HC Deb 14 November 1988 vol 140 cc440-1W
25. Mr. Nellist

To ask the Secretary of State for Social Security what would be the value, in 1988 prices, of the child benefit allowance, had it since its inception been increased annually by the equivalent of the rise in the value of(a) the retail prices index, and (b) average earnings.

Mr. Peter Lloyd

Child benefit was phased in between April 1977 and April 1979. Taking the April 1979 rate of £4 per child, the value at April 1988 would have been(a) £7.79, based on the general index of retail prices and (b) £9.64, based on the index of average earnings: whole economy (seasonally adjusted).

26. Mr. Allen Adams

To ask the Secretary of State for Social Security if he will make it his policy to publish a long-term strategy for child benefit.

Mr. Moore

I refer the hon. Member to the reply I gave to the hon. Member for Ashfield (Mr. Haynes) earlier today.

55. Mr. Simon Hughes

To ask the Secretary of State for Social Security what recent representations he has received concerning the level of child benefit.

Mr. Peter Lloyd

We received a number of representations from organisations and individuals about child benefit in anticipation of the annual review of social security benefit rates.

58. Mr. Knox

To ask the Secretary of State for Social Security what is the percentage take-up of child benefit.

Mr. Peter Lloyd

98 per cent.

Mr. Frank Field

To ask the Secretary of State for Social Security what would be the cost of(a) doubling child benefit and (b) doubling the benefit and making it taxable.

Mr. Peter Lloyd

[holding answer 7 November]I refer the hon. Member to my reply to the hon. Member for Great Grimsby (Mr. Mitchell) today. The reply to this question provides broadly similar information.

Mr. Austin Mitchell

To ask the Secretary of State for Social Security what is his estimate of the gross cost of raising child benefit to £20 for the first and £15 for subsequent children, the net cost after making the benefit taxable, and the saving in each of the other allowances for children on the assumption that these are reduced by(a) 50 per cent. and (b) 100 per cent. of the increase in child benefit.

Mr. Peter Lloyd

[holding answer 9 November 1988]Raising the weekly value of child benefit to £20 for the first child and £15 for subsequent children might increase gross annual expenditure by £6.6 billion at 1988–89 prices. Increased income tax revenue and reduced expenditure on the main income-related benefits might imply a net cost of £2.8 billion. The additional net saving, if the child dependancy increases to the national insurance benefits were reduced by 50 per cent. of the increase in child benefit, might be of the order of £40-£45 million. If child allowances were reduced by 100 per cent. of the child benefit increase, the net extra saving might be around £70 million.

Local office Grants Budget £ Loans Budget £ Effective From
Dunstable 39,269 90,778 11 April 1988
Glasgow Provan 447,797 1,059,669 11 April 1988
Liverpool Edgehill 258,534 714,113 11 April 1988
Liverpool West Derby 70,780 167,504 11 April 1988
Wrexham 146,288 340,749 1 May 1988
Rhyl 109,152 251,676 1 May 1988
Deeside 53,752 126,939 23 May 1988
Oxford 197,597 461,194 1 July 1988
Newbury 34,902 80,251 1 July 1988
City of London 27,206 73,746 1 November 1988
Westminster 71,429 169,017 1 November 1988
Bloomsbury 92,343 208,526 1 November 1988
Liverpool Edgehill No change 664,113 1 November 1988