Clause 30 - Power to provide for automatic termination of universal credit

Part of Childcare Payments Bill – in a Public Bill Committee at 2:30 pm on 23 October 2014.

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Photo of Priti Patel Priti Patel The Exchequer Secretary 2:30, 23 October 2014

Clause 30 allows regulations to be made that can terminate a parent’s universal credit award when they or their partner make a claim for support under the new scheme. When the regulations are in force, they will have the same effect on those claiming universal credit as regulations under clause 29 will have on those claiming tax credits.

I have explained to the Committee that one eligibility condition of the scheme, set out in clause 11, is that a person or their partner cannot receive universal credit while receiving support under the new scheme. Clause 30 provides the mechanism for ensuring that that condition is met. It allows for regulations that will automatically end a universal credit award when a person makes a valid declaration of eligibility under the new scheme, resulting in the parent or their partner being unable to claim support under both schemes at the same time.

We come back to the provision of information, in this case to ensure that, as the hon. Lady says, no one falls through the gap. We recognise the importance of our duty to provide information and support to help parents make an informed choice about which scheme to access.  Alongside wider guidance and information, we will provide an easy-to-use online tool for parents choosing between universal credit and the new scheme. The tool is very much about enabling parents to enter the details of their personal circumstances and see what support they may be eligible for and how much they would get.