Benefit Cap

If you have received a letter from the Department for Work and Pensions stating you may be affected, you should follow the advice given within the letter detailing how you can gain further advice and support; in particular regarding assistance with job search.

The Welfare Reform team supports households affected by the cap and can provide advice and discuss possible options for those suffering a loss in their benefit.

Email: wrt@wandsworth.gov.uk

Caps from April 2023

From April 2023 the cap will be increased to a maximum of £25,323 a year and depend on where you live in the UK. Wandsworth is a Greater London borough.

Inside Greater London

If you live in a Greater London borough, the cap will be:

  • £486.98 per week (£25,323 per year) if you're in a couple, whether your children live with you or not
  • £486.98 per week (£25,323 per year) if you're single and your children live with you
  • £326.29 per week (£16,967 per year) if you're single and you don't have children, or your children don't live with you

Any amount above the cap figure will be deducted from weekly Housing Benefit.

Outside Greater London

If you live outside a Greater London borough, the cap will be:

  • £423.46 per week (£22,020 per year) if you're in a couple, whether your children live with you or not
  • £423.46 per week (£22,020 per year) if you're single and your children live with you
  • £283.71 per week (£14,753 per year) if you're single and you don't have children, or your children don't live with you

How the Benefit Cap is calculated

The cap is based on the total amount of out of work benefits.

Use the Government calculator to see if you may be affected and check the benefits included within the cap.

Exemptions

The cap will not apply for any customers including their partner who receive or qualify for Working Tax Credit. The Benefit Cap will also not apply to customers, partners or children who live with you and have been awarded any of the following benefits:

  • Disability Living Allowance
  • Industrial Injuries Benefits
  • Personal Independence Payment
  • Attendance Allowance
  • Employment and Support Allowance (with the support component)
  • War Widow's or War Widower's Pension
  • A 39 week grace period for any customers who has been in employment for 52 weeks or more when they claim benefit.
  • From 7 November 2016 claimants in receipt of Carers' Allowance and Guardians Allowance will also become exempt.

Information sharing

Please note, in accordance with legislation we may share information with social landlords, in order to identify people who may be affected by certain welfare changes so appropriate types of advice, support and assistance may be provided.