Question to the HM Treasury:

To ask His Majesty's Government what assessment they have made of providing child benefits and child care support based on (1) joint household income and (2) parents individual earnings, given that currently a family of two parents earning £50,000 each may be eligible for a different level of support than a family on a single salary of £100,000.

The current rules base the High Income Child Benefit Charge on the income of one parent or carer. Basing the charge on household income, or the individual incomes of both parents or carers, would come at a significant fiscal cost if we were to ensure that no families lose out.

Regarding the 30 hours childcare offer, the £100,000 earnings threshold for eligibility is currently assessed on a per parent basis, rather than household income for two main reasons. First, aligning to the existing boundary in the tax system makes it easy for parents to understand what they are entitled to. Second, this policy approach means there is no incentive for the lower earner in a household to reduce their income, for example through working fewer hours, to be eligible.