§ 7. Mr. GRAHAM WHITE
asked the Minister of Labour what would be the total cost to the Exchequer of restoring the cuts effected in 1931 in unemployment benefit and transitional payments on the basis of 2,500,000 unemployed, and the separate cost of raising children's allowances from 2s. to 3s.?
§ Sir H. BETTERTON
On the basis of finance assumed for the Unemployment Bill, the restoration of the reduction in rates of benefit made in October, 1931, would increase the amount of benefit payable by about £5,700,000, and the cost of increasing the allowance for a child dependant from 2s. to 3s. per week would be about £1,700,000 in respect of claimants for insurance benefit. These additional annual charges would fall upon the Unemployment Fund. As regards the existing scheme of transitional payments, I am not in a position to estimate the effect under the needs test of increasing the basic rates of benefit, as the cost would depend upon the assessments of need made by public assistance authorities.
§ Mr. HERBERT WILLIAMS
Can the Minister say at the same time how much 2068 it would cost to restore the rates of contributions?