13 Apr 2013

The benefits cap starts changing behaviour

Officials originally predicted that 56,000 people would see their benefits cut as a result of the new £26,000 cap, which is pegged to the average earnings of those in work.
But when the DWP wrote to those people warning them that their taxpayer-funded handouts were set to be trimmed, 16,000 of them decided to act.

Some 8,000 potentially capped claimants have now got jobs through Jobcentre Plus and another 8,000 of them have dropped off the welfare rolls.
Officials say the latter group are likely to be working in the black economy and have decided to ditch benefits rather than face scrutiny of their earnings.

Indeed. What other reason could there be?


Anonymous said...

There is no cap if you receive Working Tax Credits, so anyone can say they are self employed and earn a pittance, no-one will check so all the benefits will continue. WTC instead of JSA/I.S.

Anonymous said...

Also, I've noticed a lot of people hit by the bedroom tax who now have 'carers' staying 2/3 nights per week so they need an extra bedroom. Of course, they never stay all week as that would effect benefits, just 2/3 nights.