POWER TO REDUCE CHILD BENEFIT FOR LONE PARENTS (Hansard, 13 May 1998)

§ Mr. Keith Bradley
I beg to move, That this House doth agree with the Lords in the said amendment.

Mr. Deputy Speaker
I inform the House that this amendment involves privilege.

§ Mr. Bradley
Amendment No. 77 will remove the Government's option of reducing the higher rate of child benefit for lone parents without abolishing it. The Government intend to use the power in clause 72 to remove the differential in child benefit rates for the first child of lone parents and couples from 6 July. Our intention is to align child benefit rates for all families, while protecting lone parents who are already receiving the higher rates.
479 The drafting of the clause has been causing concern that it might allow the Government to reduce child benefit rates for lone parents to below the rate paid to two-parent families. We have always made it clear that, in our view, the provision does not allow us to do that, and I believe that this amendment will alleviate any lingering concerns once and for all. The amendment should remove any doubt; clause 72 will allow the Government to align only the rates for couples and lone parents. I commend the amendment to the House.

§ Mr. Peter Bottomley
I have a very different point that can be made in virtually one sentence. In supporting the Government's proposal, I commend to the Minister the idea of reviewing the name child benefit and replacing it with the expression "child cash allowance". The problem with the term child benefit is that it suggests that it is an income support measure for those on the lowest incomes when, in practice, that group cannot receive it—neither one nor two-parent families. I believe that a change in the name would be a great advantage in discussions in the House and between the Chief Secretary and Departments.