HC Deb 08 February 1994 vol 237 cc218-20W
Mr. Ingram

To ask the Secretary of State for Social Security what benefits savings were made in the first nine months as the result of the collection of child support maintenance; and what plans he has to revise the targets for the Child Support Agency, in particular those for benefit savings, number of applications and completed assessments, following the recent changes in the rules.

Mr. Burt

For the period from April to December 1993, benefit savings of £214.5 million have so far been reported. This figure does not represent the total amount of savings achieved because some will be scored retrospectively.

The policy changes will have an effect on the agency's achievements against targets this year, but it is too early to be precise about the impact. We do not intend to revise the targets at this stage in the year.

Mr. Ingram

To ask the Secretary of State for Social Security if he will estimate both the income from Child Support Agency fees and the Child Support Agency running costs for the first nine months of its operation, both the expected income from Child Support Agency fees and running costs in each year from 1993–94 to 1997–98; and what plans he has to increase the fees from April 1994 or at any point during this year.

Mr. Burt

A provisional figure for the agency's total expenditure for the period April 1993 to December 1993 is £70 million. The money collected from fees in this period was £756,000. This reflects the fact that the assessment process is taking longer than expected. The latest information currently available for 1994–95 and 1995–96 is in the table. Information on 1996–97 and revised estimates for 1994–95 and 1995–96 will be available in the DSS departmental report 1994, to be published in March.

A routine review of fee levels will take place in October 1994. There are no plans to increase the fees from April 1994.

Child Support Agency: Financial Provision
£ million
1994–95 1995–96
Total planned expenditure 135 136
Fees 12 19

Source: DSS Departmental Report 1993.

Mr. Ingram

To ask the Secretary of State for Social Security what would be the estimated cost of introducing a £5, £10 or £15 disregard on income support for parents with care in receipt of child support maintenance as from,(a) April 1994, (b) October 1994 and (c) April 1995.

Mr. Burt

The full-year costs of a £5, £10 and £15 disregard, assuming one third of lone parents to be receiving maintenance, are in the table. This proportion is broadly in line with what we expect the Child Support Agency to achieve in 1994–95.

Cost £ million
Disregard £5 £10 £15
April 1994 100 200 300
October 1994 100 210 310
April 1995 110 210 320

Note:

Estimates based on forecast increase in lone parents in receipt of Income Support, rounded to nearest £10 million.