HC Deb 27 July 1981 vol 9 cc336-7W
Mr. Alfred Morris

asked the Secretary of State for Social Services how much of the increase in real terms of 7.8 per cent. in social security spending on long-term sick and disabled people between 1979–80 and 1981–82 was due to more people receiving invalidity benefit and how much to increased expenditure on the new disablement benefits introduced by the previous Administration; if he will list the individual benefit rates that have varied in real value, giving the amount of the variation in each case, during the two year period referred to by the Minister of State, Department of Health and Social Security on 3 July, Official Report, column 1200; and what action his Department is taking about the variation in each case.

Mr. Rossi

In the White Paper on the Government's expenditure plans—Cmnd. 8175—published in March this year, it was estimated that expenditure on cash benefits for the disabled and long-term sick* would increase by 7.8 per cent. in real terms between 1979–80 and 1981–82—table 2.12.1. Of the 7.8 per cent. increase, 2.6 per cent. can be attributed to increased numbers claiming invalidity benefit and another 2.6 per cent. to increased expenditure on benefits introduced during the previous Administration.

At the time of the Budget my right hon. and learned Friend the Chancellor of the Exchequer forecast that prices would increase between November 1980 and November 1981 by 10 per cent—[Vol. 1000, c. 769.] Using this

Nov. 1979

£

 Nov. 1981

£

 Variation

Per cent.
i) Mobility allowance 12.00 16.50 +8
ii) Invalidity pension
—single person 23.30 28.35 -4
—married couple 37.30 45.35 -4
Invalidity allowance
—higher rate 4.90 6.20 NIL
—middle rate 3.10 4.00 +2
—lower rate 1.55 2.00 +2
i) The rise in value of mobility allowance is part of the Government's deliberate policy of improving provision for disabled people where circumstances permit.
ii) The decrease in invalidity pension is due to the abatement at the 1980 uprating. When invalidity benefit is brought into tax the abatement of invalidity pension will be restored in full. As an earnest of this intent invalidity allowance will be fully restored in value at the 1981 uprating.
* Invalidity benefit, non-contributory invalidity pension, mobility allowance, invalid care allowance, war pension (excluding payments to widows), supplementary allowance paid on account of extended incapacity, old cases (workmen's compensation), industrial disablement benefit, attendance allowance.