HC Deb 18 March 2003 vol 401 cc681-2W
Mr. Prisk

To ask the Chancellor of the Exchequer what estimates his Department has made of the costs of the promotional campaign for the new tax credits, broken down by(a) design, print and production of promotional materials, (b) television and radio advertisements, (c) press advertising, (d) online design related website costs and (e) the provision of faxback facilities. [102416]

Dawn Primarolo

The spend on the promotional campaign for the new tax credit is currently estimated as follows:

£000
(a) design, print and production of promotional materials 95
(b) media costs for:
television advertisements 8,016
radio advertisements 876
(c) press advertising 2,224
(d) online advertising 400
(e) the provision of faxback facilities 15

Note:

All estimated costs include VAT

Mrs. Spelman

To ask the Chancellor of the Exchequer what plans he has to extend the child care tax credit to grandparents caring for their grandchildren. [102799]

Dawn Primarolo

There are no plans to make the childcare element of Working Tax Credit available in respect of grandparents caring for their grandchildren under informal arrangements or while acting as a home childcarer. But if grandparents are registered childcare providers, and provide childcare for their grandchildren outside the children's home, then the cost of their services will count as eligible childcare for the purposes of claiming the childcare element of the Working Tax Credit, which will be introduced from April.

Matthew Taylor

To ask the Chancellor of the Exchequer what the component costs were of each tax credit which contributes to the 2003–04 tax credit lines of(a) table B12 of page 197, (b) table B17 of page 205 and (c) table B9 of page 193 of the November 2002 Pre-Budget Report (Cm 5664); and if he will make a statement. [99394]

Dawn Primarolo

The following table shows a breakdown of the tax credit lines of the 2002 Pre-Budget Report Tables B12 and B9 for 2003–04.

£ billion
Table B12, Row 3 Table B12, Row 33 1Table B9
Children's Tax Credit and negative tax element of new tax credits2 -4.3 N/a -2.2
Reduced liability corporal ion tax, tax credits -0.5 0.5 0.1
Other3 -0.1 0.1 0.0
Total -4.9 0.6 -2.1
1 These figures are the change between Budget 2002 and PBR 2002
2 New tax credits consist of the Child Tax Credit and the Working Tax Credit, which will be introduced from April 2003. The will replace the Working Families' Tax Credit (WFTC), the Disabled Person's Tax Credit (DPTC), the Children's Tax Credit and the New Deal Employment credit for the over 50s and income related elements of support for children in Income Support and Jobseeker's Allowance.
3 Consists of the negative tax elements of LAPRAS (life assurance premium relief), WFTC and DPTC.

Between Budget 2002 and the 2002 Pre-Budget Report, the estimated split of total tax credits between that scored as tax and that scored as public expenditure was revised, with the negative tax element now about £2 billion a year higher from 2003–04 onwards. This accounts for almost all of the change seen in Table B9. These revisions are balanced by changes in the public expenditure element of tax credits, and have no overall impact on the current balance or net borrowing. In 2003–04, the tax credit line in Table B17 (£11.7 billion) mainly consists of the public expenditure elements of the new tax credits (£7.6 billion) and child allowances in Income Support and Jobseekers' Allowance (£3.7 billion). The remaining £0.4 billion consists of the tax credits accruals adjustments, charities transitional relief, stakeholder pensions and the public expenditure elements of WFTC, DPTC and LAPRAS.

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