Pensioners

HC Deb 07 June 1993 vol 226 cc135-7W

10. Mr. Simon Coombs

To ask the Secretary of State for Social Security what proportion of recently retired pensioners income derives from state benefits.

Mr. Hague

We estimate that, in the latest year for which information is available, 36 per cent. of the income of recently retired pensioners was derived from state benefits.

Notes:

1. Source: Family Expenditure Survey.

2. Recently retired pensioners are pensioner units where the head of the unit is aged less than five years above the state pension age.

11. Dr. Spink

To ask the Secretary of State for Social Security what representations he has received about the average value of the capital assets owned by pensioners.

Mr. Lilley

We estimate that on average, between 1979 and 1989, pensioners' income from investments rose by 130 per cent. in real terms to £23.10 a week. Reliable information on the average value of all capital assets held by pensioners is not available, but just over half all pensioners own their own home. In England, the estimated average value of owner-occupied homes of those over 65 is more than £42,000.

following table. Figures are available only for years when a census of employment was carried out and the results prior to 1981 are not comparable with later years.

1. Mr. Willetts

To ask the Secretary of State for Social Security what percentage of pensioners retiring(a) in 1979 and (b) in the latest year for which figures are available, had incomes from savings; and what was the real average level of savings on each of those two dates

Information is not available in the form requested because the family expenditure survey does not tell us when people retire. The information in the table is about those who have recently retired—that is, where the head of the unit is aged less than five years over state pension age. The sample size of those one year over state pension age would be too small to be reliable.

Income from savings Recently retired pensioners
	Percentage of units with investment income	Average amount for those in receipt1
	1979	1989	1979	1989
Pensioner couples	73	87	21.60	41.50
Single pensioners	60	64	12.60	31.50
All pensioner units	68	78	18.20	38.10
1 £ per week, 1989 prices.

Notes:

Source: Family Expenditure survey.

2. Recently retired pensioner units are defined as: single woman aged 60 to 64; single men aged 65 to 69; and couples in which the husband is aged 65 to 69.

15. Mr. Nicholls

To ask the Secretary of State for Social Security how many pensioner households had incomes above the national average in 1979, and in the latest year for which figures are available.

1. Mr. Hague

The information is in the table:

Number of pensioners above contemporary average income
(Millions of people)
	1979	1988–89
	BHC	AHC	BHC	AHC
Pensioner couples	0.8	0.9	1.0	1.2
Single pensioners	0.7	0.8	0.7	0.9
All pensioners	1.5	1.8	1.7	2.1

Percentage of pensioners above contemporary average income
	1979	1988–89
	BHC	AHC	BHC	AHC
Pensioner couples	18	20	20	23
Single pensioners	16	20	15	21
All pensioners	17	20	18	22

Notes:

Source: Family Expenditure Survey.

2. BHC and AHC denote before and after housing costs respectively.

3. 1988–89 denotes a combined sample from the 1988 and 1989 Family Expenditure Surveys.

4. Figures have been calculated using the methodology used to produce the Households Below Average Income results. They therefore relate to individual pensioners (rather than pensioner units) and assume all members of a household share the same standard of living.

20. Mr. Whittingdale

To ask the Secretary of State for Social Security what estimate he has of the total value of an average pensioner's savings, investments and home; and what was the figure in 1979.

Mr. Hague

The information is not available in the form requested. In 1989, the latest date for which information is available, the average weekly investment income received by pensioners was £23.10. This represented an increase of 130 per cent. over the average sum of £10.00 received in 1979. Home ownership among pensioners increased from 40 per cent. to 52 per cent. over the same period, with 94 per cent. of pensioner owner occupiers owning their homes outright.

25. Mr. Legg

To ask the Secretary of State for Social Security what assessment he has made of the trend in pensioners' real income since 1979.

Mr. Hague

Since 1979 pensioners' total average net incomes have increased by 30 per cent., or 37 per cent. after payment of housing costs.