HC Deb 24 November 1992 vol 214 cc602-3W
Mr. Frank Field

To ask the Secretary of State for Social Security if he will list for the years 1962 to 1979 and from 1979 to the latest available date the real net increase in pensioner income; and if he will divide this data according to the proportion of the increase resulting from changes in(a) national insurance state earnings-related pension entitlement and (b) occupational pensions.

Miss Widdecombe

The tables show increases in pensioners' income from 1970 to 1988 and the proportion of those increases resulting from changes in occupational pensions. The earliest data available for pensioner income analysis using the current methodology commences in 1970. Comparable data for earlier years could be obtained only at disproportionate cost. It is also not possible to identify SERPS from existing family expenditure survey data, and the occupational pension income is available on a gross rather than net basis.

Gross income Occupational pension income Net income
Average amount Real increase since 1970 Average amount Real increase since 1970: Average amount Real increase since 1970
Amount As a percentage of increase in gross income
Year £ per week £ per week £ per week £ per week Per cent. £ per week £ per week
1977 83.80 7.60 12.00 0.00 0 75.90 8.40
1978 89.10 12.90 14.10 21.0 16 81.10 13.60
1979 86.80 10.70 13.90 1.90 18 79.70 12.20

Table 1: The increase in the average income of pensioner units 1970–88
(ii) 1979–88
(1988 prices)
Gross income Occupational pension income Net income
Real increase since 1979:
Year Average amount (£ per week) Real increase since 1979 (£ per week) Average amount (£ per week) Amount (£ per week) as a percentage of increase in gross income (per cent.) Average amount (£ per week) Real increase since 1979 (£ per week)
1979 86.80 0.00 13.90 0.00 0 79.70 0.00
1980 87.50 0.70 13.80 -0.10 -12 81.30 1.60
1981 92.90 6.00 15.10 1.20 20 85.20 5.60
1982 91.50 4.70 15.50 1.50 33 84.50 4.80
1983 102.50 15.60 19.00 5.00 32 93.30 13.70
1984 100.40 13.50 18.20 4.30 32 92.30 12.60
1985 102.90 16.10 21.00 7.10 44 93.80 14.20
1986 107.80 21.00 21.70 7.80 37 98.00 18.30
1987 116.70 29.80 24.40 10.50 35 104.80 25.10
1988 118.10 31.20 27.70 13.80 44 106.30 26.70

Notes to the tables:

1. Estimates are based upon data from the 1970–1988 Family Expenditure Surveys.

2. Components may not sum to totals owing to rounding.

3. Estimates relate to pensioner units, defined as single people over state pension age and couples in which the husband is over state pension age.

4. Real increases in occupational pension income are presented as a percentage of real increases in gross income rather than net income as requested. This is because estimates of pension amounts are available only on a gross basis.

5. Negative signs in column 6 of each table represent charges in occupational pension amounts that are opposite in direction to those in gross income.

Forward to