§ Ms. Abbottasked the Secretary of State for Social Services how many lone parents currently benefit from the provision in the supplementary benefit regulations which allows child care expenses reasonably incurred to be deducted from the calculation of earnings; and if he will supply this information in respect of (a) London north region, (b) London south region, and (c) England and Wales as a whole.
§ Mr. PortilloI regret that information about the number of lone parents who currently have child care expenses deducted from the calculation of their earnings is not available.
§ Ms. Abbottasked the Secretary of State for Social Services (1) what representation he has received regarding the effects on working lone parents of the provision in the draft income support regulations which does not deduct necessary child care expenses when calculating net earnings; (2) if he will amend the draft income support regulations so as to allow expenses incurred in connection with the care of another member of the family to be deducted from gross earnings where they are reasonably incurred in order to undertake paid work; and if he will make a statement.
§ Mr. PortilloWe have received a small number of representations on this subject. The reforms of the income-related benefits in April 1988 will produce arrangements that are easier to understand and to operate and put the basic rules for the three income-related benefits—income support, family credit and housing benefit — on a common basis. The treatment of work expenses in these three benefits will be in line with those that currently apply in family income supplement and housing benefit, the main income-related benefits for people in work. At the same time we intend to increase to £15 the amount of part-time earnings a lone parent can have without reducing entitlement to income support. We expect many to gain from the simpler rules and higher disregard of earnings. Those who might otherwise receive less help at the point of change will have the level of state support maintained under transitional arrangements.