HC Deb 29 March 2000 vol 347 cc145-7W
Dr. Godman

To ask the Chancellor of the Exchequer (1) what was the(a) average working families tax credit and (b) average child care tax credit payment per week for persons in (i) Inverclyde and (ii) Scotland in the past [115950]

(2) what was the annual expenditure by Her Majesty's Government on (a) the working families tax credit and (b) the child care tax credit in (i) Inverclyde and (ii) Scotland in the past two years; [115951]

(3) if he will estimate the number of families with children in (a) Inverclyde and (b) Scotland who are eligible for the working families tax credit; [115952]

(4) how many persons in (a) Inverclyde and (b) Scotland are in receipt of (i) working families tax credit and (ii) the child care tax credit. [115953]

Dawn Primarolo

It is estimated that 83,900 families in Scotland had been awarded the working families tax credit (WFTC) by the end of February 2000, of which 1,700 were in Inverclyde.

About 8,900 of the awards in Scotland included a child care tax credit. There are too few cases in the 5 per cent. sample used for these analyses to provide a reliable estimate of the number of these in Inverclyde.

The average value of WFTC awards made by the end of February 2000 in Scotland is estimated at £69.91 per week. For families with eligible child care costs, the average extra amount of WFTC arising from the child care tax credit is estimated at £28.63 per week. It is not possible to provide reliable corresponding estimates for Inverclyde.

WFTC was introduced on 5 October 1999. It is estimated that expenditure in 1999–2000 on awards in Scotland will be about £80 million. Recalculating the awards excluding the child care tax credit would reduce this by about £5 million. It is not possible to provide corresponding estimates for Inverclyde.

Ms Harman

To ask the Chancellor of the Exchequer (1) what was the average(a) working families tax credit and (b) child care tax credit payment per week for people in Southwark in the last 12 months; [114836]

(2) what was the annual expenditure by Government on (a) working families tax credit and (b) child care tax credit in Southwark in each of the last five years. [114837]

Dawn Primarolo

The working families tax credit (WFTC) was introduced in October 1999. It is not possible to provide reliable estimates of the average award, or expenditure, for Southwark. However, for the United Kingdom as a whole, the average value of WFTC awards made up to the end of February 2000 was £71.48 per week, and for London the average was £73.92 per week. For the United Kingdom as a whole, for those with eligible child care costs, the average extra amount of WFTC arising from the child care tax credit was £31.04 per week.

Ms Buck

To ask the Chancellor of the Exchequer (1) how many claims for working families tax credit have been received in each region; [110544]

(2) what has been the average gain to working families from the working families tax credit in each region. [110545]

Dawn Primarolo

The estimated number of awards of the working families tax credit made by the end of February 2000 by region are given in the table. Estimates of the average weekly gain for families in receipt of WFTC compared with Family Credit in a full year were given to my hon. Friend on 14 July 1999,Official Report,column 245W. Full year figures made on actual awards are not yet available.

Government office region Number of WFTC awards made to end February 2000
United Kingdom 879,400
England 712,300
North East 52,300
North West 127,700
Yorkshire and the Humber 96,900
East Midlands 70,100
West Midlands 89,900
East of England 59,200
London 64,900
South East 80,100
South West 71,100
Wales 52,400
Scotland 83,900
Northern Ireland 30,700

Ms Kelly

To ask the Chancellor of the Exchequer (1) what estimate he has made of the impact of the working families tax credit on the income of a couple, both earning the minimum wage, and with two children under 11 years, where one parent works full-time and the other(a) full-time and (b) 16 hours per week; [106100]

(2) what assessment he has made of the impact of the working families tax credit on the income of a couple, both earning the minimum wage, with two children under 11 years, where one parent works full-time and the other works (a) full-time and (b) 16 hours per week if the income were divided equally and the credit calculated on each half; [106101]

(3)what estimate he has made of the impact of the working families tax credit on the income of a single parent, with two children under the age of 11 years, earning the minimum wage and working (a) full-time and (b) 16 hours per week. [106099]

£ per week
Couple, both working full-time Couple, one working full-time, one working 16 hours per week Lone parent working full-time Lone parent working 16 hours per week
Gross earnings 252.00 183.60 126.00 57.60
Earnings net of income tax and national insurance contributions 231.67 175.33 117.73 57.60
Amount of working families tax credit 25.13 56.12 87.80 92.00

The estimated expenditure on the working families tax credit for 2000–01, the first full year of the credit, is £4.7 billion. If each partner in a couple received the full amount of credits, and each had an award based on half the couple's earnings, then the expenditure would increase to over three times this figure. Lone parents would be unaffected.

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