1. What is benefit cap?
From April 2013, there will be a maximum amount of benefit that a household, defined as an individual, their partner, and any children they are responsible for and who live with them, can be entitled to.
2. Why is benefit being capped?
As part of the Welfare Reform Act, from 2013 the Government will introduce a cap on the total amount of benefit that working-age people can receive. This will help ensure individuals are no longer given more money when they are out of work than what they could reasonably expect to earn from working.
3. What benefits does it affect?
The benefits that will be taken into account when calculating the cap are:
• Bereavement Allowance/ Widowed Parent’s/Mother’s Allowance
• Carer’s Allowance
• Child Benefit
• Child Tax Credit
• Employment and Support Allowance (ESA) (contribution-based and incomerelated) except where the Support Component has been awarded
• Guardian’s Allowance
• Housing Benefit
• Incapacity Benefit
• Income Support
• Jobseeker’s Allowance (contribution-based and income-based)
• Maternity Allowance
• Severe Disablement Allowance (SDA)
• Widow’s Pension
NB: Any benefits or other income that are not included in the above list will not be
taken into account when calculating the level of the cap.

http://www.dwp.gov.uk/docs/benefit-cap-faqs.pdf