The welfare cap
Since 2014 the UK government has had a cap on welfare spending. Here we explain how the cap is set and assessed. We also look at how the cap has changed.

This note sets out the main benefit and tax credit rates for the 2017/18 financial year.
2017 Benefits Uprating (348 KB , PDF)
Most working-age benefits will be frozen at 2015/16 cash values from 2016/17 to 2019/20 inclusive.
Over the year 2017/18, the increase in benefits aimed at disabled people and pensioners (not including the basic State Pension) will continue to be linked to CPI inflation which increased to 1.0% in 2016.
The basic State Pension will be uprated in line with the ‘triple guarantee’ (or ‘triple lock’) that was introduced in 2012/13. This ensures that it increases by the highest of the increase in earnings, price inflation (as measured by the CPI) or 2.5%. For the purposes of the 2017/18 uprating, 2.5% was the highest of these three benchmarks.
Pension Credit Guarantee Credit is required to increase at least in line with earnings; in the year 2017/18 it will rise by 2.4%.
A new single-tier State Pension has been introduced for people who reached pension age on or after 1 April 2016. This consolidates the basic State Pension and Additional Pension into one single amount. The full amount of the single tier pension was £155.65 in April 2016, but its value for individuals may be less depending on recipients’ National Insurance contributions. The new State Pension is required by statute to be uprated in line with average earnings. It is currently “tripled locked” and will be uprated by 2.5% to be £159.55 in 2017/18.
2017 Benefits Uprating (348 KB , PDF)
Since 2014 the UK government has had a cap on welfare spending. Here we explain how the cap is set and assessed. We also look at how the cap has changed.
The Pensions (Extension of Automatic Enrolment) (No. 2) Bill is scheduled to have report and third reading on 24 March 2023. This briefing discusses the background to the Bill and its progress through Parliament.
This briefing outlines the current system of pension tax relief and covers the main areas of debate about future reform.