HC Deb 19 December 1991 vol 201 c289W
Mr. Flynn

To ask the Secretary of State for Social Security whether, and in what circumstances, a person entitled to family credit will be allowed to claim disability working allowance instead; what benefits to which family credit is a passport will not be similarly available to persons receiving disability working allowance; and what will be the highest marginal tax rate, including loss of benefits, to which persons receiving disability working allowance will be exposed(a) in April 1992 and (b) after the introduction of council tax benefit.

Mr. Scott

A person is disqualified from claiming disability working allowance—DWA—if he, or any member of his household, has a current award of family credit. If he wishes to claim disability working allowance instead he will be able to make an advance claim during the period when he would normally be able to renew his family credit award so that there will be no break in payment.

Family credit is a passport to free national health service prescriptions and to help with other NHS charges. People who get DWA will be able to apply for help with NHS charges through the NHS low income scheme.

DWA, like family credit, will be assessed on the basis of net income so that people will gain something from each extra pound they earn. However, some people will be subject to marginal deduction rates of 96 per cent. from April 1992 and 97 per cent. after the introduction of council tax benefit.