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In this paper, we examine the labour market effects of lowering the UK's benefit cap in 2016. This policy limits the total amount a working‐age non‐disabled household with no‐one in employment can receive in social security. We treat the sharp reduction in this benefit cap as a natural experiment, comparing those at risk of being capped and those who were not before and after the cap was lowered. Drawing on data from ~500,000 individuals, we find that this reform reduced unemployment compared to those not at risk of being capped. The reform also increased economic inactivity, partly because the cap harmed mental health but also because those at risk of being capped were eligible to claim disability‐related welfare payments that made them exempt. Limiting total monthly welfare payments of low‐income families may increase employment for some but it can also push others out of the labour market altogether. [ABSTRACT FROM AUTHOR]

In this paper, we examine the mental health effects of lowering the UK's benefit cap in 2016. This policy limits the total amount a household with no‐one in full‐time employment can receive in social security. We treat the reduction in the cap as a natural policy experiment, comparing those at risk of being capped and those who were not, and examining the risk of experiencing poor mental health both before and after the cap was lowered. Drawing on data from ~900,000 individuals, we find that the prevalence of depression or anxiety among those at risk of being capped increased by 2.6 percentage points (95% confidence interval: 1.33–3.88) compared with those at a low risk of being capped. Capping social security may increase the risk of mental ill health and could have the unintended consequence of pushing out‐of‐work people even further away from the labour market. [ABSTRACT FROM AUTHOR]

A recent "return to the city" by middle‐class professionals in England, with the increasing "suburbanisation" of poverty and an ongoing housing crisis, has increased the salience of concerns about neighbourhood gentrification via the involuntary displacement of established working class residents. This paper reports a systematic analysis of gentrification and income poverty in England that adopts innovative methodological approaches: a multivariate index of gentrification, propensity score matching to establish a comparison group, and sensitivity testing with respect to different "gentrification" definitions. The paper investigates three possible theoretical processes that could have driven the observed decline in income poverty rates in gentrifying areas: inward mobility to areas, outward mobility from areas, and in situ changes in poverty status. The post‐recession period 2010–2014 is studied using data from the UK Household Longitudinal Study. There is good evidence from aggregate and individual‐level analyses for a relationship between "inward" mobility, poverty status, and area gentrification. In addition, people moving to gentrifying areas were more likely to have a university degree and more likely to be in the professional occupational class than people who moved to nongentrifying comparison areas. On the other hand, no such relationships are found for "outward" mobility. The strongest evidence is found for "exclusionary displacement" (the restricted ability of low‐income households to move in to an area) rather than "direct displacement" (increased outward mobility of existing residents) as the dominant driver of gentrification in this period. [ABSTRACT FROM AUTHOR]