Child Care Disregard

HC Deb 11 December 1995 vol 268 cc502-3W

Ms Hodge

To ask the Secretary of State for Social Security what was his Department's original estimate for the numbers of lone parents who would he eligible for the child care disregard in 1995–96; and how many lone parents are currently receiving the child care disregard.[5271]

Mr. Andrew Mitchell

As at 31 July 1995, 19,000 lone parents were receiving the child care disregard.¹

Original estimates were that, in the long run, 150,000 families would gain from the new help. Provision was made in the expenditure forecasts based on around 100,000 gainers from the child care disregard in 1995–96 of whom the majority were lone parents. This estimate recognised the uncertainty of behavioural effects and the pace at which they occur. These effects are occurring more slowly than anticipated. We regularly revise our estimates in the light of new data. ¹Source: Family Credit 5 per cent. sample of awards.