Why scrapping the household benefit cap is vital for families, children and survivors of abuse

CHILD POVERTY ACTION GROUP BRIEFING

123,0000 households are affected by the household benefit cap. The vast majority – 71 per cent – are lone parents with children.

The benefit cap limits the total amount a part-time, low-earning or out-of-work household can receive in benefits, trapping families in deep poverty. It is having a disproportionate impact on survivors of domestic abuse and on children, as this new briefing with Shelter and Women’s Aid shows. 

The benefit cap makes it almost impossible to afford private rents. Recent research found that there were only enough affordable homes across the country to house one in six capped families. Increasingly even social rents (typically 30 per cent of market rents) are becoming unaffordable. In 78 local authority areas in England, average council and/or housing association rents are unaffordable for capped families.

The benefit cap is therefore contributing to homelessness, as families are trapped in refuges and other forms of temporary accommodation and are unable to move on to secure and affordable homes.

The cap is not effective and it is harming those who are already vulnerable. We are calling for the cap to be scrapped.