§ Lord SANDYSasked Her Majesty's Government:
Whether they will estimate the cost, to be expressed in terms of pension rates at April 1975 and net of tax, of the drop in deferred retirements between November 1974 and November 1975, having subtracted from this the total fall in the number of deferred retirements, due to heavier unemployment and other factors unconnected with the earnings rule, to be assumed at 10 per cent, of those deferring retirement in November 1974.
§ Lord WELLS-PESTELLThe fall of 36,000 in the numbers deferring retirement between November 1974 and November 1975 is estimated to have led to a gross extra cost to the National Insurance Fund in 1975–76, at April 1975 pension rates, of £33 million. The cost, after tax, would be £22 million. Of the £22 million, £13 million represents the cost of a 10 per cent, reduction in deferred retirements. It should be noted that the effect of unemployment and factors other than the earnings rule in influencing retirement may vary substantially from year to year.
House adjourned at twenty-two minutes before eight o'clock.