Private Pensions (Hansard, 20 February 1996)

§ 13. Mrs. Lait
To ask the Secretary of State for Social Security how many people now have the rights to a private pension. [14363]

§ Mr. Heald
The latest estimates are that there are more than 20 million people in the country with rights to an occupational pension, and more than 8 million personal pensions. In 1993, the total value of funds in occupational and personal pensions was approaching £600 billion.

§ 19. Mr. Peter Atkinson
To ask the Secretary of State for Social Security what is the total sum invested in funded private pensions in the United Kingdom; and what are the equivalent figures in other EU member states. [14369]

§ Mr. Heald
In 1993, the total value of funds in funded pension schemes in the United Kingdom was nearly £600 billion. This is substantially more than the latest estimate of £480 billion for all the other countries in the European Union.

Table B: Rebates to appropriate personal pension schemes from 1988–89 to 1993–94

£ million

Amount of rebate

Year Primary (Employee) Secondary (Employer) Total Cumulative total

1988–89 99 190 289 289

1989–90 587 1,116 1,703 1,992

1990–91 504 958 1,462 3,454

1991–92 600 1,139 1,739 5,193

1992–93 654 1,243 1,897 7,090

1993–94 707 1,344 2,051 9,141

Notes:
1. 1993–94 is the latest year for which published audited accounts are available.
2. The table shows the cost of providing relief (rebates) from employers' national insurance contributions and for completeness, the cost of providing rebates on the employees' contribution as well as the overall total cost.
3. The figures showing the "Total" cost are taken from the published audited accounts of the national insurance fund, and show the amount of rebates paid over to providers of APPs in each of the relevant tax years up to and including 1993–94. The breakdown between the "Employee" and the "Employer" has been estimated by the Government Actuary's Department.
4. These rebates (along with any income tax relief, incentives and appropriate additions) are paid over to the pension providers in arrears following the end of the tax year in which the relevant earnings were paid.
Source:
Government Actuary's Department based on national insurance fund accounts.

Table B: Rebates to appropriate personal pension schemes from 1988–89 to 1993–94
£ million
	Amount of rebate
Year	Primary (Employee)	Secondary (Employer)	Total	Cumulative total
1988–89	99	190	289	289
1989–90	587	1,116	1,703	1,992
1990–91	504	958	1,462	3,454
1991–92	600	1,139	1,739	5,193
1992–93	654	1,243	1,897	7,090
1993–94	707	1,344	2,051	9,141