§ Mr. Forresterasked the Secretary of State for Social Services what is the estimated annual cost of a common retiring age of 62 and 63 years for both men and women.
§ Mr. OrmeOn the assumption that the pattern of retirement in the five years after the new pension ages would be the same as it is now in the five years after the present pension ages, it is estimated that the additional annual cost to central Government funds of a common pension age for men and women of 62 years would be about £1,450 million at current benefit and contribution levels. The cost of a common pension age of 63 years would be about £800 million. With present levels of unemployment these costs would be substantially lower.
§ Mr. Forresterasked the Secretary of State for Social Services what is the latest estimate of the annual cost if the retiring age for men is reduced to 61, 62, 63 or 64 years.
§ Mr. OrmeOn the assumption that the pattern of retirement among men in the five years following the new lower pension ages would be the same as the present pattern among men aged 65 to 70, the estimated additional cost to central Government funds of a reduction in pension age for men is as follows:26W
Reduction of Pension age to Cost £ (million) 61 2,200 62 1,600 63 1,000 64 500 These estimated costs would be substan tially lower if account were taken o savings in benefit resulting from some o the vacancies created by men retiring earlier being filled by the unemployed beneficiaries.