The number of households subject to the benefit cap has increased to more than 23,000 for the first time since February, the latest government statistics reveal.

Inside Housing reported today:

“At August, 23,397 households were capped, up from 22,866 in July and the highest figure since January, statistics published on Saturday showed (see graph).

Overall, 66,900 households have been capped since the policy which limits overall benefit payments to £26,000 per year, was introduced in 2013.

Of the 43,528 who are no longer subject to it, 18,000 have moved into work while almost 10,000 are no longer claiming housing benefit, or have reduced their housing benefit claim.

This can happen where tenants move to a lower rent area, such as out of London or to a lower-rent London borough. Critics of the policy have warned it could push low income families out of the capital.

Over the summer, the government announced the benefit cap will be reduced to £23,000 in Greater London, and £20,000 elsewhere in the country”.