'Incentive' Speaking to the BBC shortly after resigning as work and pensions secretary in March, Iain Duncan Smith hit out at the "arbitrary" decision to lower the welfare cap after the general election. He questioned why working-age benefits were hit while pensioner benefits were protected. The benefits cap - which, in total, is now set to affect an estimated 88,000 households primarily with high rents or large families - was described by the Department for Work and Pensions as "a clear incentive to move into a job". Ministers say the level of the cap is fair because it is close to the average salary after tax. Current Work and Pensions Secretary Damian Green said: "By making sure that those people who are out of work are faced with the same choices as those who are in work, the benefit cap has been a real success. "By lowering the cap today, we are ensuring the values of this government continue to chime with those of ordinary working people and delivering on our commitment to make sure work pays more than welfare."
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