HC Deb 02 March 1988 vol 128 c603W
Mr. Pike

To ask the Secretary of State for Social Services in what situations his Department's regulations require children's pocket money to be taken into account when assessing a claimant's entitlement to benefit.

Mr. Scott

Any payment which an absent parent makes to a child whom he is liable to maintain is normally treated as income and taken into account in full in the assessment of supplementary benefit; such payments will similarly be taken into account under the rules for income support. However, the first £100 of any gift for an occasion, like a birthday, is ignored for supplementary benefit purposes. Under income support any payments made by way of gifts will be treated as capital except that any amount which exceeds in aggregate £250 in 52 weeks will be treated as income and taken into account in full.

Pocket money paid regularly to a child by a person who is not liable to maintain him or her is treated as a voluntary payment. Under supplementary benefit the first £4 a week is disregarded. From 11 April the disregard will increase to £5 a week under income support. Occasional payments of pocket money are normally treated as capital in supplementary benefit. In income support, the first £250 in any period of 52 weeks will be regarded as capital and any excess treated as income averaged over the number of weeks remaining in that year.

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