HC Deb 21 March 1997 vol 292 cc1025-6W
Sir John Stanley

To ask the Secretary of State for Social Security what was the average annual increase in real terms of(a) the state retirement pension and (b) average pensioner incomes (i) from 1974 to 1979 and (ii) since 1979. [21498]

Mr. Heald

The information is in the tables.

Table A: State retirement pension
Level of RP at uprating (April 1996prices)£ Average compound annual growth from previous point Percent.
1974 54.90
1979 59.00 1.4
1996 61.15 0.2

Table B:Average pensioners' incomes
Mean weekly net income, before housing costs, (July1994 prices) £ Average compound annual growth from previous point Per cent.
1974 96.10
1979 100.80 1.0
1994–95 161.20 3.1

Notes:

1. Table (a) shows the real value of standard rate basic retirement pension, for 1974, 1979 and 1996 (the latest year for which information is available), at April 1996 prices, rounded to the nearest £0.05p.

2.Table (b) shows the mean average net income before housing costs for all pensioner units in July 1994 prices, rounded to the nearest £0.10 for 1974, 1979 and 1994–95, which is the latest period for which data is available. These estimates are subject to a large degree of statistical variability, and should therefore be used to indicate trends over time.

3.The average compound annual percentage growth rate in both tables is rounded to the nearest 0.1 per cent.

4.A pensioner unit is defined as a single person over state pension age (SPA) or a couple where the man, defined as the head, is over SPA.

Sources:

1 The Retail Price Index (all items).

2. Pensioners' Incomes Series data which is largely based on information contained in the Family Expenditure Survey of the calendar years 1974 and 1979 and the financial year 1994–95.