§ Mr. ClayTo ask the Secretary of State for Social Services what is his estimate of the number of claimants of(a) income support, (b) housing benefit and (c) family credit who will be liable for a rates contribution which (i) exceeds or (ii) is less than the amount of compensation allowed for in the income support personal allowances.
§ Mr. Scott[holding answer 21 January 1988]: Using the assumptions set out in the "Impact of the Reformed Structure of Income Related Benefits", October 1987, 1.7 million income support recipients would be liable for rates contributions smaller than the compensation in their benefit entitlement. For 1.8 million recipients their rates liability would exceed it. These figures assume that non-dependant deductions are not made.
For the balance of those on housing benefit (that is, those not also on income support) and for those on family credit these calculations are of limited importance and precise figures are not available. The operation of the rate taper under housing benefit means that liability for a contribution to rates increases above the minimum 20 per cent. as income rises. Family credit is treated as income for housing benefit purposes and the contribution to rates made by family credit recipients will reflect this.