Record rise in Portsmouth families hit by benefit cap during coronavirus lockdown

The government has ignored calls from charities to suspend the cap, while acknowledging that the pandemic had caused a record rise in the number of households affected across the UK.

Department for Work and Pensions (DWP) figures show 615 households had their benefits capped in Portsmouth in May.

This was ​a rise of 73 per cent on the number capped in February, when there were 355 families who had either their housing benefit or Universal Credit payment reduced.

In Gosport 208 households had their benefits capped over the same period, almost double the 115 in February.

While in Fareham the figure stood at 120, up from 63, and in Havant 328 families had benefits capped, a surge from 165 before the pandemic struck.

Jon Sparkes, chief executive of homelessness charity Crisis, said: ‘These figures show thousands of people are turning to the benefits system to break their fall, only to discover that the benefit cap is cutting them off from vital support.

‘If we are to avoid a wave of people from losing their homes through no fault of their own, it’s vital that the government immediately suspends the benefit cap so that people have the means to stay afloat.

‘Otherwise we risk all the good work to protect people being undone.’

The cap limits how much households can receive in total benefits, and currently kicks in at £20,000 per year for families in Portsmouth and most of the UK, but £23,000 for those in London.

The number of families capped across Great Britain rose to 154,000 over the period – an increase of 93 per cent.

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The DWP said the rise, which was the biggest since the policy was launched in 2013, was ‘driven by an unprecedented increase of 665 per cent in the number of newly Universal Credit-capped households, a reflection of the impact of the Covid-19 pandemic’.

Homelessness charity Shelter said many ‘embattled parents’, already struggling from the economic effects of the pandemic, are losing vital support at the worst possible time.

Polly Neate, chief executive of Shelter, said: ‘The desperate calls we are getting from parents left with little to survive on – forced to choose between paying the rent or feeding their children – are a source of deep despair.’

Of those now affected by the cap in Portsmouth, 78 per cent (482) are single parents – compared to 62 per cent across Britain.

A DWP spokesman said: ‘The benefit cap ensures fairness for hard-working taxpaying households and a strong work incentive whilst providing a much-needed safety net of support.

‘We remain committed to helping the most vulnerable in society, which is why we currently spend more than £95bn a year on the benefits system, supporting more than seven million people.’

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