HC Deb 02 February 2000 vol 343 c637W
Dr. Lynne Jones

To ask the Secretary of State for Social Security what estimate he has made of the age at which the income of the two pensioners in examples 1 and 2 of page 122 of the "Opportunities for All" report will be less than the Minimum Income Guarantee; and what are his assumptions about increases in(a) the basic state pension, (b) the state second pension and (c) the Minimum Income Guarantee after 2051. [107373]

Mr. Rooker

The information is in the table.The time taken and age at which each of the two illustrative examples detailed would fall onto the Minimum Income Guarantee (MIG).

Example 1 Example 2
Time taken to fall onto the MIG following retirement (years) 9 12
Age when example falls onto the MIG 74 77


These results have been estimated assuming:

State second pension starts in 2002 and is uprated in line with prices once in payment;

Basic state pension is uprated in line with prices;

Minimum Income Guarantee is uprated in line with earnings from 1999 onwards;

Earnings are assumed to grow 1.5 per cent. faster than prices in line with GAD projections;

A person who works for a full working life begins work at age 16, works for 49 years and retires at age 65.