§ Mr. Tim Smithasked the Secretary of State for Social Services what would be the cost of reducing the age at which men become entitled to State retirement pension to 64 years; and by how much national insurance contributions would have to be increased to cover the cost.
§ Mr. OrmeOn the assumption that the pattern of retirement amongst men aged 64 to 69 would be the same as it is now amongst men aged 65 to 70, the additional annual cost to the National Insurance Fund of a reduction in men's pensionable age to 64 is estimated to be about £370 million, at current contribution and benefit rates. The increase in contributions necessary to cover this cost would be ½ per cent. of the relevant earnings on which contributions are payable.