§ Mr. BattleTo ask the Secretary of State for Social Security, further to the answer of 13 December by the Prime Minister,Official Report, column 553, if he will give details of the examination which has taken place into the impact upon claimants in receipt of family credit and the new disability working allowance of increasing the taper for the proposed council tax rebates to 20 per cent.; and if he will show the results of that examination.
§ Miss WiddecombeThe proposed council tax benefit taper of 20 per cent. needs to be considered in the context of the introduction of 100 per cent. maximum rebates. There will be no minimum contribution to the council tax and income-related benefit levels will not be adjusted, despite the fact that people will no longer be expected to make a 20 per cent. contribution to the community charge.
The effect of the higher taper on those people who receive family credit or disability working allowance, and housing benefit as well as council tax benefit, will be very small. Their marginal deduction rate will increase slightly from 96 to 97 per cent.
Source: Modelled using data drawn from the 1987–88 family expenditure surveys at 1991–92 prices and estimated benefit levels.