HC Deb 02 March 1978 vol 945 cc389-90W
Mrs. Wise

asked the Secretary of State for Social Services what would be the estimated additional costs in the tax year 1978–79 if child benefit were uprated (a) by £1 in November 1978 for all children, (b) £1 in November 1978 but by £2 for one-parent families, and (c) by £1.70 in November 1978 for all children.

Mr. Orme

The estimated additional cost of uprating child benefit in Great Britain in the 1978–79 tax year net of savings on other social security benefits is:—

  1. a. about £230 million;
  2. b. about £235 million—assuming that the one-parent family premium is increased to £2;
  3. c. about £395 million.
These figures represent part-year costs only.

Mrs. Wise

asked the Secretary of State for Social Services what is the cost of child benefit for the tax year 1977–78 and how much of this can be set against the savings made on child tax allowance.

Mr. Orme

The estimated cost of paying child benefit in Great Britain in 1977–78 is about £890 million; the increased basic rate yield from the reduction of child tax allowances in Great Britain in 1977–78 is estimated at about £205 million.

Mrs. Wise

asked the Secretary of State for Social Services, further to the reply of

Amount paid to Number of payments to families
Week ending Families Single strikers
£ £
22nd November 1977 4,316 325
29th November 1977 43,45 8 2,131
6th December 1977 72,174 48 3,644
13th December 1977 118,051 96 5,780
20th December 1977 249,354 515 11,242
27th December 1977 175,551 471 6,963
3rd January 1978 168,014 418 8,040
10th January 1978 252,146 824 12,508
17th January 1978 196,113 557 9,871

In general, these claims were dealt with in the same way as those from other

6th December that the estimated cost of child benefit for the tax year 1978–79 would be in the order of £1,650 million, how much of this can be set off against savings which will be made in child tax allowances.

Mr. Orme

The yield from reducing child tax allowances by a total of £200 down to £100 per year is about £545 million.