§ 34. Sir George Youngasked the Secretary of State for Social Services what steps he is taking to inflation-proof child benefit in the same way as unemployment pay and other social security benefits.
§ Mr. OrmeAs I explained to the hon. Member in my reply on 7th February—[Vol. 943, c.528.]—the Child Benefit Act 1975 already provides that the Secretary of State shall consider each year whether, in the light of such factors as the national economic situation and the general standard of living, the rate of child benefit ought to be increased. Furthermore, the considerations governing the uprating of child benefit are not the same as for unemployment benefit. Child benefit is an addition to other income, generally wages, whereas unemployment benefit is provided against a cessation of earnings.
§ 48. Mrs. Haymanasked the Secretary of State for Social Services if he is satisfied with the proportion of one-parent families who will benefit from the increases in child benefit rates announced in the Budget.
§ Mr. OrmeYes. One-parent families not in receipt of social security benefits will, like two-parent families in the same position, have an increase in their income as a result of the upratings of child benefit in November 1978 and April 1978. Families in receipt of social security benefits will have an increase in income as a result of the social security uprating in November 1978.