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Forum Home  →  Discussion  →  Universal credit administration  →  Thread

Benefit cap and term time workers

HarlowAC
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Am I right in assuming that those only be paid during term time, whose income dips below £604 during the holidays will dip in and out of being subject to the benefit cap?

If yes, are UC supposed to tell HB (client is in TA) that cap should be applied?

Thanks in advance.

Daphne
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see Charles’ post here - https://www.rightsnet.org.uk/forums/viewthread/16570/#78769 - I think it is UC that would apply the cap

HarlowAC
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Thanks Daphne.
If HB is ignored for UC and no ben cap applies to HB if UC is in payment, this would mean those in TA etc are at an advantage over those whose housing costs are covered by UC?

Timothy Seaside
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HarlowAC - 29 September 2020 10:24 AM

Thanks Daphne.
If HB is ignored for UC and no ben cap applies to HB if UC is in payment, this would mean those in TA etc are at an advantage over those whose housing costs are covered by UC?

Yes, and over those who are getting legacy benefits in TA and have their HB capped.

HarlowAC
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Thanks Timothy.

Timothy Seaside
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As a side note: If it is a deliberate feature of the system then the rationale is probably to do with the legal framework of provision of accommodation in discharge of homelessness duties. Local authorities have to provide accommodation and they have a power to make a reasonable charge for providing it. I think difficult questions arise if a homeless household has its HB capped - what is reasonable, affordable, and suitable? The danger is that a local authority would be forced to provide accommodation and have no way to recover any of the costs of that accommodation (even with full HB interim accommodation can cost LAs hundreds of pounds per week per family).