§ Lynne JonesTo ask the Secretary of State for Work and Pensions whether pensioners' earnings will be eligible for the pension credit; and if he will make a statement. [93737]
§ Mr. McCartneyCurrently around half a million pensioners aged 65 or over work. The earnings of pensioners aged 65 or over will be rewardable in the savings credit. The existing earnings disregards of £5, £10 and £20 that apply in the Minimum Income Guarantee will also apply in Pension Credit. The remunerative work rule that excludes from Minimum Income Guarantee pensioners who work 16 hours a week or more (24 hours for couples) will be abolished for Pension Credit.
For example, a pensioner receiving retirement pension of £77.45 and earning £35 per week would get nothing under the present MIG scheme. However, under Pension Credit, he would be £12.65 better off a week, or almost £658 per year.