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Changes to the benefit cap November 2016

There is a limit on the total amount of benefit that most people aged 16 to 64 can get. This is called the benefit cap.

How much you get for certain benefits may go down to make sure the total you get isn’t more than the cap amount. The cap amount and the benefits that are affected by the cap will be changing in November 2016.

Who it applies to:

  • 16-64 year olds

Who is not affected:

  • If you work and are eligible for working tax credits
  • In receipt of Universal Credit and Household Income is more than £430.00/month after tax and National Insurance.

Benefit cap amounts for outside Greater London

Current rate New rate
£500.00/week 26,000 per year,  for couples whether they have children or not £384.62/week £20,000 per year
£500.00/week 26,000 per year,  for single parents £384.62/week £20,000 per year
£350.00/ week  18,200 per year for single parents whose children don’t live with them £257.59/week £13,400 per year

Benefits affected by the cap

Benefits included in the cap Benefits that aren't included
Berevement allowance Armed Forces Compensation
Carers allowance (not affected by the cap from autumn 2016) Armed Forces Independence 
Child benefit Attendance Allowance
Child tax credit Carer`s Allowance 
Employment and support allowance Disability Living Allowance
Guardians allowance (not affected by the cap from autumn 2016) Employment & Support Allowance (if you get the support component) 
Housing benefit Guardians Allowance 
Incapacity benefit Industrial Injuries Benefit
Income support Personal Independence Payment
Jobseekers allowance Universal Credit (sickness/not fit for work group or carer`s cost element being paid or income more than £430.00/month net)
Maternity allowance War Pensions
Severe disablement allowance Working Tax Credit
Widowed parents allowance  
Universal credit (unless you’ve had a work capability assessment and aren’t fit for work)  

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