Universal Credit UK: 160,000 households could see benefits capped this month
The grace period to which MPs refer happens when a claimant’s earnings from work are less than the threshold, but immediately before this, their earnings were at least at the threshold for the preceding 12 months.
It can also occur when before entitlement to Universal Credit, the claimant stopped work, but prior to doing so, their earnings were at or above the threshold every month for the preceding 12 month period.
Stephen Timms, Labour MP for East Ham, also commented on the matter.
He asked: “The number of households affected by the cap has more than doubled since the start of the pandemic, to 170,000.
“In addition, 160,000 households will come to the end of their nine-month benefit cap grace period in the coming month.
