LA not implementing benefit cap

I have a couple of clients with income above the benefit cap and no exemptions apply.  The DWP are clearly aware they should be capped as they are receiving notification letters and being invited to benefit cap meetings but the LA has not applied the cap. I presume if the LA have been informed and the cap has not been applied then it can’t be done retrospectively? Thanks

Correct, it cannot.  A decision to apply the benefit cap can only ever be prospective: Reg 8(14F) of the HB&CTB; Decisions and Appeals Regs.  The Regs say the decision takes effect from the day on which the Council makes the decision, but in practice (mainly for ease of administration and system capability) most councils will push it forward to the next Monday.

Also in cases where the cap is applied immediately upon the claimant’s benefit income reaching the trigger level there is a technical argument that it cannot apply until the first full benefit week in which that state of affairs exists so it will tend to be pushed forward to the following Monday then as well.

But there can never be an overpayment as a result of the benefit cap.