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Link the Benefits Cap to Minimum Wage

Submitted on Wednesday 19th February 2014

Published on Tuesday 25th February 2014

Current status: Closed

Closed: Wednesday 25th February 2015

Signatures: 4

Tagged with

Children ~ Individuals

Petition Action

Link the Benefits Cap to Minimum Wage

Additional Information

Rather than a household cap, the cap on universal credits should be per individual and set at a percentage of the average minimum wage, say 75%.

For example - 40 hours per week x £6.31 x 52 weeks per year = £13,125. £13,125 x 75% = £9,850 per annum.

By making the cap for individuals rather than households this will reduce pressure on families to separate, or older children to move out, in order to get around the cap. This will therefore reduce pressure on housing.

Setting the cap at a percentage of the average minimum wage will mean that work always pays.


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