HC Deb 05 March 2001 vol 364 cc67-8W
32. Mr. Brady

To ask the Secretary of State for Social Security if he will make a statement on the means testing of benefits. [150516]

Mr. Bayley

I refer the hon. Member to the replies given to the hon. Members for Gosport (Mr. Viggers) and for Vale of York (Miss McIntosh) earlier today,Official Report, Column 16.

Mr. Matthew Taylor

To ask the Secretary of State for Social Security (1) what estimate he has made of the savings in means tested social security payments to his Department of a lone parent with one child aged over 11 leaving unemployment and entering a job that pays(a) £20,000 per annum and (b) £7,500 per annum; [151545]

(2) what estimate he has made of the average change in benefits and tax credits paid when a participant in the New Deal for Lone Parents enters full-time employment. [151638]

Angela Eagle

[holding answer 1 March 2001]: The information is in the table.

Weekly income related benefit savings of a lone parent with one child aged 11–15 moving into work (at April 2000 rates)
£
Out of work benefits In work benefits Income related benefit saving
No rent
Earn £20,000 87.95 — 87.95
Earn £7,500 87.95 70.40 17.91
Weekly income related benefit savings of a lone parent with one child aged 11–15 moving into work (at April 2000 rates)
£
Out of work benefits In work benefits Income related benefit saving
Private renter
Earn £20,000 166.35 — 166.35
Earn £7,500 166.35 94.18 72.17
Local authority renter
Earn £20,000 131.27 — 131.27
Earn £7.500 131.27 70.04 61.23

Notes:

1. This table assumes:

(a) work of 30 hours or more per week

(b) no child care costs involved in WFTC assessment

(c) private rented housing average rent of £78.40

(d) local authority housing average rent £43.32

(e) council tax of £9.90.

2. Working Families Tax Credit has been treated as an income-related benefit for these calculations.

3. Of the examples in this table the one that is most typical of a lone parent moving from benefit into work would be a local authority renter.