HC Deb 07 February 1991 vol 185 cc245-6W
Mr. Nicholas Brown

To ask the Secretary of State for Social Security what would be the yield in 1991–92 from freezing child benefit for all children over the age of five years at its current rate; and what increase in the rate of child benefit for children under the age of five years could be financed by such a freeze.

Mr. Jack

The yield would be approximately £240 million. This could fund an increase of £2.40 per week for each child under five to the current rate of child benefit of £7.25.

Mr. Allen

To ask the Secretary of State for Social Security if he will list the years since 1961 in which the real value of child benefit or the family support which preceded it for a family with three or more children exceeded its value in 1961.

Mr. Jack

The information requested is contained in the table H3.07 of "Social Security Statistics 1990", a copy of which is in the Library.

Ms. Harman

To ask the Secretary of State for Social Security if he will publish a table showing child benefit expenditure from 1991–92 broken down into(a) gross income bands, (b) gross equivalent income bands and (c) net equivalent income bands, showing the number of children falling into each band.

Mr. Jack

[holding answer 23 January 1991]: Information about the income of families receiving child benefit is not routinely collected. The following figures relating to the distribution of gross and net income are based on sample survey data which are subject to normal sampling and response variations. Table (a) shows the actual numbers of children in actual gross family income bands whereas tables (b) and (c) are derived from the process of equivalisation. Equivalisation is explained in pages 76–77 of "Households Below Average Income 1981–87" a copy of which is in the Library.

(a) Gross Income
Income hands £ Number of children (000s) child Benefit expenditure(£ million)
Under 5,000 265 110
5–10,000 2,665 1,080
10–15,000 2,115 855
15–20,000 2,385 970
20,000 and above 4,830 1,960
Total 12,225 4,960

(b) Equivalised gross income
Income bands £ Number of children (000s) child Benefit expenditure(£ million)
Under 5,000 740 295
5–10,000 3,965 1,605
10–15,000 3,280 1,330
15–20,000 2,105 860
20,000 and above 2,150 880
Total 12,225 4,960

(c) Equivalised net income
Income bands £ Number of children (000s) child Benefit expenditure(£ million)
Under 5,000 750 300
5–10,000 5,505 2,225
10–15,000 3,575 1,455
15–20,000 1,390 570
20,000 and above 1,020 420
Total 12,225 4,960

Notes:

1. Estimates do not sum due to rounding.

2. Estimates are based on the 1986, 1987 and 1988 FES uprated to 1991–92 earnings and benefits levels.

3. Gross income is the family's total income from all sources including benefits.

4. Estimates take no account of any failure to claim income-related benefits.

5. Equivalence scales are calculated giving a married couple a value of 1.00. Details of scales are given in 'Households Below Average Incomes' (pages 76–77).

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