HC Deb 03 November 1997 vol 300 cc86-9W
Mr. Webb

To ask the Secretary of State for Social Security what estimate she has made of the percentage of a random sample of lone parents whose youngest child was at school and who were receiving income support who would typically flow off benefit in a three-month period in current economic circumstances. [14023]

Mr. Keith Bradley

The information is not available in the format requested. Such information as is available is as follows.

There were 506,000 income support claimants with a lone parent premium at the end of November 1996 whose youngest child was aged five or over. Around 46,000 of these had ceased to claim by the end of February 1997. Some of those whose claim terminated during this period may have reclaimed by February 1997.

Source:

Income Support Quarterly Statistical Enquiries, November 1996 and February 1997.

Mr. Rendel

To ask the Secretary of State for Social Security how much of the funds committed under the new deal for lone parents in(a) 1997–98 and (b) future years comes from (i) the windfall tax, (ii) savings made from the freezing and re-structuring of the lone parent premium and one parent benefit, (iii) savings from the further reductions planned to the family premium (lone parent rate) and child benefit (lone parent rate) and (iv) the abolition of the child benefit increase for new lone parent claimants in 1998. [14166]

Mr. Keith Bradley

The information is as follows. The funding for the New Deal for Lone Parents up until October 1998 will be met from within existing provision. The funding for future years will be met entirely from the windfall levy. This will comprise of £150 million over the life of the Parliament plus an additional £50 million to improve financial help with the cost of childcare in the In-Work benefits.

Mr. Rendel

To ask the Secretary of State for Social Security how many lone parents on income support are estimated to have a child under five years and three months old who has not yet reached their second term at school in(a) 1997–98 and (b) 1998–99. [14163]

Mr. Keith Bradley

The information is not available in the format requested. Such information as is available is as follows. Each school and local education authority has its own policy on the point in the school year at which children in their fifth year start school, and no central figures are available on the actual age (by year and month) at which children start. The number of lone parents on income support whose youngest child was aged five years and three months or less at February 1997 was 538,000.

Source: Income Support Quarterly Statistical Enquiry, February 1997. Sample size 5 per cent. Lone parents are defined as those receiving the Income Support Lone Parent premium.

Mr. Webb

To ask the Secretary of State for Social Security what will be the future entitlement to one-parent benefit of lone parents currently receiving income support and who flow off income support after 31 October. [14019]

Mr. Keith Bradley

The proposed changes to Child Benefit for new lone parents are due to be implemented from June 1998, prior to that date current entitlement rules still apply. From implementation of the proposed changes, new lone parents will receive the same rate of Child Benefit as couples with children. Existing recipients will not be affected as long as they continue to satisfy entitlement conditions. In addition, lone parents who are receiving Income Support or Jobseeker's Allowance with the lone parent rate of family premium will be able to make one subsequent claim for the lone parent rate of Child Benefit when they move into work.

Mr. Rendal

To ask the Secretary of State for Social Security (1) what was the annual cost of the lone parent premium and one parent benefit in(a) 1994–95, (b) 1995–96 and (c) 1996–97; [14161]

(2) what are the projected annual costs to the Government of the family premium (lone parent rate) and child benefit (lone parent rate) in (a) 1996–97, (b) 1997–98 and (c) 1998–99. [14162]

Mr. Keith Bradley

The information is not available in the format requested. Such information as is available is in the tables. Information on expenditure on the lone parent premium is not available as components of a benefit award cannot be separately identified. The lone parent premium is payable with Income Support, Housing Benefit and Council Tax Benefit.

Benefit expenditure on one parent benefit/child benefit (Lone parent payment)
£ million
1994–95 289
1995–96 310
1996–97 348
1997–98 330
1998–99 313
  1. 1. Total expenditure figures are consistent with the 1997 Departmental Report.
  2. 2. Figures are rounded to the nearest £ million.
Estimated expenditure on lone parent premium/family premium (Lone parent)
£ million
1994–95 1995–96 1996–97 1997–98 1998–99
Income support 276 285 286 275 220
Housing benefit 63 75 85 100 95
Council tax benefit 57 68 74 80 85
  1. 1. From April 1997, the lone parent premium payable with the income related benefits was amalgamated with the family premium to become the family premium (lone parent rate).
  2. 2. The estimates of expenditure for 1997–98 and 1998–99 show the extra cost of paying a higher rate of family premium to lone parents.
  3. 3. The expenditure in Great Britain is obtained by multiplying the number of recipients by the value of the premium. However, some recipients will receive an overall amount of benefit which is less than the value of the premium.
  4. 4. Lone parents claiming the income related benefits after April 1998 will no longer be entitled to the higher rate of the family premium. The effects of this change are included in the reported estimates.
  5. 5. Estimates for 1994–95 to 1996–97 are based on sample data and are not entirely consistent with Departmental Report figures.
  6. 6. Estimates for 1997–98 to 1998–99 are consistent with the overall expenditure estimates in the 1997 Departmental Report.

Mr. Rendel

To ask the Secretary of State for Social Security what estimate she has made of the annual savings from(a) the removal for new claimants of the family premium (lone parent rate) in April 1998 and (b) the planned abolition for new claimants of the lone parent increase of child benefit under the Social Security Bill 1997. [14168]

Mr. Keith Bradley

The estimated net saving from the removal of entitlement, for new cases, to the lone parent rates of(a) family premium, in income support, jobseeker's allowance, housing and council tax benefit is, in the three years starting from 1998–99, £55 million, £125 million and £170 million. (b) child benefit is, in the three years starting from 1998–99, £5 million, £15 million and £25 million.

Mr. Rendel

To ask the Secretary of State for Social Security how much the Government have saved to date from(a) the freezing and re-structuring of the lone parent premium and (b) the freezing and re-structuring of the lone-parent increase of child benefit.[14167]

Mr. Keith Bradley

The information is in the table.

1996–97 savings realised from
£ million
Income support/jobseeker's allowance
lone parent premium 10
One parent premium 5
  1. 1. The latest available estimates are for the financial year 1996–97.
  2. 2. The first year savings were realised from the freezing of the lone parent premium and one parent benefit.
  3. 3. Estimates rounded to nearest £5 million.
  4. 4. Information is not yet available for recipients of the housing benefit/council tax benefit lone parent premium in 1996–97.

Source:

  1. 1. Income Support Quarterly Statistical Enquiries.
  2. 2. Child Benefit Management Information System Data.