Public Expenditure (Hansard, 26 October 1987)

§ Mr. Scott

The information requested is set out in the tables. The figures have been converted to 1986–87 prices using the GDP deflators (a different price deflator from the one used for uprating benefits) for assumed future inflation underlying the figures in Cm 56.

183W

Table 1 Social Security expenditure
£ million (1986–87 prices)
	1981–82	1982–83	1983–84	1984–85	1985–86	1986–87	1987–88	1988–89	1989–90
	outturn	outturn	outturn	outturn	outturn	estimated outturn	plans	plans¹	plans¹
CONTRIBUTORY BENEFITS (ie THOSE PAID FROM THE NATIONAL INSURANCE FUND)
Pension benefits
Retirement pension
—basic element	15,415	16,072	16,570	16,592	16,871	17,538	17,710	17,500	17,700
—earnings-related component	24	48	68	95	145	201	263	300	400
Christmas bonus	129	121	117	115	108	107	104	100	100
Widows' benefits, etc
—basic element	875	852	861	830	787	797	767	800	700
—earnings-related component	5	11	17	28	34	42	50	100	100
Unemployment, incapacity and other benefits
Unemployment benefit	2,167	1,785	1,705	1,723	1,637	1,704	1,513	1,500	1,500
Sickness benefit	866	659	302	305	284	157	126	100	100
Invalidity benefit
—basic element	1,711	1,832	2,055	2,237	2,308	2,446	2,537	2,600	2,700
—earnings related component	33	63	76	109	131	166	197	200	300
Death grant	22	20	19	19	19	18	—	—	—
Industrial injuries benefit
Industrial disablement benefit	401	408	420	416	420	425	390	400	400
Industrial death benefit	60	61	61	60	61	62	61	100	100
Other industrial injuries benefits	6	6	6	5	4	4	3	—	—
Family benefits
Maternity allowance	201	181	161	176	169	167	66	—	—
Guardian's allowance and child's special allowance	3	2	2	2	2	2	2	—	—
Total contributory benefit expenditure	21,915	22,121	22,441	22,713	22,978	23,836	23,789	23,700	24,100
NON-CONTRIBUTORY BENEFITS (ie THOSE MET FROM VOTED EXPENDITURE OR PAID BY LOCAL AUTHORITIES ETC.
Pension benefits
Non-contributory retirement pension	50	48	47	43	42	38	37	—	—
Christmas bonus	8	7	7	7	7	7	7	—	—
War pension	610	600	597	594	598	572	573	600	500
Disability benefits
Attendance allowance	420	479	564	629	707	776	806	800	900
Invalid care allowance	8	10	11	12	13	191	90	100	100
Non-contributory invalidity pension/severe disablement allowance	166	183	207	253	254	260	259	300	300
Mobility allowance	220	281	346	389	435	507	538	600	600
Supplementary benefit²/income support/social fund
Supplementary pension	1,805	1,722	808	972	1,107	1,123	1,178	—	—
Supplementary allowance
—long-term rate	1,047	1,487	1,485	1,692	1,762	1,861	1,923	8,000	8,000
—short-term rate	3,310	4,240	4,074	4,402	4,868	5,038	4,920	—	—
Family benefits
Child benefit	4,293	4,355	4,541	4,669	4,602	4,515	4,457	4,300	4,300
One parent benefit	97	108	122	131	138	148	150	200	200
Family income supplement/family credit	84	112	140	138	134	148	133	400	400
Maternity grant	20	19	19	20	18	17	—	—	—
Housing benefit³
Rent rebate	633	1,105	2,254	2,343	2,363	2,434	2,413	2,300	2,400
Rent allowance	83	88	611	750	857	1,020	978	900	1,000
Total non-contributory benefit expenditure	12,854	14,843	15,830	17,041	17,906	18,655	18,459	18,500	18,500

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	1981–82	1982–83	1983–84	1984–85	1985–86	1986–87	1987–88	1988–89	1989–90
	outturn	outturn	outturn	outturn	outturn	estimated outturn	plans	plans¹	plans¹
Total benefit expenditure	34,770	36,966	38,271	39,753	40,884	42,491	42,249	42,200	42,600
ADMINISTRATION AND MISCELLANEOUS SERVICES
Administration and miscellaneous services⁴
National Insurance Fund administration (collection of contributions and payment of contributory benefits)	933	872	790	882	821	755	820	790	790
Non-contributory benefit administration (payment of non-contributory benefits) ⁵	634	689	853	848	901	1,060	1,088	1,050	1,040
Housing benefit
Local authority etc. administration⁶	53	82	120	152	152	168	183	160	160
Total administration	1,621	1,643	1,763	1,882	1,875	1,983	2,092	2,000	1,990
Total Department of Health and Social Security—Social Security	36,390	38,609	40,034	41,655	42,758	44,478	44,340	44,200	44,600
¹ Benefit expenditure rounded to nearest 100 (no entry where under 50) and administration costs to nearest 10.
² Includes assistance with costs of rents and rates in 1981–82 and 1982–83.
³ Local authority rent rebates and allowances 1981–82 to November 1982. From November 1982 for some and from April 1983 for all cases includes assistance with rent formerly met through supplementary benefit. Rate rebates are excluded from the table as they are not public expenditure.
⁴ All costs of administration, including payments by the National Insurance Fund or by the DHSS to the various Government Departments involved.
⁵ From April 1983 Departments have repaid PSA for accommodation and certain other services, under the Property Repayment Service
⁶ Additional costs to local authorities arising in implementing the new housing benefit scheme from 1 April 1988 are included in 1987–88.

Table 2 Analysis of Social Security expenditure by broad economic category
£ million (1986–87 prices)
	1981–82	1982–83	1983–84	1984–85	1985–86	1986–87	1987–88	1988–89	1989–90
	outturn	outturn	outturn	outturn	outturn	estimated outturn	plans	plans¹	plans¹
Departmental running costs	1,164	1,177	1,282	1,388	1,307	1,352	1,409	1,300	1,400
Running costs receipts²	-775	-726	-729	-796	-731	-660	-726	-700	-700
Other public sector pay	32	50	72	91	92	101	95	100	100
Transfers to the personal sector	34,440	36,636	37,912	39,378	40,499	42,081	41,821	41,700	42,100
Purchases of assets, goods and services³	1,211	1,153	1,169	1,210	1,215	1,193	1,312	1,300	1,300
Transfers to the corporate sector	-5	-5	-27	-4	-3	—	—	—	—
Payments overseas	325	325	354	370	381	408	429	500	500
Total expenditure	36,390	38,609	40,034	41,636	42,758	44,474	44,340	44,200	44,600
Contribution to total public sector capital spending	19	11	26	24	56	71	83	100	100
¹ Rounded to the nearest 100.
² Includes recovery from the National Insurance Fund of expenditure on administering the Fund included under Departmental running costs above.
³ Includes repayment by the National Insurance Fund for expenditure incurred by government departments in administering the Fund. The expenditure is included in the departmental running costs, etc, of DHSS (in this table) and of other relevant departments.