We announced that we would be testing the effectiveness of an improved financial incentive for parents with younger children who work less than 16 hours while on benefit in the 'Progression to Work' pathfinders.
We are proposing to test allowing lone parents with younger children to earn up to £50 before their benefit begins to be withdrawn. The current earnings disregard is £20 a week.
We want to see whether increasing the incentive can support them to make the transition from benefits to sustainable work. When we have tested and evaluated this initiative we will consider introducing this disregard nationally.