§ Mr. Gordon Brownasked the Secretary of State for Social Services (1) what information is available to him as to the number of persons in contracted-out pension schemes who are entitled to inflation-proofing of their pensions after retirement; and what information he has as to the estimated cost of this provision in the years (a) 1985, (b) 1990, (c) 1995, (d) 2000 and (e) 2010, both in money terms and as a proportion of the total cost of the state earnings-related pension scheme;
(2) what are his estimates of the numbers of people expected to receive additional component under the state earnings-related pension scheme in the tax years 1985–86,
Number of retirement pensions at 30 September 1983 analysed by category of pension and rate of notional dynamised additional component* rate Total with additional component Less than £1.00 £1.00 to £1.99 £2.00 to £2.99 £3.00 to £3.99 £4.00 to £4.99 £5.00 to £5.99 £6.00 to £6.99 £7.00 to £7.99 £8.00 and over Total amount of additional component £ Average rate of additional component £ Category A men 680,110 157,630 162,350 116,220 85,850 62,260 38,010 26,750 12,860 18,180 1,814,364 2.67 Category A women 209,390 72,990 54,200 32,520 20,860 11,820 6,670 4,470 2,330 3,530 432,580 2.07 Category ABL women 6,010 3,250 1,500 610 370 170 30 20 40 20 7,776 1.29 Category B widows 49.390 13,450 14,510 8,020 5,500 3,510 1,830 1,400 530 640 110,517 2.24 Grand total 944,900 247,320 232,560 157,370 112,580 77,760 46,540 32,640 15,760 22,370 2,365,237 2.50 Notes:
Category A (men and women): basic pension based on pensioner's own contributions.
Category B: lower (60 per cent.) rate married woman's pension based on husband's contributions.
Category B widows: pension based on late husband's contribution and paid at full basic rate.
Category ABL women: pension comprising category A topped up by category B entitlement to maximum of category B rate.
* Including any inherited additional component and before any deduction of GMP in respect of those pensioners who were in contracted-out occupational pension schemes.
§ Dr. McDonaldasked the Secretary of State for Social Services if he will estimate the number of those in employment contributing to the state earnings-related pension scheme, and the amount contributed in 1985–86 and expected in 1986–87.
§ Mr. WhitneyThe number of those currently employed who are contributing to the state earnings-related pension scheme is estimated to be 10.46 million. Information on the amounts of contribution income specifically allocated to the state earnings-related pension scheme is not available. However, the latest estimate of expenditure on the earnings-related component of the scheme is £291 million in 1985–86 and £395 million in 1986–87.