Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, for what reason the benefit cap is applied to claimants of universal credit who have had their working hours reduced as a result of the covid-19 outbreak.
The Benefit Cap restores fairness between those receiving out-of-work benefits and taxpayers.
On Universal Credit claimants in work have the certainty that each month payments adjust reflecting earnings and household circumstances.
Claimants may also benefit from a nine-month grace period where their benefit will not be capped if they have a sustained work history with monthly earnings of at least £604 (£569 up to March 2020) in each of the previous 12 months. These earnings can include statutory sick pay, employer sick pay, earnings from self-employment as well as payments from the furlough scheme.
Claimants can also approach their Local Authority for a Discretionary Housing Payment if they need additional help to meet rental costs.