§ Mr. Meacherasked the Secretary of State for Social Services what was the gross cost of increasing retirement pensions as implemented on 20th September, 1971; what was the cost net of the clawback of part of the supplementary pension in certain cases; and what was the cost net of this clawback and also of tax payable on the increase in pension.
§ Mr. DeanThe annual cost of increasing retirement pensions, including the improvements for persons over 80, will be £391 million gross or £344 million net after adjustments of supplementary pensions. Income tax payable at current rates on the increased retirement pensions would be of the order of £40 million.