HC Deb 27 January 1981 vol 997 c354W
Mr. Emery

asked the Minister for the Civil Service what was the total cost of meeting all public sector index-linked pensions last year; what the cost will be in the next year; and if he will estimate what the cost would be if indexation were limited to (a) 5 per cent., (b) 7½ per cent., (c) 10 per cent., (d) 12½ per cent. and (e) 15 per cent.

Mr. Hayhoe

Information is not held centrally about expenditure by all public sector pension schemes, including those for which Ministers are not responsible. In 1980–81, expenditure on pension benefits in the public services, including local government, teachers, the National Health Service, the Civil Service, the Armed Forces and police and fire services, is estimated at £3.35 billion. Expenditure in 1981–82 will depend on the increase applied in November 1981, but for the stated levels of increase expenditure is estimated as follows:

  1. (a) £3.94 billion
  2. (b) £3.97 billion
  3. (c) £3.99 billion
  4. (d) £4.02 billion
  5. (e) £4.04 billion

These figures do not take account of employees' contributions or savings through adjustment of gross salaries.