123,000 households are impacted by the benefit cap across England, Wales and Scotland,1 although the Scottish government mitigates the cap as far as possible with its devolved powers. The vast majority of those capped – 71 per cent – are lone parents with children. The cap affects households who receive universal credit (UC) or housing benefit and earn less than the equivalent of 16 hours at the national living wage a week – currently £793 a month. It limits the total benefits the household can receive to £1,835 a month outside London or £2,110 inside London, with lower limits for single adults.
