§ Lady Olga MaitlandTo ask the Secretary of State for Social Security what new legislation he intends to introduce so that parents with care on benefit derive direct advantage from the child maintenance that they receive. [6137]
§ Mr. Andrew MitchellI have today laid before Parliament regulations which introduce a new scheme called the child maintenance bonus. This scheme will allow parents with care on income support or income-based jobseeker's allowance who are also receiving child maintenance to build up a weekly credit of £5—or the weekly amount of maintenance, if less—towards a lump sum of up to £1,000, payable when they leave benefit for work. Subject to the approval of Parliament, the scheme will begin on 7 April 1997.
This new initiative will provide a direct cash benefit for parents with care from maintenance they receive, enhancing the incentive for them to find employment while also encouraging compliance with the Child Support Agency among both parents with care and absent parents.
I have also today laid a package of regulations which make a number of miscellaneous amendments to child support regulations to simplify and speed up the handling of applications. This package includes a measure to increase the effectiveness of reduced benefit directions and a regulation which defers the re-introduction of fees for the services of the Child Support Agency until April 1999.