§ Mr. McLoughlinTo ask the Secretary of State for Social Security if, following his uprating statement, he is in a position to announce how housing benefit transitional payments will be treated in April 1989.
§ Mr. MooreWe have made it clear from the beginning that housing benefit transitional payments will be reduced as increases in other benefits make them less necessary. I have decided on a flat rate reduction of £2 per week in these payments from next April. This will ensure that the vast majority of recipients will gain overall in cash terms from the uprating. There will be special arrangements to protect the small number of people dependent on social security benefits who would otherwise see a cash loss.
I can confirm that applications for transitional payments will continue to be accepted until 31 March 1989. Up to this date transitional payment awards will continue to be backdated to April 1988.