000 elsewhere in the country.

Work and Pensions secretary, Iain Duncan Smith, said, ‘By introducing the benefit cap we have called time on an out of control welfare system where it was possible for people to be better off on benefits than in work.

‘The cap incentivises work and we are seeing many people responding to it by moving into employment, while others have reduced their benefits claim.

‘These figures show that the cap is working and we are moving towards a welfare system that is fair for those who need it and the taxpayers that fund it.’

Since the cap was introduced, 62,600 households have had their benefits capped. Of these, 40,100 households are no longer subject to the cap, with 16,300 of them moving into work and a further 9,000 reducing their housing benefit claim.

Before the cap, there was no upper limit on benefit claims, with 300 of the highest claiming families getting over £10m in benefits every year.

Devolution and putting place first image

Devolution and putting place first

The real lesson of Andy Burnham's Makerfield success, argues Dr Jonathan Carr-West, is that place – not personality – is the key to Britain's future.
SIGN UP
For your free daily news bulletin
Highways jobs

Deputy Chief Executive & Director of Place

Pembrokeshire County Council
£132,063 - £145,050 plus lease car allowance of £9,576 and relocation package
As the custodian of place, you will lead a broad and influential portfolio Pembrokeshire (Sir Benfro)
Recuriter: Pembrokeshire County Council

Senior Traffic Engineer

Salford City Council
£47,181 - £50,269
Join us as a Senior Traffic Engineer to play a valued role in the regeneration of Salford Salford, Greater Manchester
Recuriter: Salford City Council

Head Teacher

Durham County Council
£67,898- £78,702
Permanent position- Full Time.   Required for 1 January 2027.  The Governors seek to appoint a committed, experienced and enthusiastic teacher with se Durham
Recuriter: Durham County Council

Applications and Development Officer

Durham County Council
£28,142 to £31,022 p.a. Pay Award Pending
A vacancy has arisen within our Microsoft 365 Team, part of Applications and Development, for an enthusiastic, customer-focused and flexible Applicati Durham
Recuriter: Durham County Council

Higher Level Teaching Assistant

Durham County Council
£30,024 - £33,699 (Pro Rata)
Fixed Term Contract until 31st August 2027 Full Time- Term Time plus 2 weeks Required to start 1st September 2026   The Governors seek to appoint an i Durham
Recuriter: Durham County Council
Linkedin Banner