HC Deb 08 May 1996 vol 277 cc172-3W
Ms Lynne

To ask the Secretary of State for Social Security what advance warning was given to former claimants of reduced earnings allowance no longer entitled to benefit before the changes to the reduced earnings allowance which came into force from 24 March. [27977]

Mr. Roger Evans

In his statement of 29 November 1995, my right hon. Friend the Secretary of State for Social Security announced his intention to introduce measures to correct anomalies in reduced earnings allowance being paid past pensionable age to individuals who did not continue in regular employment. The individuals affected have been identified by the Benefits Agency and are being advised of the effect of the 1996 amendment regulations, following review of their awards of reduced earnings allowance and retirement allowance.

Ms Lynne

To ask the Secretary of State for Social Security what is the estimated number of people over pension age who will cease to receive reduced earnings allowance following the new rules for reduced earnings allowance which came into force on 24 March; and what is the average amount that was paid weekly to the disentitled claimants of the reduced earnings allowance. [27976]

Mr. Evans

The information is not available in the format requested.

However, on 2 April 1994 19,250 recipients of reduced earnings allowance were over pensionable age and not being paid at a protected rate following the introduction of retirement allowance in 1989. Their average weekly rate was £36.05. The estimated effect of the 1996 amendment regulations is to transfer the vast majority of pension age reduced earnings allowance recipients who are not in regular employment to retirement allowance.

Ms Lynne

To ask the Secretary of State for Social Security what research he has(a) commissioned and (b) evaluated into the payment of the retirement allowance at 25 per cent. of the reduced earnings allowance rate with particular reference to the reduced pension entitlement caused by lower earnings during the claimant's working life. [28132]

Mr. Evans

None. The introduction of retirement allowance was enacted by Parliament in the Social Security Act 1988.