The Benefit Cap limits the total amount of benefit that most working-age people can receive.
If you’re over State Pension Age (external link), you will not be affected by the Benefit Cap. If you’re part of a couple and one of you is under State Pension Age, the cap may apply.
Certain benefits and income are taken into account when calculating the benefit cap.
How much is the Benefit Cap?
The amount you can receive depends on:
- Whether you’re single or in a couple
- Whether your children live with you (if you’re single)
If you’re in a couple but you do not live together, the single person amount will apply.
For current Benefit Cap amounts, visit the GOV.UK website (external link).
Which benefits are affected by the cap?
The cap applies to the total amount a household receives from the following benefits:
- Bereavement Allowance
- Child Benefit
- Employment and Support Allowance
- Housing Benefit
- Incapacity Benefit
- Jobseeker’s Allowance
- Maternity Allowance
- Severe Disablement Allowance
- Universal Credit
- Widowed Parent’s Allowance
- Widowed Mother’s Allowance or Widows Pension (if claimed before 9th April 2001)
In certain circumstances, you may be entitled to a 9-month grace period before the cap applies, depending on your earnings.
Which benefits are not affected by the cap?
The Benefit Cap will not apply if you or your partner receives:
- Universal Credit (limited capability for work and work-related activity)
- Universal Credit because you care for someone with a disability
- Universal Credit and you and your partner’s combined earnings are above the threshold set by Government
You’re also not affected by the cap if you, your partner or any children under 18 living with you receives any of the following:
- Adult Disability Payment (ADP)
- Armed Forces Compensation Scheme
- Armed Forces Independence Payment
- Attendance Allowance
- Carers Allowance
- Carer Support Payment
- Child Disability Payment
- Disability Living Allowance (DLA)
- Employment Support Allowance (Support Component)
- Guardians Allowance
- Industrial Injuries Benefit
- Pension Age Disability Payment
- Personal Independence Payment (PIP)
- War pensions
- War Widow’s or Widower’s Pension
How will I know if I am affected?
The Department for Work and Pensions (DWP) will contact you if the Benefit Cap applies to your claim and explain how it may affect your benefits.
The DWP will also notify the council when the Benefit Cap should be applied.
How does the Benefit Cap affect Housing Benefit?
If you receive Housing Benefit, any reduction due to the Benefit Cap will be applied through deductions from your Housing Benefit payment.
If your Housing Benefit goes down, you may have to use money from your other benefits to pay towards the rent of your home.
If you are already getting benefits and could be affected by the cap, the DWP will contact you and provide information about the support available.
Where can I go for more information and support?
If you are affected by the Benefit Cap and need support, you can find advice and guidance on GOV.UK (external link).
You can also find local advice and support on our Here For You page (external link).