Family Credit

Oral Answers to Questions — Social Security – in the House of Commons am 12:00 am ar 4 Mawrth 1991.

Danfonwch hysbysiad imi am ddadleuon fel hyn

Photo of Mr Alan Amos Mr Alan Amos , Hexham 12:00, 4 Mawrth 1991

To ask the Secretary of State for Social Security what is the latest figure for the number of families benefiting from family credit and the number benefiting from the predecessor scheme in 1978–79.

Photo of Michael Jack Michael Jack , Fylde

At the end of November 1990, the latest date for which comprehensive information is available, the family credit caseload was 324,000. This compares with 82,000 families on family income supplement in November 1978.

Photo of Mr Alan Amos Mr Alan Amos , Hexham

I congratulate my hon. Friend on being able to concentrate more resources on more people who are in real need. Will he consider the merit of abolishing child benefit and using the money to target more help to more people through that mechanism instead of giving over £1 billion to people who are very wealthy and do not need child benefit?

Photo of Michael Jack Michael Jack , Fylde

I thank my hon. Friend for his appreciation of the help that we are giving to families with children. I remind him that on 24 October my right hon. Friend the Secretary of State said that child benefit … is and will remain a strong element in our policies for family support".—[Official Report, 24 October 1990; Vol. 178, c.352.] My hon. Friend will be aware that my right hon. Friend the Prime Minister accords with that view.

My hon. Friend's supplementary question refers to the breadth of support that we are now able to give through family credit and the higher premia in income support to families with children. It is our intention to continue to help poorer families in that way.

Photo of Mr Max Madden Mr Max Madden , Bradford West

The Minister will understand that I was surprised and delighted when I telephoned the Minister of State earlier this afternoon and found that he picked up the phone himself. I hope that his office will be able to expedite payment of family credit to one of my constituents who won an appeal recently, thereby restoring the suspension of family credit in 1989. She is now owed £2,000. I hope very much that that sum will be paid promptly.

Family credit is no substitute for proper and adequate child benefit. The protests of mothers throughout the country at the way in which child benefit has been frozen and thereby reduced in value will become deafening as we approach the next general election.

Photo of Michael Jack Michael Jack , Fylde

The hon. Gentleman will not expect me to comment now on the individual case to which he referred. If he supplies me with the details, I shall follow up the matter. It is good to know that my right hon. Friend the Minister of State is multi-skilled, as we all are in the Department.

It is sad that Opposition Members are prepared to rubbish a benefit that can contribute about £50 a week to 17 per cent. of those in receipt of it, while 30 per cent. receive £40 and 65 per cent. receive £20 a week. That is substantial additional income for families who are back in work—some of them are in work for the first time—and making an effort to help themselves.

Photo of Mr Jacques Arnold Mr Jacques Arnold , Gravesham

Does my hon. Friend accept that family credit is not only available to many thousands more families than its predecessor, family income supplement, but—and just as valuable—the average payment is more than double the value of the supplement which used to be distributed?

Photo of Michael Jack Michael Jack , Fylde

As I said in my opening answer, the present case load is about 324,000, compared with 82,000 on family income supplement. The benefit is more generously structured and, since the start of the present campaign to increase awareness of the benefit about two weeks ago, we have already received about 10,000 telephone calls from people interested in learning more about this excellent benefit.