§ Mr. Peter BottomleyTo ask the Secretary of State for Social Security what assessment he has made of the relative benefits given to a family with children(a) in the higher tax range and (b) below the tax threshold of child benefit or a general equivalent child tax allowance.
§ Mrs. Gillian ShephardChild benefit provides virtually all families with a contribution towards the costs of bringing up their children, irrespective of their tax liability, though the total family income of those receiving income support or family credit is not normally affected by the level of child benefit. A child tax allowance whose value to the basic rate taxpayer was equivalent to the level of child benefit would be worth more to families with incomes liable to tax at the higher rate. Child tax allowances would not benefit families who do not pay tax, and some families with relatively small taxable incomes would be able to take only partial advantage of them.