HC Deb 21 December 1983 vol 51 cc276-7W
Sir Brandon Rhys Williams

asked the Secretary of State for Social Services if he will publish figures showing the effect of the proposed increased housing benefit taper on the net weekly spending power of (a) a married couple with two children aged four and six years paying rent of £30, rates of £8.60 and water rates of £1.40, assuming £140 a week gross earnings and work expenses of 6.00, (b) the same family dependent on supplementary benefit, (c) a pensioner couple with rent £20, rates £6 and water rates £1.40 and with a private pension of £15, (d) the same pensioner couple, but dependent on supplementary pension and (e) the same pensioner couple, dependent on supplementary pension, but with £6 a week disregarded income from capital.

Dr. Boyson

The information requested is shown in the following table. The estimates relate only to the assumptions indicated in my hon. Friend's question and have no general application. In particular, because of the levels of rent and rates assumed, example (a) shows an exceptionally large loss of income resulting from the proposed changes in the housing benefits scheme.

Family type and Assumptions Net weekly spending power £
(a) Married couple with two children aged 4 and 6
Earning £140 a week, work expenses £6 rent £30, rates £8.60 and water rate £1.40 a week:—
(i) at current housing benefit rates 80.67
(ii) at proposed housing benefit rates 75.68
(b) as (a) above
In receipt of supplementary benefit; rent and rates as in (a) above 67.82
(c) Pensioner couple
In receipt of retirement pension at basic rate, plus private pension of £15 a week. Rent £20, rates £6 and water rate £1.40 a week:—
(i) at current housing benefit rates 56.23
(ii) at proposed housing benefit rates 55.60
(d) as (c) above
In receipt of supplementary benefit; rent and rates as in (c) above 54.55
(e) as (c) above
In receipt of supplementary benefit and £6 a week disregarded income from capital; rent and rates as in (c) above 60.55

Pensioner Households Affected by the Proposed Taper and Minima Changes Distribution by distance from the needs allowance and size of loss (000s, Great Britain)
Size of Weekly Loss Below the needs Allowance Distance Above the Needs Allowance Total
0–£10 £10.01–£20 £20.01–£30 £30.01–£40 £40.01+
£0.01–£0.50 20 390 170 90 10 20 700
£0.51–£1.00 10 90 20 60 50 60 290
£1.01–£1.50 0 30 60 10 10 30 130
£1.51–£2.00 0 * 60 10 10 10 80
£2.01–£2.50 0 0 30 10 * 10 50
£2.51–£3.00 0 0 20 * * 30
£3.01–£4.00 0 0 * 10 20 * 30
£4.01–£5.00 0 0 0 * 20 0 20
£5.01–£6.00 0 0 0 0 * 0 *
£6.01+ 0 0 0 0 0 0 0
Total 30 500 340 220 110 120 1330
Note:* = numbers less than 5,000. Discrepancies in totals due to rounding.