HC Deb 13 April 1981 vol 3 cc51-2W
Dr. Edmund Marshall

asked the Secretary of State for Social Services (1) when the level of maximum disregard of income other than earnings in the calculation of resources for the purpose of supplementary benefit was fixed at £4 per week; and what it would be now if it had been increased in line with the index of retail prices;

(2) what plans he has to increase the level of maximum disregard of income other than earnings in the calculation of resources for the purpose of supplementary benefit.

Mrs. Chalker

The level of maximum disregard of income other than earnings was raised to £4 in November 1975, and would now be £7.76 if it were to be increased in line with the index of retail prices. The Government reviewed all the disregard levels in the course of introducing the revised supplementary benefits scheme last November, when improvements were made in the earnings disregards, particularly for one-parent families, and will continue to keep them under regular review.

Successive Governments have, however, taken the broad view that, in a means-tested scheme of last resort, it is better to concentrate scarce resources on improving the scale rates which benefit everyone rather than raising the disregards which benefit only those people who already have other resources.