Why it matters: The benefit cap limits the total amount of state benefit you can get. It applies to most people aged 16 or over who have not reached State Pension age.
The benefit cap is often wrongly confused with the two-child limit, which removes universal credit support for a family’s third or any subsequent children born after April 2017.
By the numbers: Department for Work and Pensions figures show:
305 Ipswich households on Universal Credit had their income capped in May, up from 172 in February.
73% of capped families in Ipswich were single-parent households.
The big picture: Nationally, 118,000 households on Universal Credit were affected, a 61% increase. The cap currently stands at £423.46 per week (£1,835 per month or £22,020 per year) for couples and lone parents outside Greater London.
What they're saying: Matt Downie, chief executive of homelessness charity Crisis, called the increase "staggering".
"Behind these figures are struggling parents who will be spending anxious nights worrying about how they will put food on the table or keep a roof over their children’s heads," he said.
"While the amount low-income households receive to help pay their rent rose earlier this year, we know for thousands this vital support will have been completely wiped out by the impact of the cap. We cannot build a stable nation if we’re giving with one hand and taking with another."
Polly Neate, Shelter CEO: Called the cap "cruel and nonsensical", saying families in temporary accommodation are trapped in homelessness and poverty.
The other side: A government spokesperson said, "Too many people are trapped on benefits. We are taking bold action to support people into work, through reforming job centres and giving local areas the power they need to tackle economic inactivity, which will boost their finances and reduce the likelihood of being impacted by the cap."
What's next: Charities, including Shelter, Women's Aid and the Child Poverty Action Group, are calling for the cap to be abolished, but it's unlikely the government will do so soon.
