There are many changes to benefits and taxes happening over the next few years, which are often referred to as the welfare reform.
Anyone under pension age and claiming any of the following benefits may be affected by welfare reform:
- Jobseeker's allowance
- Income support
- Employment and support allowance
- Tax credits
- Housing benefit
Welfare reform does not affect tenants of pension age. For more information about the state pension age, visit the Government website.
The benefit cap
The maximum amount any household can receive in benefits, including housing costs, is:
- £423.46 per week (£22,020 per year) if you’re in a couple
- £423.46 per week (£22,020 per year) if you’re a single parent and your children live with you
- £283.71 per week (£14,753 per year) if you’re a single adult
This is applied to the combined income of the main out-of-work benefits plus housing benefit, child benefit and child tax credit.
More information about the benefit cap
Housing benefit
Since April 2013, the 'bedroom tax' has meant housing benefit payments are based on the number of bedrooms you need, not the number of bedrooms your home has. So if your home has more bedrooms than you need your housing benefit payments will be reduced.
More information on housing benefit
Council tax benefit
Council tax benefit was abolished in April 2013 and has since been replaced with council tax support. The amount of money Charnwood Borough Council receives from the government to pay for council tax benefit has been cut and as a result, councils throughout the country have designed a local scheme called council tax support.
Universal credit
Universal Credit is a payment to help with your living costs. It’s paid monthly. You may be able to get it if you’re on a low income, out of work or you cannot work.
Last updated: Wed 3rd April, 2024 @ 16:46