HC Deb 14 March 1983 vol 39 c50W
Mr. Austin Mitchell

asked the Secretary of State for Social Services approximately how many persons qualify for social security only by virtue of the fact that they have to pay income tax or national insurance; and at what cost to the social security budget.

Mr. Newton

Supplementary benefit is the only income-related social security benefit where earnings are taken into account net of income tax and national insurance contributions. There is no precise information about the numbers of people who qualify for supplementary benefit only by virtue of the fact that they (or their wives) have to pay income tax and/or national insurance contributions, but they and the cost to the social security budget are likely to be small.

Mr. Field

asked the Secretary of State for Social Services if he will list the cost of increasing to the long term supplementary benefit rate (a) invalid care allowance, (b) non-contributory invalidity benefit, (c) invalidity benefit, (d) sickness benefit, (e) unemployment benefit and (f) retirement pension, assuming (i) the benefit were untaxable and (ii) the benefit were taxable.

Mr. Rossi

I shall let the hon. Member have a reply as soon as possible.

Mr. Austin Mitchell

asked the Secretary of State for Social Services, further to his reply dated 30 April 1982, Official Report, c. 362, concerning the cost of extending the payment of unemployment and earnings-related benefit, if he will provide a more up-to-date estimate for 1982–83 and a forecast for 1983–84.

Mr. Rossi

In 1982–83 the number of unemployed claimants who, at a point in time, have exhausted their entitlement to unemployment benefit is estimated to be 1,190,000 taking the average over the year. The estimate for 1983–84 is 1,360,000. Abolishing the one year limit on entitlement would have cost the National Insurance Fund an estimated £1,650 million in 1982–83. The estimate for 1983–84 is £2,000 million. I shall let the hon. Member have a revised estimate of the cost of restoring the earnings-related supplement as soon as possible.