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2,000 households boosted by benefit cap 'disregard'

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2,000 households boosted by benefit cap 'disregard'


Published by 24publishing for in Housing and also in Central Government, Communities, Local Government, Universal Credit

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Some 2,000 households in supported exempt accommodation will have their housing costs disregarded for the purposes of the benefit cap calculation, the Government has said.

Chancellor George Osborne announced in his Autumn Statement that no one living in supported exempt accommodation would be affected by the £500-a-week cap, which kicks in from April.

The Government intends to fund the change by allocating a portion of the additional discretionary housing payment (DHP) budget directly towards the cost.

In a written parliamentary question, Lib Dem MP Sarah Teather asked the secretary of state for work and pensions what estimate the Government has made of the number of households that will be exempt from the household benefit cap as a result of the move.

Employment minister Mark Hoban said: “Figures approved by the Office for Budget Responsibility estimate that this change will reduce the total amount of households affected by the cap by around 2,000 to 54,000 and reduce the savings by around £10 million to £265 million. While disregarding housing costs for these households does not exempt them per se, there will be very few who remain affected by the cap.”


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