- Created: Thursday, 08 August 2013 13:29
- Written by Martha Scott
The Overall Benefit Cap (OBC) came into effect on 15 July. It places a ceiling on the total working-age benefits a household can receive. The cap has been set at £500 per week for a couple, regardless of how many children they may have, and £350 per week for a childless single person. If total benefits exceed the cap, money will be taken off any housing benefit the household receives. The cap does not affect pensioners, or families in receipt of disability benefits, or if one adult is working more than 24 hours a week (16 hours for a single person). The government presents it as a matter of fairness, saying that families of the unemployed should not receive more than the average wage. This is a sleight of hand: the average wage is for an individual, not for a household. In fact, the cap will result in the possible eviction of tens of thousands of people, overwhelmingly children, some within a matter of weeks. Martha Scott explains.