I propose to take Questions Nos. 36, 44 and 45 together.
Family Income Supplement (FIS) is currently available to employees on low earnings with children. A significant number of improvements to FIS were provided for in the 1996 budget, including an increase of £10 in the weekly income limits used to determine entitlement, thereby ensuring that most recipients will receive an increase of £6 per week. The Social Welfare Act, 1996, also provided for a related improvement, which allows people who have been unemployed for 12 months or more to retain entitlement to increases for children (Child Dependant Allowances) payable at the full rate, for a period of up to 13 weeks on taking up employment which is expected to last for at least four weeks. This improvement will alleviate the difficulties encountered by some families during the period between the termination of their unemployment payment and the award of FIS. This is designed to complement the support provided by FIS for low paid workers. While it is not possible to estimate the number of children who will benefit from this measure, about 35,500 children will benefit as a result of increased FIS payments alone.
The extension of FIS to self-employed people with children was estimated in 1994 to cost in the region of £30 million in a full year. This cost is in addition to the existing cost of providing unemployment assistance to self-employed people whose income falls below the rate of unemployment assistance appropriate to their family circumstances.