§ Mr. WebbTo ask the Secretary of State for Social Security what is the cost to the Exchequer of the childcare disregard in family credit; and what proportion of that cost is in respect of childcare provided by grandparents or other relatives of the children concerned. [55388]
§ Angela EagleThe annual expenditure in 1997–98 for extra awards made in Family Credit for formal childcare charges was £33.3 million.
Information on the proportion of that cost which is in respect of childcare provided by grandparents or other relatives is not available. However, for the purposes of the childcare disregard, Family Credit claimants can claim for help only with the cost of "formal" childcare. Formal childcare is classified as that provided by registered childminders and nurseries and by out-of-hours clubs on school premises, run by school or a Local Authority, and schemes run on Crown property. In most cases care provided by grandparents or other relatives is likely to be informal childcare and would not attract a disregard.
Notes:
1. Figures have been rounded to the nearest thousand.
2. Sample size 5 per cent.
3. Expenditure figure based on an average of four quarters
Source:
Family Credit 5 per cent. sample of awards.