HC Deb 13 July 1994 vol 246 c639W
Mr. Bradley

To ask the Secretary of State for Social Security what are the estimated savings to his Department in(a) 1995–96, (b) 1996–97 and (c) 1997–98 resulting from (i) freezing the additional pension payable with invalidity benefit and (ii) abolishing the additional pension for new claimants of invalidity benefit.

Mr. Scott

It is estimated that freezing the additional pension payable with invalidity benefit will generate net savings of £30 million in 1995–96, £40 million in 1996–97 and £50 million in 1997–98.

It is estimated that abolishing additional pension for people who start receiving long-term incapacity benefit after April 1995 will generate-net savings of £20 million in 1995–96, £130 million in 1996–97 and £230 million in 1997–98. Note: Estimates are expressed in constant 1993–94 prices, are rounded to the nearest £10 million and are net of offsetting changes in expenditure on age allowances and income related benefits.

1995–96 1996–97 1997–98
Cost £3.25 million £4.25 million £5.25 million
Increase allowance for gainers 4,000 gainers 5,500 gainers 6,500
couples and lone parents floaters on 1,000 floaters on 1,000 floaters on 1,500
Increase threshold for gainers 4,500 gainers 6,000 gainers 7,000
single people floaters on 500 floaters on 500 floaters on 1,000
Introduce a disabled Gainers and <250 Gainers and <250 Gainers and <250
child's premium floaters on floaters on floaters on