38,000 households' benefits capped

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File photo dated 11/12/13 of a row of terraced houses in south London as banks have rapidly become more dominant in the ultra-low-deposit mortgage market since the Government's flagship Help to Buy scheme was fired into action, according to a financial website. PRESS ASSOCIATION Photo. Issue date: Wednesday February 19, 2014. Traditionally, building societies have held a bigger share of the number of deals on offer for people with a 5% deposit, largely due to banks being more reluctant to offer such products which are seen as being more

More than 38,000 households have had their benefits capped under welfare reforms introduced by the Government last year, new figures show.

The Department for Work and Pensions said 9,200 households that had their benefits capped have moved into work or reduced their claim.

Around 4,300 households which were previously subject to the benefit cap have found jobs since changes were made last April.

The Government has introduced a cap on the amount of benefit a household can receive so it does not exceed the average wage of £26,000 a year.

Minister for Welfare Reform Lord Freud said: "The benefit cap is rewarding families who want to work hard and get on, and already we are seeing thousands of people finding jobs and moving off benefits.

"By capping welfare, we are fixing the broken system which allowed tens of thousands of households to receive far more in benefits than the ordinary hardworking family earns.

"We are taking control of the benefits system as part of the Government's long-term economic plan and making work pay to secure a better future for Britain."

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