§ Mr. John
asked the Secretary of State for Social Services what would be the cost (a) in 1984–85 and (b) in a full year of making good the 5 per cent. abatement of (i) invalidity pension, (ii) maternity allowance and (iii) sickness benefit; and what would be the cost of a corresponding adjustment of the rates of statutory sick pay.
§ Mr. Newton
The estimated net cost at 1984–85 benefit rates of making good the 5 per cent. abatement would be as follows:
(a) (b) Part year £ million Full year £ million (i) Invalidity pension 20 60 (ii) Maternity allowance 3 8 (iii) Sickness benefit 3 9
If the rates of statutory sick pay which apply from this April were to be increased correspondingly, it is estimated that the recovery by employers from national insurance contributions of the additional amounts paid out would result in the national insurance fund forgoing revenue of £28 million in relation to 1984–85.