HC Deb 18 December 1996 vol 287 cc754-5W
Ms Corston

To ask the Secretary of State for Social Security, pursuant to his answer of 18 November,Official Report, column 451, for the years (a) 2000–1 and (b) 2010–11, what is his estimate (i) of the number of additional pensioners eligible to claim income support as a result of the retirement pension not being increased annually in accordance with earnings, (ii) of the additional cost, at 1995–96 prices and (iii) of the additional cost of administration, assuming that the difference between the per capita costs of administering the basic retirement pension and income support in 1995–96 were applied to subsequent years, that the basic retirement pension continued to be price-indexed and that the number and amount of other sources of income remained as now. [8248]

Mr. Heald

Estimated numbers of additional pensioners in receipt of income support and the additional cost to income support as a result of the basic retirement pension not being uprated in accordance with earnings are given in the table. The table also contains estimates as a result of the basic retirement pension not being increased in accordance with the higher of prices and average earnings. Estimates have been made using Pensim, a dynamic simulation model that projects pensioners' incomes into the next century. Pensim estimates are based on a number of economic and behavioral assumptions, and in particular that average earnings increase by 1.5 per cent. per year above prices. Due to the reliance on assumptions and the time period covered, caseload estimates have been rounded to the nearest 100,000 and cost estimates to the nearest £100 million, and should be treated with caution. Further details of the methodology and assumptions used by Pensim are outlined in GES working paper No. 129 "Pensim: A Dynamic Simulation Model of Pensioner Incomes". Copies are available in the Library.

support for (a) men and (b) women in (i) residential care and (ii) nursing homes. [9352]

Mr. Roger Evans

The information is set out in the table:

Income support (IS) recipients aged 65 and over with preserved rights to IS and with care charges above IS limits: average weekly amount above limit
Residential care £ Nursing homes £
Male claimants 36.80 27.26
Female claimants 28.81 23.94
All claimants 30.48 24.54


1. Amounts shown represent the average charge made in excess of the income support preserved rights limits.


Income Support Statistics Quarterly Enquiry November 1995.