HC Deb 27 January 1995 vol 253 cc424-5W
Mr. Alton

To ask the Secretary of State for Social Security how many people have had their claims for invalidity benefit withdrawn in Liverpool each quarter during the last five years for the reason for being found fit for work within limits; what is the average weekly loss of income incurred by a claimant who has invalidity benefit withdrawn.

Mr. Hague

The information requested on the numbers who have had their invalidity benefit withdrawn is not available.

The average weekly amount of invalidity benefit in payment at 3 April 1993, the latest date for which information is available, was £79.34.

Mr. Hood

To ask the Secretary of State for Social Security what the consequential effect will be to claimants of the proposed changes from invalidity benefit to incapacity benefit; and if he will make a statement.

Mr. Hague

Existing invalidity benefit recipients will be protected. Incapacity benefit will be paid at the same rates as the preceding invalidity benefit. The rates will continue to be uprated annually with the exception of the earning-related addition, which will be frozen at the rate in payment at the point of change.

Mr. Hood

To ask the Secretary of State for Social Security what is the total annual amount paid to those people in receipt of invalidity benefit; and if he will break the figures down in percentage terms for payments to(a) single claimants,(b) additions for spouses or partners, (c) additions for children or dependants and (d) additional component element, and age additions.

Mr. Hague

The information is not available in the form requested. In 1993–94 the total amount paid to people in receipt of invalidity benefit was £6,967 million. Data are not collected on the breakdown of expenditure between each of the components of invalidity benefit. Estimates of the breakdown are in the table:

Breakdown of invalidity benefit expenditure at 1993–94 prices
£ million Per cent.
Personal benefit 4,610 66
Adult dependency increase 780 11
Child dependency increase 120 1.7
Invalidity allowance (net) 210 3
Additional Pension 1,200 17
Graduated benefit 40 0.6

Note:1. Estimates rounded to the nearest £10 million. Totals may not sum due to rounding.

2. The invalidity allowance figure is the net amount paid. Invalidity allowance is extinguished by additional pension and /or guaranteed minimum pension entitlement.

Mr. Hood

To ask the Secretary of State for Social Security what savings are expected to arise from the change from invalidity benefit to incapacity benefit; and if he will make a statement.

Mr. Hague

Total estimated savings from the incapacity benefit changes are:

  • 1995–96: £410 million
  • 1996–97: £1,185 million
  • 1997–98: £1,720 million

Note: Estimates rounded to nearest £5 million, expressed in cash terms.

Mr. Hood

To ask the Secretary of State for Social Security how many claimants who lose their entitlement to invalidity benefit will be entitled to income support.

Mr. Hague

On average, in 1995–96 we estimate that about 45 per cent. of claimants excluded by the new medical test will be entitled to income support.

Mr. Hood

To ask the Secretary of State for Social Security what resources he has made available to the Social Security Benefit Agency and the Independent Tribunal Service to cope with appeals arising out of the change from invalidity benefit to incapacity benefit.

Mr. Hague

The total amount provided to the Benefits Agency to deal with incapacity benefits in the first year is £37 million. This includes resources to deal with appeals. The amount provided for the independent tribunal service for incapacity benefit appeals in the first year is £8.17 million.