§ 2.42 p.m.
§ Baroness Gardner of ParkesMy Lords, I beg leave to ask the Question which stands in my name on the Order Paper.
§ The Question was as follows:
§ To ask Her Majesty's Government what is the present mobility allowance and whether there is an increase in the number of claimants.
§ The Parliamentary Under-Secretary of State, Department of Health and Social Security (Lord Elton)My Lords, mobility allowance is now £16.50 a week. The number of people receiving the allowance has risen from about 115,000 in May 1979 to 210,000 at the present time.
§ Baroness Gardner of ParkesMy Lords, can my noble friend give me further information on how this relates in real terms, and also how it compares with the rate of inflation since this Government came to office?
§ Lord EltonMy Lords, the allowance was increased by nearly 14 per cent. last month, from £14.50 to £16.50 a week. That is well above the percentage increase expected in the retail price index in the year up to November. Mobility allowance has increased by 65 per cent. since the Government took office. This is substantially more than the rise in the retail price index.
§ Lord Jenkins of PutneyMy Lords, as the noble Lord is aware, the allowance is not payable at the later ages. Can he say whether there is any prospect of the allowance being payable to people of 70 years or so, which is not a great age, as we now know in this House?
§ Lord EltonMy Lords, the allowance was introduced in 1976 with an age limit for new applicants of 65. Once in the scheme a beneficiary remains entitled for a further 10 years, to age 75. It took four years to establish the scheme to include all existing age groups of beneficiaries, and it will therefore be another seven or eight years before any of them reach the upper age limit. Perhaps the noble Lord will he kind enough to raise the matter again nearer the date.
§ Baroness Gardner of ParkesMy Lords, perhaps I could ask a further question of the noble Lord. How would this compare to average cost increases for motorists? Would it be in line with that or would it be better?
§ Lord EltonMy Lords, the transport and vehicle group component of the retail price index has risen by 45.5 per cent. since April 1979. Noble Lords will readily see that the mobility allowance has increased substantially more than that, and people with mobility allowance do not, of course, have to pay vehicle excise duty.
§ Lord Jenkins of PutneyMy Lords, may I press the noble Lord a little further? Is it not the case that no one over 65 can apply for the allowance, and is it not possible that the Government might be prepared to receive applications for persons of a later age?
§ Lord EltonMy Lords, the assumption is that people who are now over 65 will already have applied before reaching the cut-off point. I understand that the noble Lord is referring to people who did not make an application before they reached 65 and now wish to do so. I shall write to the noble Lord on this.