In April, child benefits payments for the poorest children will rise to £64 a week.
From April 2007, the value of the child element of child tax credit will rise by £80 to £1,845 per year.
From April 2009, every mother-to-be will become eligible for child benefit from week 29 of their pregnancy, so that women will be up to £200 better off by the birth of their first child and up to £130 better off at the birth of subsequent children.
Since 2003, parents with care on the new child support scheme have been able to keep the first £10 per week of any child maintenance paid without it affecting their benefit entitlement. This is known as the Child Maintenance Premium and currently over 50,000 parents are benefiting from it. By the end of 2008 the Government will extend the Child Maintenance Premium to parents with care on the old child support scheme. It is estimated that this will benefit an extra 40,000 parents with care, with an additional 15,000 more children receiving the full amount of maintenance paid by the non-resident parent. The Government’s forthcoming child maintenance White Paper will set out further reforms to help tackle child poverty; promote parental responsibility; provide a cost-effective and efficient service and value for money for the taxpayer; and improve simplicity and transparency.
Provide funding to improve the administration of housing benefit and to raise awareness that housing benefit is available to those in work.
These measures include:
providing awareness material to highlight the availability of housing benefit as an in-work benefit;
working with local authorities and Housing Associations to promote financial inclusion; and
working with Jobcentre Plus to develop improved in-work calculations for customers.
taking forward measures to simplify and reduce error in the benefits system.
raising the earnings disregard to housing benefit and council tax benefit in line with indexation to £15.45 in April 2007, ensuring that claimants gain from increases in the rate of working tax credits.
The Basic Pension will rise from next April by 3.6 per cent and the winter allowance, the pension credit minimum guarantee will rise by £5 a week for a single person and £7.65 a week for a couple.
The renewal period will be shortened to four months in 2007 to further reduce the time over which claimants are paid on potentially out of date information.
From April 2007, the value of the child element of child tax credit will rise by £80 to £1,845 per year.
Extension of the support offered to lone parents who move into work by maintaining the In-Work Credit in the current pilot areas for a further six months.
With immediate effect, the Job Grant (£100 or £250 for claimants with children) will be extended to JSA claimants aged 18 to 24.
Every new Jobseeker’s Allowance claimant will be offered expert help with jobsearch, delivered through Jobseeker Direct, as soon as they contact Jobcentre Plus to make a claim.
prebudget report - link to speech, report, press releases and summary
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