§ Mr. Rostasked the Secretary of State for Social Services for how much longer than the national average patients in the Trent Regional Health Authority area have to wait for hospital care.
§ Mr. MoyleCurrent information on the average waiting time for patients awaiting hospital in-patient treatment is not available. An indication of the comparative position at 31st March 1976 in the four main acute specialities is given in the following table:
in the National Insurance Fund, he will increase retirement pensions from 1st January 1977;
(2) if, in view of the recorded surplus of £932 million in the National Insurance Fund, he will increase unemployment benefits;
(3) if, in view of the recorded surplus of £932 million in the National Insurance Fund, he will arrange for the payment of a £10 Christmas bonus to retirement pension recipients.
§ Mr. George Rodgersasked the Secretary of State for Social Services if, in 601W view of the surplus in the National Insurance Fund, he will re-introduce the Christmas bonus to State pensioners.
§ Mr. EnnalsNo. The use of the surplus to provide for the payment of a Christmas bonus or a special increase in social security benefits would mean an increase in public expenditure, which cannot be contemplated in present circumstances. In any case, social security benefits were increased last month at a total cost of nearly £1.4 billion in a full year.
§ Mr. Corbettasked the Secretary of State for Social Services what has been the surplus or deficit on the National Insurance Fund in each of the past five financial years.
§ Mr. Watkinsonasked the Secretary of State for Social Services what were the surpluses or deficits of the National Insurance Fund for the last five years.
§ Mr. OrmeThe information requested is as follows:
£ million 1971–72* Deficit 0.6 1972–73* Surplus 152.5 1973–74* Surplus 259.5 1974–75* Surplus 637.6 1975–76* Surplus 318.9 * Includes surplus or deficit of National Insurance (Reserve) Fund and Industrial Injuries Fund which merged with the National Insurance Fund on 1st April 1975.
§ Mr. Corbettasked the Secretary of State for Social Services if he will define the effect on the National Insurance Fund surplus of not increasing national insurance contributions from next April.
§ Mr. EnnalsAs shown in paragraph 15 of the Government Actuary's Report on the draft Social Security (Contributions, Re-Rating) Order 1976 the National Insurance Fund surplus in 1977–78 would be reduced by some £150 million.
§ Mr. Watkinsonasked the Secretary of State for Social Services if he will define and enlarge upon the draft Treasury supplements in Table 1 of the Report of the Government Actuary on the draft of 602W the Social Security Contributions Re-rating Order 1976.
§ Mr. EnnalsThe level of the Treasury Supplement to the National Insurance Fund is determined by Section 1(5) of the Social Security Act 1975 which provides that there shall be a supplement to contributions equal to 18 per cent. of all contributions less that part of them allocated to the National Health Service and to the Redundancy Fund.
§ Mr. Watkinsonasked the Secretary of State for Social Services what is his policy in relation to the National Insurance Fund; and if it includes producing a surplus on the fund.
§ Mr. EnnalsThe Government's aim is to ensure, taking into account any special factors affecting particular years, that the income of the National Insurance Fund is sufficient to cover its expenditure, and to ensure that over the years the size of the fund is sufficient to match the increasing scale of benefit commitment which results from upratings.
§ Mr. Watkinsonasked the Secretary of State for Social Services what have been the administration costs of the National Insurance Fund in the last five years.
§ Mr. OrmeThe administration expenses recorded in the National Insurance Fund accounts for the past five years, including amounts paid to other Government Departments are as follows:
The earlier years include the administration expenses of the Industrial Injuries Fund which merged with the National Insurance Fund on 1st April 1975.
£ million 1971–72 129.1 1972–73 139.8 1973–74 158.8 1974–75 223.1 1975–76 334.6
§ Mr. Watkinsonasked the Secretary of State for Social Services why the Government have brought in proposals under the Social Security (Miscellaneous Provisions) Bill to restrict benefit to those over 60 years of age who are in receipt of substantial occupational pensions and to alter the earnings rule when the National Insurance Fund is in substantial surplus for 1976–77 and will also be so in 1977–78.
603W
§ Mr. EnnalsThe proposals have been brought in so as to secure a saving in public expenditure in a field which, in our view, does not command any high degree of social priority.
§ Mr. Watkinsonasked the Secretary of State for Social Services from what sources interest arose on the income of the National Insurance Fund as set out in Table 1 of the Report by the Government Actuary on the draft of the Social Security (Contributions Re-rating) Order 1976.
§ Mr. EnnalsThe estimated income from interest is that expected from National Insurance Fund investments held by the National Debt Commissioners.
§ Mr. Frank Allaunasked the Secretary of State for Social Services if he will give an assurance that the estimated surplus in the National Insurance Fund of £932 million for the current year and £867 million for 1977–78, will be used for social security purposes only; and if he will make a statement.
§ Mr. Corbettasked the Secretary of State for Social Services (1) for what specific purposes use is made of the current surplus of £932 million on the National Insurance Fund;
(2) for what general purpose it is expected to use the estimated surplus of £900 million in 1977–78 on the National Insurance Fund.
§ Mr. Litterickasked the Secretary of State for Social Services if he will give an undertaking that the estimated surplus in the National Insurance Fund of £932 million for the current year and £867 million for 1977–78, will be used for social security purposes only; and if he will make a statement.
§ Mr. EnnalsSection 133(3) of the Social Security Act 1975 embodies the current provisions for the investment of money from the National Insurance Fund by the National Debt Commissioners. I have no plans to alter these long-standing arrangements. The income from the investments is used for social security purposes only.
§ Mr. Frank Allaunasked the Secretary of State for Social Services if, in view of the large estimated surpluses in the 604W national insurance fund of £932 million, and £867 million for 1976–77 and 1977–78, respectively, he will defer the increase in employees' national insurance contributions scheduled for April 1977.
§ Mr. Litterickasked the Secretary of State for Social Services if, in view of the large estimated surpluses in the National Security Fund of £932 million and £867 million for 1976–77 and 1977–78, respectively, he will defer the increase in national insurance contributions scheduled for April 1977.
§ Mr. Bidwellasked the Secretary or State for Social Services if, in view of the considerable surplus accruing for social service funds, as revealed by the recent report by the Government Actuary, and disclosed in Command Paper No. 6688, he will consider reducing the rate of worker contributions or enhanced benefits to those in need; and if he will make a statement.
§ Mr. EnnalsNo. Under the Government's proposals, as set out in the draft Contributions Re-Rating Order, there will be no increase in contributions next April for employees whose earnings are less than £95 a week. The only employees whose contributions will be increased by the order when it takes effect next April are those earning £95 a week or more, and for them the maximum contribution increase will be 58p a week which will apply at or above the scheme's new upper earnings limit of £105 a week. This increase in the upper limit of earnings on which contributions are paid reflects the need to keep the dimensions of the scheme up-to-date in relation to current earnings levels. To have failed to raise the earnings ceiling would have been unfair to those contributors on lower earnings levels.
The new upper limit of around seven times the basic pension rate will be in conformity with the requirements of the new State pension scheme which is to start in April 1978. The draft Re-Rating Order provides for the contributions of employers, and of the self-employed and the non-employed, to be adjusted to the extent necessary to maintain a fair balance with those of employees.
§ Mr. Flanneryasked the Secretary of State for Social Services, in view of the 605W estimated surplus of £932 million in the National Insurance Fund in the financial year 1976–77, if he will explain what the proposed increase will be after the employers' national insurance contribution is increased.
§ Mr. OrmeThe 2 per cent. surcharge on employers levied by the National Insurance Surcharge Bill will be paid directly into the Consolidated Fund and, therefore, does not affect the National Insurance Fund surplus.
§ Mrs. Wiseasked the Secretary of State for Social Services what level of child benefit could be paid if the surplus of £932 million in 1976–77 of the National Insurance Fund were devoted to it.
§ Mr. EnnalsThe income of the National Insurance Fund can only be used to finance the payments of contributory benefits and could not be applied to child benefits. To raise the proposed rates of child benefit to be introduced in April 1977 by a further £1.30 a week for each child for one year only would cost £930 million. Any such additional expenditure would add to the public sector borrowing requirement which it is the Government's policy to reduce.
£ million Earnings increase after July 1977 10 per cent. per annum 5 per cent. per annum Raising the upper earnings limit for Class 1 contributions … … … +119 +112 Raising the Class 2 contribution for men … … … +9 +9 Raising the Class 2 contribution for women … … … +1 +1 Raising the lower profits limit for Class 4 contributions … … … -4 -4 Raising the upper profits limit for Class 4 contributions … … … +3 +3 128 121