§ Mr. Robin CookTo ask the Secretary of State for Social Security what is his estimate of the amount of benefits to which people are entitled but which is not claimed.
§ Mr. Peter LloydNo precise estimates of total unclaimed benefits can be provided and those figures which the Department does publish give no more than the broadest orders of magnitude. I refer the hon. Member to paragraphs 21 to 25 and table 15.17 on pages 272 to 273 of Cm. 288 (the 1988 public expenditure White Paper) for details of the latest available take-up estimates for the main income-related benefits. Take-up estimates for 1985 should be available shortly.
§ Sir Michael McNair-WilsonTo ask the Secretary of State for Social Security what are the levels of statutory sick pay and of sick benefit and invalidity benefit; whether they are earnings related; and if there is a minimum and a maximum sum.
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§ Mr. Peter LloydStatutory sick pay is payable at one of two rates, depending on an employee's average weekly earnings. The present rates are £49.20 where average weekly earnings are £79.50 or more and £34.25 where they are between £41 and £79.49. SSP is subject to deductions for tax and national insurance contributions, where appropriate.
Sickness benefit is a flat-rate payment of £31.30 per week for persons under minimum pension age and £39.45 per week for persons over that age. These sums are increased by £19.40 and £23.65 respectively where there is entitlement for an adult dependant.
The basic invalidity pension is a flat-rate payment of £41.15 per week with increases of £24.75 for an adult dependant and £8.40 for each dependent child. Two other increases may be payable with invalidity pension. An additional earnings-related pension is payable based on the claimant's earnings since 1978. The maximum increase payable in 1987 was £29.11, but the average amount in payment was £4.30. An invalidity allowance is payable at one of three rates where the claimant's incapacity began more than five years before pension age. The rates are £8.65 per week (under 40); £5.50 (40–49) and £2.75 (50–59 (men); 50–54 (women)). But where there is entitlement to both increases, invalidity allowance is offset against the additional pension, so in effect the higher of the two sums is payable. Neither sickness benefit nor invalidity benefit is taxable.
Where the claimant has been in hospital for six weeks, sickness or invalidity benefit is reduced by £8.25 a week if the claimant has a dependant and £16.50 if not. After a year in hospital there is a further reduction of £8.25 where the patient has a dependant. If he has no dependant the benefit payable is reduced to £8.25 a week.