ASSUMED RATE OF INTEREST FOR CALCULATION OF COUNCIL TAX BENEFITS

Early day motion 817, tabled 23 February 1998 by Lembit Öpik (Liberal Democrat). Signed by 24 members.

That this House expresses its concern that the method of calculating the interest on savings, which is then used to determine eligibility for council tax benefits, is flawed; notes that the assumed interest rate is often much higher than the rate of interest that is actually in force; further notes that this most affects low earners and those with low levels of savings; and calls upon the Government to amend the assumed rate of interest received on savings which is used in the calculations of council tax benefit before the distribution of council tax notices this year.

Signatures by party: Liberal Democrat 14, Labour 9, Scottish National Party 1.