HC Deb 13 April 1984 vol 58 cc406-7W
Mr. Wheeler

asked the Secretary of State for Social Services if he will list all the measures introduced or improved since 1979 to increase the well-being of pensioners.

Dr. Boyson

Since 1979 the following measures have helped to improve the financial position of pensioners: the pledge to protect retirement pensions has been fully honoured, since between November 1978 and November 1983 basic retirement pension has been increased by 74.6 per cent. while the retail price index has increased by 68.8 per cent.; more newly retiring pensioners are benefiting each year from the state earnings-related pension, so that by September 1983 some 950,000 pensioners received an earnings related additional pension of £2.60 a week on average, while those who retired in the six months prior to September 1983 received an average of £4.25 a week at November 1983 rates; the method of uprating pensions has been changed so that increases are now based on the actual rate of inflation rather than on uncertain forecasts of price increases; the Christmas bonus has been made a permanent statutory entitlement; we are pledged to abolish the pensioners' earnings rule as soon as resources permit, but in the meantime the level was increased in real terms from £57 a week in 1982 to £65 a week in 1983; from May 1983 men over the age of 60 not in full-time work can qualify immediately for the higher long-term rate of supplementary benefit and men over 60 who are not working, no longer need to sign on as unemployed to be awarded national insurance credits; the capital limit for supplementary benefit was raised to £3,000 in November 1983 and the capital limit for single payments to £500, while the first £1,500 of the surrender value of life assurance policies is now disregarded in relation to supplementary benefit entitlement; help for poor fuel consumers reached a record level in 1983–84 of £380 million (compared with £124 million in 1978–79) and some 1.5 million pensioner households now qualify for supplementary pension heating additions which are automatically awarded to supplementary pensioners over age 70; since 1981 supplementary pensioners can also receive assistance towards the insulation of hot water tanks and lofts.

The Government's determination to master inflation and secure the return of economic prosperity is of particular benefit to pensioners by protecting the value of their savings and non-indexed occupational pensions. The Government's determination to secure the future well being of all pensioners has been affirmed by the setting up of a special inquiry into provision for retirement which is being chaired by the Secretary of State. The inquiry is studying 'the future development, adequacy and costs of state, occupational and private provision for retirement in the United Kingdom … ' and is due to complete its work this year, after which the Government will publish any resulting proposals.