The change is part of the Government's drive to remove financial barriers to learning for over-16s, and will be included in a child benefit bill due to be introduced to Parliament before Christmas. The bill is expected to come into effect in 2006.
The Treasury is also consulting on whether or not the change should apply to young people receiving a training allowance.
The change is part of a wider Government effort to simplify the system of financial support for 16- to 19-year-olds.
Paymaster general Dawn Primarolo told Young People Now that efforts to simplify the system may involve merging sources of support - including benefits, childcare and travel costs - into a single allowance.
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