§ Mr. Austin Mitchellasked the Secretary of State for Social Services what is his estimate of the amount to be collected in 1982–83 for State pensions from those who have not contracted out for the purpose of the national insurance scheme.
§ Mr. RossiThis information is not available.
Under the pay-as-you-go operation of the national insurance scheme, the earnings limits and rates applicable to insured persons and their employers, whether paying normal or contracted-out contributions, were set for 1982–83—under the economic assumptions set out in the report by the Government Actuary on the financial provisions of the Social Security (Contributions) Bill 1981 (Cmnd. 8443)—so that revenue in the year would balance the expected total expenditure on all benefits.
It was estimated that of the £19.8 billion outgo some £14 billion would be paid to retirement pensioners in 1982–83.