HC Deb 02 February 1996 vol 270 c962W
Mr. Frank Field

To ask the Chancellor of the Exchequer how many claimants(a) would cease to be eligible for family credit, housing benefit and other means tests if a child tax allowance was re-introduced and set each at multiple of £100 up to an including £1,000 and (b) would cease to pay tax at each charge; if he will estimate the cost in gross and net terms of such a charge; how many tax payers would not have a high enough income to use each of the tax allowances; and if he will estimate an average amount of unused allowances for each £100 median in child tax allowances. [9935]

Mr. Jack

Information for 1995–96 is given in the tables. It has been assumed that either partner of a married couple may use such a child tax allowance. Estimates in the tables have been produced for three of the multiples of £100. Estimates for all 10 multiples could be provided only at disproportionate cost.

Mr. Waldegrave

A fall of 100,000 in unemployment in the UK is a strong signal of the fundamental strength of the UK's economy, and unemployment in the UK has fallen by 741,600 since December 1992 as a result of Government policies.

Estimating the overall numerical value of a reduction in unemployment of 100,000 requires several heroic assumptions. However, the Department of Social Security's departmental report shows that a variation in unemployment of 100,000, assuming the 100,000 have the same characteristics as the existing unemployed population, would change total expenditure on benefits paid to the unemployed by £385 million in 1995–96.

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