HC Deb 30 July 1981 vol 9 cc478-83W
Mr. Ralph

Howell asked the Secretary of State for Social Services if he will bring up to date the table on one-parent families' spending power given in a written answer to the hon. Member for Norfolk, North, Official Report,3 July 1980, columns 730–32, under the same assumptions but with work expenses at (a) £16.50, (b) as in the tax-benefit model tables and under the assumption that free school meals entitlement (c) is linked only to family income supplement and (d) operating as on the pre-Education Act 1980 scales.

Mrs. Chalker

The information requested is set out in the following tables. The figures are based on the assumptions indicated by my hon. Friend. If the figures are quoted, it will, of course, be necessary also to quote the assumptions.

Table 1
Net weekly spending power (£) of a lone mother, with two children aged 4 and 6, receiving supplementary allowance (ordinary rate) and earning £6 (net) a week
£
Supplementary allowance 39.10
Child benefit and one parent benefit 12.50
Net earnings 6.00
Rent 11.05
Rates 4.25
Free school meals 2.25
Free welfare milk 1.30
Net weekly spending power 45.85

Table 2
Net weekly spending power (£) of a lone mother, with two children aged 4 and 6, receiving supplementary allowance (long-term rate) and earning £6 (net) a week
£
Supplementary allowance 44.95
Child benefit and one parent benefit 12.50
Net earnings 6.00
Rent 11.05
Rates 4.25
Free school meals 2.25
Free welfare milk 1.30
Net weekly spending power 51.70

Note on Tables 1 and 2:

Of the net earnings of £6, £5 are disregarded in the calculation of the supplementary allowance.

Table 3
Net weekly spending power (£) of a lone mother, with two children aged 4 and 6, working full-time with £16.50 work expenses
Gross earnings Tax National insurance contributions Family income Rent supplement (F1S) Rent rebate Rate rebate Free welfare milk Free school meals limited to FIS Net weekly spending power Free school meals on pre 1980 Act basis Net weekly spending power
30.31* 2.35 18.50 11.05 4.09 1.30 2.25 45.85 2.25 45.85
35.00 2.71 18.50 10.26 3.71 1.30 2.25 49.01 2.25 49.01
40.00 3.10 17.00 9.38 3.43 1.30 2.25 50.96 2.25 50.96
50.00 2.63 3.88 12.00 8.13 3.03 1.30 2.25 50.90 2.25 50.90
60.00 5.63 4.65 7.00 6.88 2.63 1.30 2.25 50.48 2.25 50.48
70.00 8.63 5.43 2.00 5.95 2.31 1.30 2.25 50.45 2.25 50.45
74.00 9.82 5.74 5.61 2.19 46.94 2.25 49.19
80.00 11.63 6.20 4.59 1.83 49.29 2.25 51.54
80.40† 11.75 6.23 4.52 1.81 49.45 2.25 51.70
8615† 13.47 6.68 3.54 1.46 51.70 2.25 53.95
90.00 14.63 6.98 2.89 1.23 53.21 2.25 55.46
100.00 17.63 7.75 1.19 0.63 57.14 2.25 59.39
105.00 19.13 8.14 0.34 0.33 59.10 2.25 61.35
107.00 19.73 8.29 0.21 59.89 2.25 62.14
110.00 20.63 8.53 61.54 2.25 63.79

Table 4
Net weekly spending power (£) of a lone mother, with two children aged 4 and 6, working full-time with £4.50 fares to work
Gross earnings Tax National insurance contributions Family income supplement (FIS) Rent rebate Rate rebate Free welfare milk Free school meals limited to FIS Net weekly spending power Free school meals on pre 1980 Act basis Net weekly spending power
15.80* 18.50 11.05 4.25 1.30 2.25 45.85 2.25 45.85
21.65† 18.50 11.05 4.25 1.30 2.25 51.70 2.25 51.70
35.00 2.71 18.50 10.26 3.71 1.30 2.25 61.01 2.25 61.01
40.00 3.10 17.00 9.38 3.43 1.30 2.25 62.96 2.25 62.96
50.00 2.63 3.88 12.00 8.13 3.03 1.30 2.25 62.90 2.25 62.90
60.00 5.63 4.65 7.00 6.88 2.63 1.30 2.25 62.48 2.25 62.48
70.00 8.63 5.43 2.00 5.95 2.31 1.30 2.25 62.45 2.25 62.45
74.00 9.82 5.74 5.61 2.19 58.94 2.25 61.19
80.00 11.63 6.20 4.59 1.83 61.29 2.25 63.54
90.00 14.63 6.98 2.89 1.23 65.21 2.25 67.46
100.00 17.63 7.75 1.19 0.63 69.14 2.25 71.39
105.00 19.13 8.14 0.34 0.33 71.10 2.25 73.35
107.00 19.73 8.29 0.21 71.89 71.89
110.00 20.63 8.53 73.54 73.54

Notes on tables 3 and 4:

These tables show the net weekly spending power on two bases:

  1. (1) where a local education authority (LEA) limits free school meals to families receiving family income supplement (or supplementary benefit);
  2. (2) where an LEA continues to apply income scales based on the conditions for entitlement to free school meals which were in force before the Education Act 1980.

Child benefit of £9.50 and one-parent benefit of £3 are payable throughout.

The annotation * shows the gross earnings needed to provide net weekly spending power equivalent to that with supplementary allowance at the ordinary rate, as in table 1.

The annotation † shows the gross earnings needed to provide net weekly the gross earnings needed to provide net weekly spending power equivalent to that with supplementary allowance at the long term rate, as in table 2

Mr. Dobson

asked the Secretary of State for Social Services if he will give the latest available figures on the number of one-parent families receiving one-parent benefit; how many do not benefit financially from receiving it; and how many lone parents, who would benefit financially from one-parent benefit, do not receive it.

Mrs. Chalker

The latest figure of the number of one-parent families receiving one-parent benefit and the estimate of the number not receiving it who would gain if they claimed remain as stated in my recent reply to the hon. Member on 6 July.—[Vol. 8, c.33–34.] Of those in receipt of one-parent benefit, 128,000 do not gain financially from receiving it.