More than eight out of ten households affected by the benefit cap should be exempt from the ‘cruel’ policy, MPs have said today.

In a new report, the Work and Pensions Committee said only 18% of those affected by the cap have been assessed as being capable of finding work.

It found that the majority of capped households have already been exempt from finding work due to childcare or health problems, so do not even have job search conditions attached to their benefits.

Frank Field, chair of the Committee, said: ‘It would be difficult to think of a more cruel cut. Benefits are being cut with the aim of driving people into work, but four in five people bearing this cut aren’t expected to work.

’What genius in government thought this one up?’

The report also highlights the savings achieved by the benefit cap - £190m a year - represents just 1% of expected savings from welfare reforms since 2010.