National Insurance (Hansard, 27 November 1992)

§ Mr. Dewar
To ask the Secretary of State for Social Security what percentage of social security expenditure was met by national insurance contributions for each year since 1979; what are the planned figures for 1992–93 and 1993–94; and if he will make a statement about future trends.

§ Miss Widdecombe
The available information is in the table.

Year Per cent.

1978–79 67.5

1979–80 65.7

1980–81 66.2

1981–82 63.0

1982–83 59.8

1983–84 58.6

1984–85 54.6

1985–86 53.9

1986–87 53.6

1987–88 53.2

1988–89 53.9

1989–90 54.4

1990–91 55.0

1991–92 54.5

1992–93 52.9

1993–94 52.3

1994–95 51.7

Notes:
1. The percentages refer to expenditure met from the National Insurance Fund.
2. Figures for 1978–79 to 1990–91 are outturn; 1991–92 is estimated; 1992–93 onwards are plans contained in the Departmental Report 1992 (Cm 1914).
3. Income to the National Insurance Fund comes from several sources, predominantly employers' and employees' National Insurance Contributions, investment income and in certain years a Treasury Supplement.

§ Mr. Dewar
To ask the Secretary of State for Social Security what was the surplus or deficit in the national insurance fund for each financial year since 1979; and what is his estimate for the current year and for 1993–94.

§ Miss Widdecombe
The information requested is given in the table. 873W

Year Surplus £'000 Deficit £'000

1979–80 535,302 —

1980–81 411,698 —

1981–82 — 991,008

1982–83 — 23,004

1983–84 580,379 —

1984–85 373,674 —

1985–86 315,514 —

1986–87 413,942 —

1987–88 1,580,654 —

1988–89 3,081,188 —

1989–90 — 61,669

1990–91 1,484,717 —

1991–92 — 3,455,556

1992–93 — 4,659,000

1993–94 — 4,827,000

Notes:
1. All figures represent the difference between income and outgo within the year.
2. Figures for 1992–93 and 1993–94 are estimated.
Source: Government Actuary's Department.

1. Year 2. Industrial injuries benefits 3. Percentage of the national insurance fund 4. Statutory sick pay and statutory maternity pay 5. Percentage of the national insurance fund

1990–91 584,622 1.70 1,268,000 3.68

1991–92 675,300 1.95 1,055,000 3.04

1992–93 677,000 2 1,071,000 3

1993–94 700,000 2 1,093,000 3

Notes:
1. The figures in columns (2) and (4) are expressed as percentages of total receipts to the National Insurance Fund.
2. Figures for 1992–93 and 1993–94 are estimated.
Sources: Government Actuary's Report on the Social Security Bill 1992 (Cm 2097) and the Government's Expenditure Plans 1992–93–1993–94 (Cm 1914).
3. The figures shown in column (5) in respect of Statutory Sick pay and Statutory Maternity Pay are equivalent to the amounts of reimbursement from the Consolidated Fund to the National Insurance Fund.

§ Mr. Dewar
To ask the Secretary of State for Social Security what sums have ben paid for each of the years since 1979 from general taxation into the national insurance fund, expressed in cash terms and as a percentage of the national insurance fund, and for what reasons in each case.

§ Miss Widdecombe
The information is in the table.

Year Sum paid into NI fund in £000 As a percentage of the NI fund Reason

1979–80 2,343,000 17.62 ¹—

1980–81 2,848,000 17.79 ¹—

1981–82 2,433,000 14.27 ¹—

1982–83 2,591,000 13.36 ¹—

1983–84 2,807,000 13.31 ¹—

1984–85 2,597,000 11.74 ¹—

1985–86 2,163,000 9.21 ¹—

1986–87 2,412,000 9.52 ¹—

1987–88 2,135,000 7.81 ¹—

1988–89 1,653,000 5.54 ¹—

1989–90 — — —

1990–91 1,268,000 3.68 ²—

1991–92 1,055,000 3.04 ²—

1992–93 1,071,000 3.00 ²—

1993–94 1,093,000 3.00 ²—

¹ Treasury Supplement.

² Reimbursement of the costs of Statutory Sick Pay and Statutory Maternity Pay.

874W

§ Mr. Dewar
To ask the Secretary of State for Social Security which benefits have been transferred since 1979 to the consolidated fund from the national insurance fund.

§ Miss Widdecombe
Expenditure on industrial injuries benefits was transferred to the consolidated fund from 1 April 1990. Additionally, from that date new arrangements were introduced whereby the costs of statutory sick pay and statutory maternity pay were reimbursed to the national insurance fund from the consolidated fund.

§ Mr. Dewar
To ask the Secretary of State for Social Security what saving for the national insurance fund has been achieved by transferring out expenditure on each benefit transferred to the consolidated fund, in each year since 1979 in cash terms and as a percentage of the national insurance fund; and what are the corresponding estimates for 1992–93 and 1993–94.

§ Miss Widdecombe
The information is in the table:
Note: The figures for years 1992–93 and 1993–94 are based on estimates.
Source: GAD.

Year	Per cent.
1978–79	67.5
1979–80	65.7
1980–81	66.2
1981–82	63.0
1982–83	59.8
1983–84	58.6
1984–85	54.6
1985–86	53.9
1986–87	53.6
1987–88	53.2
1988–89	53.9
1989–90	54.4
1990–91	55.0
1991–92	54.5
1992–93	52.9
1993–94	52.3
1994–95	51.7

Year	Surplus £'000	Deficit £'000
1979–80	535,302	—
1980–81	411,698	—
1981–82	—	991,008
1982–83	—	23,004
1983–84	580,379	—
1984–85	373,674	—
1985–86	315,514	—
1986–87	413,942	—
1987–88	1,580,654	—
1988–89	3,081,188	—
1989–90	—	61,669
1990–91	1,484,717	—
1991–92	—	3,455,556
1992–93	—	4,659,000
1993–94	—	4,827,000

1. Year	2. Industrial injuries benefits	3. Percentage of the national insurance fund	4. Statutory sick pay and statutory maternity pay	5. Percentage of the national insurance fund
1990–91	584,622	1.70	1,268,000	3.68
1991–92	675,300	1.95	1,055,000	3.04
1992–93	677,000	2	1,071,000	3
1993–94	700,000	2	1,093,000	3

Year	Sum paid into NI fund in £000	As a percentage of the NI fund	Reason
1979–80	2,343,000	17.62	¹—
1980–81	2,848,000	17.79	¹—
1981–82	2,433,000	14.27	¹—
1982–83	2,591,000	13.36	¹—
1983–84	2,807,000	13.31	¹—
1984–85	2,597,000	11.74	¹—
1985–86	2,163,000	9.21	¹—
1986–87	2,412,000	9.52	¹—
1987–88	2,135,000	7.81	¹—
1988–89	1,653,000	5.54	¹—
1989–90	—	—	—
1990–91	1,268,000	3.68	²—
1991–92	1,055,000	3.04	²—
1992–93	1,071,000	3.00	²—
1993–94	1,093,000	3.00	²—
¹ Treasury Supplement.
² Reimbursement of the costs of Statutory Sick Pay and Statutory Maternity Pay.