§ Mr. Squireasked the Secretary of State for Social Services how many claimants and how many children will be affected by the decision to cancel the increase in the housing benefit children's needs allowance next April; what will be the average loss; and what will be the saving to the Government.
§ Mr. WhitneyThe decision not to proceed with the proposed increase in the child's needs allowance in April will affect about 650,000 households containing about a million children. Where income is above the needs allowance, the weekly gain for each child would have been 29p in rent rebate or allowance cases and 9p in the rate rebate cases. Where income is below the needs allowance, the weekly gain per child would normally have been 25p in rent rebate or allowance cases and 20p in rate rebate cases. The cost of increasing the child's needs allowance would have been £12 million in 1985–86.