REGARDING your article (LET, September 7) on the report to the County Council's Welfare Rights and Anti-Poverty Sub-Committee on Family Credit and the very high number of claimants in the county, I would like to point out that Family Credit is a benefit paid for by central government.

This means that the cost of this benefit is not borne by the County Council or the Council Tax payers, as the article stated.

What the report did show is that Lancashire has a significant problem in relation to low-paid work, and thousands of families whose breadwinner has a job have to rely on a government top-up for enough money to live on each week.

Could I also take this opportunity to thank the Lancashire Evening Telegraph for its coverage of the activities and take-up work of the Welfare Rights Service. I am sure this has assisted readers on numerous occasions.

MR PAUL BURGESS, Principal Welfare Rights Officer, Lancashire County Council. FOOTNOTE: Our story was incorrect to suggest that Family Credit is not paid by the government. It intended to point out that, since Family Credit is "enabling families to top up on low wages," it is, in effect, a subsidy of employers by taxpayers (not council tax payers).

Since the increasing number of claims shows an increasing amount of deprivation (and therefore an increased need for county council funds from central government), it was suggested that the Government should take account of Family Credit claims when making its Standard Spending Assessment the basis on which it decides how much local authorities can borrow and spend.

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