The deserted wife's benefit (DWB) was replaced in January 1997 by the one-parent family payment. No new applications for the DWB scheme were accepted after that date though it remains available to those who were in receipt of the benefit on 1 January 1997 and will remain payable to them for the duration of their continuous entitlement. At the end of April 1999 there were 13,664 cases still in payment.
Earnings are dealt with in two ways under the DWB scheme. There is no income limit for persons who claimed the benefit on or before 31 August 1992. Claims made after that date are subject to income limits.
At present a recipient will receive full benefit where earnings are less than £10,000 per annum. A reduced rate is payable where earnings are between £10,000 and £14,000 per annum. The income disregards which apply to DWB are much more favorable than those which apply to the one-parent family payment.
The benefit is not withdrawn on a pound for pound basis, instead a percentage of a recipients personal rate is payable at different income ranges as follows: