August 2015 Welfare Reform and Work Bill


The government has published a series of impact assessments relating to measures in the Welfare Reform and Work Bill.

Impacts highlighted in the documents include


An estimated 90,000 additional households - comprising 112,000 adults and 224,000 children - could be affected by reducing the benefit cap to £23,000 in London (£20,000 outside London). Affected households will lose an average of £63 per week in 2017/2018 leading to additional cash savings of £95m in 2016/2017, rising to £480m in 2020/2021


Around 500,000 families are expected to be affected by the abolition of the Employment Support Allowance work-related activity group, generating savings of £640m by 2020/2021


The four year benefit rate freeze is expected to save £3.5bn in real terms in 2019/20, with savings continuing in future as increases will be from a lower base level. The average difference between pre-change entitlement will be around £6 a week


By 2020/2021, the savings generated by limiting support through tax credits and universal credit to two children will be £1,365m, and of removing the family element in child tax credit and child premium in universal credit will be £675m


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