HC Deb 25 June 1984 vol 62 cc354-5W
Mr. Andrew Bowden

asked the Secretary of State for Social Services what savings will accrue from the decision to change the available scale margin for long-term supplementary benefit; how many pensioners, and how many over 80 years, will be affected by the change; and what saving will accrue from the impact of the change on pensioners only.

Dr. Boyson

The savings which will be made from the changes to the available scale margin are as follows:

1984–85 Full year
£ million £ million
Gross savings 30 86
less Cost of extending heating additions -9 -23
Net savings 21 63

Of the gross savings about £74 million in a full year—or £51 million net savings, after taking account of the extension of heating additions—accrue from the effect of the changes on pensioners, and the changes will affect about 1.6 million pensioners including about 400,000 who are over 80. However about 170,000 pensioners will be better off because of the extension of heating additions, including 90,000 householder pensioners over 85 who will become entitled to higher rate heating additions at £5.20 a week. Overall, the changes announced by my right hon. Friend on 18 June at columns 20 to 34 will increase expenditure on social security benefits by some £1,600 million.

Mr. Andrew Bowden

asked the Secretary of State for Social Services how many pensioners will be floated off supplementary benefit following the uprating in November 1984.

Dr. Boyson

I shall let my hon. Friend have a reply as soon as possible.

Mr. Andrew Bowden

asked the Secretary of State for Social Services, for the latest available date, what is the number of (a) pensioners and (b) pensioner households estimated to be dependent on incomes below the supplementary benefit level.

Dr. Boyson

The latest available estimates are that in 1981 there were 880,000 families not receiving supplementary benefit where the family head was over pension age and where the total net family income was below supplementary benefit level. There were estimated to be 1,120,000 people in these families, most of whom would be pensioners although some pensioners' wives might be under pension age.

Mrs. Beckett

asked the Secretary of State for Social Services what is the intended effect of draft regulation 2(12)(c)(ii) of the draft Supplementary Benefit (Requirement and Resources) Amendment Regulations 1984.

Dr. Boyson

The intended effect of draft amendment regulation 2(12)(c)(ii), is to ensure that where a claimant has a sub-tenant only the balance, if any, of the rent received from the sub-tenant after deductions of any amounts already taken into account in the housing benefit assessment and/or various amounts relating to the provision of amenities and services by the claimant is set against any housing requirements the claimant may have. The arrangements for dealing with sub-tenants are complicated and I shall write to the hon. Member to explain the position more fully.