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| Benefits cap is rolled out across Britain | Benefits cap is rolled out across Britain |
| (2 months later) | |
| A cap on the amount of benefits people can receive has begun to be rolled out across England, Scotland and Wales. | A cap on the amount of benefits people can receive has begun to be rolled out across England, Scotland and Wales. |
| The cap will see couples and single parents receive no more than £500 a week in benefits, while the limit for single people is £350, although there are some exemptions. | The cap will see couples and single parents receive no more than £500 a week in benefits, while the limit for single people is £350, although there are some exemptions. |
| The Department for Work and Pensions (DWP) restrictions are supposed to provide an incentive for those receiving benefits to seek work and prevent families from receiving more by remaining dependent on welfare. But campaigners have warned that many households will be unable to cope with the resultant drop in income. | The Department for Work and Pensions (DWP) restrictions are supposed to provide an incentive for those receiving benefits to seek work and prevent families from receiving more by remaining dependent on welfare. But campaigners have warned that many households will be unable to cope with the resultant drop in income. |
| The government's own impact assessment of the Welfare Reform Act estimated that as many as 56,000 households would be affected, losing on average about £93 a week. In London, more than 7,000 low-income families will lose more than £100 a week. | The government's own impact assessment of the Welfare Reform Act estimated that as many as 56,000 households would be affected, losing on average about £93 a week. In London, more than 7,000 low-income families will lose more than £100 a week. |
| The cap is designed to ensure that benefits payments do not exceed the income of the average working household. Benefits that count towards the cap include child benefit, housing benefit, jobseeker's allowance and incapacity benefit, while others, including disability living allowance and its successor, the personal independence payment, are exempt. | The cap is designed to ensure that benefits payments do not exceed the income of the average working household. Benefits that count towards the cap include child benefit, housing benefit, jobseeker's allowance and incapacity benefit, while others, including disability living allowance and its successor, the personal independence payment, are exempt. |
| The cap, which applies to all people of working age, was introduced in April in four London boroughs – Croydon, Bromley, Haringey and Enfield . It began being rolled out elsewhere on Monday and will be fully implemented by 30 September. | The cap, which applies to all people of working age, was introduced in April in four London boroughs – Croydon, Bromley, Haringey and Enfield . It began being rolled out elsewhere on Monday and will be fully implemented by 30 September. |
| The DWP says the cap will save £110m a year, which compares with a total benefits bill of £159bn in 2011-12. | The DWP says the cap will save £110m a year, which compares with a total benefits bill of £159bn in 2011-12. |
| In May, the work and pensions secretary, Iain Duncan Smith, was criticised by the UK's statistics watchdog for misusing figures to promote the effectiveness of the benefits cap on getting people into work. | In May, the work and pensions secretary, Iain Duncan Smith, was criticised by the UK's statistics watchdog for misusing figures to promote the effectiveness of the benefits cap on getting people into work. |
| In a press release issued by the DWP in April alongside "ad hoc" statistics, Duncan Smith was quoted as saying: "Already we've seen 8,000 people who would have been affected by the cap move into jobs. This clearly demonstrates that the cap is having the desired impact." | In a press release issued by the DWP in April alongside "ad hoc" statistics, Duncan Smith was quoted as saying: "Already we've seen 8,000 people who would have been affected by the cap move into jobs. This clearly demonstrates that the cap is having the desired impact." |
| However, in an open letter, Andrew Dilnot, chair of the UK Statistics Authority, said this claim was "unsupported by the official statistics published by the department". He added that the statistics used to support the statement had explicitly cautioned that the figures were "not intended to show the additional numbers entering work as a direct result of the contact". | However, in an open letter, Andrew Dilnot, chair of the UK Statistics Authority, said this claim was "unsupported by the official statistics published by the department". He added that the statistics used to support the statement had explicitly cautioned that the figures were "not intended to show the additional numbers entering work as a direct result of the contact". |
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