HC Deb 18 March 1997 vol 292 cc569-70W
Mr. Flynn

To ask the Secretary of State for Social Security what was the combined value of child dependency addition and child benefit for the child of a widowed mother in(a) cash and (b) real terms as a percentage of average earnings, in November 1979 and at each subsequent uprating date; and what were the factors underlying each fall in value which occurred. [20650]

Mr. Andrew Mitchell

The information is in the tables:

Child benefit and widowed mothers allowance child dependency increase for first child
Uprating date Cash as a percentage of average earnings at each uprating date Real terms as percentage of average earnings at April 1996
November 1979 11.0 8.0
November 1980 10.2 7.7
November 1981 9.8 7.2
November 1982 9.7 7.2
November 1983 9.0 7.1
November 1984 8.7 6.9
November 1985 8.4 6.8
July 1986 8.0 6.7
April 1987 7.7 6.5
April 1988 7.2 6.4
April 1989 6.8 6.2
April 1990 6.4 5.9
April 1991 6.3 5.9
October 1991 6.5 6.1
April 1992 6.4 6.1
April 1993 6.2 6.1
April 1994 6.1 6.0
April 1995 6.0 5.9
April 1996 5.9 5.9
Child benefit and widowed mothers allowance child dependency increase for subsequent Children
Uprating date Cash as a percentage of average earnings at each uprating date Real terms as percentage of average earnings at April 1996
April 1991 6.3 5.9
October 1991 6.2 5.8
April 1992 6.1 5.8
April 1993 6.0 5.9
April 1994 5.9 5.8
April 1995 5.8 5.7
April 1996 5.7 5.7

1. The average earnings of full time adult employees were calculated using the new earnings survey and average earnings Index, both produced by the Office of National Statistics.

2. The retail prices index (all items) was used to put child benefit and widowed mothers allowance child dependency addition into real terms as at April 1996. This was then compared with average earnings for April 1996 to give the percentage quoted.

3. The factors underlying the fall in value are:(a) Since 1980, CDIs have been uprated on the basis that the uprated amount of the CDI is reduced by an amount equal to the cash increase in child benefit.

(b) The rate of child benefit was not increased in 1988, 1989 and 1990.