HC Deb 21 June 1978 vol 952 cc220-1W
Miss Richardson

asked the Secretary of State for Social Services what would be the cost of paying child benefit to parents of children in the care of a local authority, who do not get a boarding-out allowance, for any week in which the child spends a complete day at home.

Mr. Orme

Child benefit is payable where a child in care normally returns home for at least a complete day each week. Payment may also be made for longer periods at home of at least a complete—child benefit—week and also for part-weeks at the begninning or end of the visit provided there is a complete week in between. It is not possible to estimate the number of other short visits home of at least a complete day for which child benefit is not payable, or, therefore, the cost of paying child benefit in these cases.

Miss Richardson

asked the Secretary of State for Social Services how many parents do not receive child benefit for a child because that child is in the care of the local authority; and how many of these parents are losing part of their child tax allowance as a result of the phasing in of the child benefit scheme.

Mr. Orme

Child benefit is paid in all cases during the first eight weeks a child is in care. It is estimated that at 31st March 1977 there were about 75,000 children in England and Wales who had been in the care of a local authority for more than eight weeks, excluding children in care continuously under the charge and control of parents, relatives, guardians or friends and for whom child benefit will continue in payment. In some of the estimated 75,000 cases child benefit would be in payment because the child regularly spends a complete day at home each week, and child benefit would also be payable for any occasional period spent at home exceeding a complete—child benefit—week. It is not known how many of these children had the same parents.

Child tax allowances are being reduced in all these cases as part of the phasing in of the child benefit scheme. This will, of course, have no practical effect in those cases where the parent's income consists of tax-free social security benefits or where the parents are still not liable for tax. It is not known how many such parents there are.

Mr. Peter Bottomley

asked the Secretary of State for Social Services if he will list (a) the extra revenue being spent on child benefits from April 1978, (b) the additional revenue being spent on child benefits from November for the remainder of the financial year, (c) the additional revenue being spent on the November increase in child benefits in a full financial year and (d) the additional revenue being spent on child benefits resulting from the proposed increase of £4 from April 1979.

Mr. Orme

The following estimates of increased expenditure on child benefits in Great Britain, net of offsets in social security dependency benefits, are rounded to £10 million and each year's figures are cumulative.

In 1978–79:
April 1978 changes £630 million
November 1978 changes £160 million
In 1979–80
November 1978 changes £410 million
April 1979 changes £560 million