Thursday, 3 May 2012

Caps it all

The benefits cap is a highly publicised cap on benefit payments which is to be introduced in April 2013.  The idea of a cap is flawed - most of the money in high benefit cases goes to landlords because of the UK's failure to regulate rent levels, for purely market-based ideological reasons.  The best cap is a cap on rents which, because of the poverty trap effect of means tested benefits, would also make it easier for people to move from worklessness into paid work.

The DWP have started writing out to people to be affected by the cap.  People receiving Disability Living Allowance (DLA) are excluded from the cap.

However, it looks like something may have gone badly wrong with the DWP's data because it seems that in at least one area, letters have been going out to families with disabled children who receive DLA and who are thus exempt.  What a mess.  Watch this space.

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