Overview

This bill mandates the UK Secretary of State to produce a report for Parliament assessing the potential impacts of removing the benefit cap. The report will examine the effects on poverty, mental health, food bank use, debt, and evictions, with a focus on how different groups might be affected.

Description

The Benefit Cap (Report on Abolition) Bill requires a government report analyzing the likely consequences of abolishing the UK's benefit cap. The report must specifically assess the impact on:

• Levels of absolute and relative poverty
• Poor mental health
• Food bank usage
• Borrowing from friends and family
• Home evictions
• Problem debt

The analysis must also consider the differential effects on:

• Women
• Lone parents
• People from Black and minority ethnic backgrounds

The report is mandated to be submitted to Parliament in 2022. The "benefit cap" refers to any cap on benefits as defined by the Welfare Reform Act 2012.

Government Spending

This bill does not directly allocate or change government spending. It only requires a report on the potential impacts of a policy change (abolishing the benefit cap), which may inform future spending decisions.

Groups Affected

The bill's impact assessment will cover a broad range of groups, including:

• Low-income families: Potentially affected by changes in benefit levels and associated impacts (poverty, debt, housing).
• Women and lone parents: Specific analysis will assess their disproportionate vulnerability to the benefit cap.
• Black and minority ethnic groups: The report will examine how the abolition of the benefit cap may affect this demographic.
• Mental health services: The bill considers the potential impact on mental health outcomes.
• Food banks and debt charities: The report will assess the potential changes in demand for their services.

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