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Benefit payments cap rollout begins in London

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ProfilePosted byOptionsPost Date


+++DetEcTive+++ Report 15 Apr 2013 10:44

Couples and lone parents in Haringey, Enfield, Croydon and Bromley will not receive more than £500 a week while a £350 limit applies to single people.

Jobseeker's allowance, income support, child and housing benefit count towards it, but not disability benefits.


Is c £2000 pm and c £1400 pm a realistic sum?
Mulitplied up to an annual income

£24000 and £16800

Many single people would love that as take home pay although depending on the size of the family, the couples/lone parent amount might make the budget a bit tight.


RolloTheRed Report 15 Apr 2013 11:09

According to DWP if a single person or both people in a couple do 16 hours work each then the cap will not apply.

They do not offer any ideas as to how a couple with young children or an aged relative will manage this though. A latter day version of Moreton's Fork.

Unfortunately it is not as easy to get 16 hours of work as one my suppose.

Moreover many employers have a new and evil trick which is to offer zero rate contracts where the "employee" is called in as needed and earnings vary wildly. It is exactly this idea, the casualisation of unskilled labour, that caused so many strikes during the C20 especially in the docks.

In the end the dockers won, Mrs T or no, but care workers and shop assistants have little negotiating muscle to flex.

Oh what a brave new world.


OneFootInTheGrave Report 15 Apr 2013 11:59

I fully agree that reforms in the benefit system are needed, in saying that I am concerned at the growth in - part time jobs, under-employment, and low wages.

I am also concerned that some of the employers of a large number of people who are in work are being subsidised, as a result of the tax-payer having to top up peoples earning with benefits, and that the people in work receiving these top ups are being penalised.

So let me get this right, the employer gets richer and the worker gets poorer :-S


terryj Report 15 Apr 2013 12:14

as part of the torys nobody gets money for nothing

i look forward to them stopping inherited wealth


Porkie_Pie Report 15 Apr 2013 12:14

If government really want work to pay then whey should attack the system from both directions at the same time

1, I agree with a benefit cap for those on long term unemployed who have no intention of finding a job,

2, Government have already identified what is a LIVING wage so they should make that the minimum wage instead of allowing companies to be subsidised through Tax credits to working people, "A fare days pay for a fare days work"

The promotion of part time work as the last administration did with the introduction of Tax credits was always going to lead to the welfare state "Tax payer" having to foot the bill whilst reducing the employers liabilities



terryj Report 15 Apr 2013 12:45

the beauty of part time instead of full time is you can claim to have created a lot more jobs

still the minimum wage had rocketed today by 1.3% compared to directors 12% average so thats bound to help


eRRolSheep Report 15 Apr 2013 13:15

I don't understand why inherited wealth should be stopped


Kay???? Report 15 Apr 2013 13:17

Listening to a young mum of 3 this morning she said that,,,,she will have to cut back on food,heating and school trips,,,,,,,,,school trips!!

sorry but our working parent/s always seemed managed a school trip even with only one working wiht 3 children or more.


Porkie_Pie Report 15 Apr 2013 13:24

Part time work should never be looked upon as a way of earning a living, Part time work should be something you do on top of your normal full time job in order to improve your standard of living,

I remember as a child my mother having several part time jobs to supplement the family income I also remember others who saw it as Quote "pin money" to help provide for a better family holiday or weekend or a night out.

This part time work was ceased upon by government first as a revenue stream by the treasury as they changed the laws and made people pay tax and a part time stamp as Terrj says they could then claim to have created more jobs than they have because if you are paying tax and or a stamp you are classed as employed

If they stop inherited wealth that would also affect every one not just the wealth and the wealthy can afford to invest their wealth out side the UK which would have a devastating affect on jobs in the UK



terryj Report 15 Apr 2013 13:55

just making the point they only look at one type of money for nothing
but they worry themselves to death about inheritance tax and inheritance is after all money for nothing except being born in the right family


eRRolSheep Report 15 Apr 2013 14:02

I disagree - inheritance applies whether you are a multi-millionaire or just have a few bob put aside.
Once you go down that route you risk seizure of all assets on death.


Merlin Report 15 Apr 2013 14:10

Errol, perhaps thats why you see many elderly people going on expensive Cruises and buying top of the range motors with stickers on saying, "I,m Spending the Kids Inheritance" :-D nand who can blame them?


eRRolSheep Report 15 Apr 2013 14:18

Definitely Merlin lol

But some want to leave money and items to their children so the suggestion that inherited wealth be stopped is a bit of a non-starter


Merlin Report 15 Apr 2013 14:26

Of course it is ,Why? after working hard all their lives,paying their Taxes etc should the state then grab more money from them when they die? to me It,s Indecent,anyway if you leave over a certain amount you pay death duties /inheritance tax. :-(


eRRolSheep Report 15 Apr 2013 14:42

Yes - you pay 40 per cent on anything over £350,000 which includes house etc

Totally wrong in my book.

When you consider that the average house price in the UK is over £238,000 and that for detached properties it is closer to £325,000 it is easy to see why it is such an unfair system.


vera2010 Report 15 Apr 2013 14:48

Bit confused about this. Detective do the amounts include housing and council tax benefits. If so not a lot left over to live on in those areas.



OneFootInTheGrave Report 15 Apr 2013 14:53

Part time work used to be something you did on top of your normal job to earn extra money, or if you were a student or housewife to earn a few bob. My father's full time job was in communications at HM Dockyard Rosyth and several nights a week he worked part time as a telephone operator at the local telephone exchange, he did this so the family could have a decent car and holidays.

Over recent years part time jobs have increased dramatically, in many sectors they seem now to have become the norm. It may be that employers can save money by employing people part time, maybe it is something to do with the threshold that they have to start paying Employers NI Contributions.

It is a long time since I was involved with payroll stuff so perhaps someone who is up to date on PAYE can comment on that.


eRRolSheep Report 15 Apr 2013 14:54

Vera the cap includes housing benefit but NOT council tax benefit.


eRRolSheep Report 15 Apr 2013 14:56

Hang on - I've got a web page bookmarked somewhere from Shelter - give me a sec and I'll find the link.


eRRolSheep Report 15 Apr 2013 14:58

Here you go...


I've shortened the URL so it doesn't push the page over...