§ Lord Craigtonasked Her Majesty's Government:
Whether it is the case that, when a charity is paying a beneficiary £5 a week, it is unable to give an additional cash birthday or Christmas gift except to the detriment of the recipient; and if so whether they will amend the regulations to allow charities to do this.
§ The Parliamentary Under-Secretary of State, Department of Social Security (Lord Skelmersdale)The first £5 a week of a regular charitable income is disregarded under income support; anything above that amount will affect the level of benefit payable. Charities may also help people in a number of other ways. Irregular payments up to £250 in a 52-week period are treated as capital and will not affect entitlement unless they take any existing capital over £3,000. In addition, payments to third parties for certain goods and services, and payments in kind are fully disregarded. We have said that amending regulations will be introduced as soon as practicable to remove the £250 limit on irregular payments so that all such payments are treated as capital. This will assist charities and claimants. However there are no proposals to introduce any further concessions. We will also be looking at the effect of the reforms on charitable payments.