HC Deb 18 February 1997 vol 290 cc504-6W
Sir Andrew Bowden

To ask the Secretary of State for Social Security (1) if he will estimate the cost in 1997–98 of uprating (1) the £3,000 lower capital limit for income support for(a) pensioners and (b) all recipients of income support to (i) £8,000 and (ii) £16,000 and (2) the £8,000 upper capital limit for income support for (A) pensioners, (B) all recipients of income support to (x) £16,000 and (y) £20,000; [14288]

(2) if he will estimate the number of pensioners who would become eligible for income support if (a) the £3,000 capital limit was increased to (i) £8,000, (ii) £16,000 and (iii) £10,000 and (b) the £8,000 upper capital limit was increased to (i) £16,000 and (ii) £20,000. [14290]

Mr. Roger Evans

The information is set out in the table. The table also shows the number of pensioners who would become eligible for income support if these changes were made.

Cost in 1997–98 £ million
Lower limit £ Upper limit £ If applied to all claimants If applied to all claimants aged 60 or over Number of claimants aged 60 or over becoming entitled to income support
3,000 16,000 50 40 20,000
3,000 20,000 50 40 20,000
8,000 16,000 200 170 135,000
8,000 20,000 210 170 135,000
10,000 16,000 240 200 160,000

Cost in 1997–98 £ million
Lower limit £ Upper limit £ If applied to all claimants If applied to all claimants aged 60 or over Number of claimants aged 60 or over becoming entitled to income support
10,000 20,000 250 210 165,000
16,000 20,000 310 260 210,000

1. Estimated using the 1994–95 family resources survey, uprated to 1997–98 case loads and benefit levels.

2. Estimates assume that the combinations will include an upper and lower capital limit.

3. Estimates exclude cases in residential care and nursing homes.

4. Estimates include consequential costs in housing benefit and council tax benefit from new income support claimants being "passported" onto these benefits.

5. Estimates for all claimants include the costs of introducing the same capital limits in jobseeker's allowance.

6. Adjustments to these estimates are made using the May 1995 income support quarterly statistical inquiry and the May 1995 housing benefit-council tax benefit management information system.

7. Cost estimates are rounded to the nearest £10 million, claimants to the nearest 5,000.

Sir Andrew Bowden

To ask the Secretary of State for Social Security if he will estimate the cost in 1997–98 of reducing the assumed income from savings for(a) pensioners and (b) all recipients of income support, with savings between £3,000 and £8,000, to (i) £1 a week for every £500 over £3,000 and (ii) £1 a week for every £1,000 over £3,000. [14289]

Mr. Evans

The information is set out in the table:

cost in income support and jobseeker's allowance in 1997–98 (£ million)
Tariff income rule Pensioners All claimants
£1 for every £500 above the lower capital limit 20 30
£1 for every £1,000 above the lower capital limit 40 50

1. Estimated using the 1994–95 family resources survey, uprated to 1997–98 case loads and benefit levels.

2. Estimates exclude cases in residential care and nursing homes.

3. Estimates include consequential costs in housing benefit and council tax benefit from new income support claimants being "passported" onto these benefits.

4. Estimates for all claimants include the costs of introducing the same capital limits in jobseeker's allowance.

5. Adjustments to these estimates are made using the May 1995 income support quarterly statistical inquiry and the May 1995 housing benefit-council tax benefit management information system.

6. Estimates are rounded to the nearest £10 million.

Sir Andrew Bowden

To ask the Secretary of State for Social Security if he will estimate the cost in 1997–98 of increasing all capital limits for income-related benefits for pensioner couples to one and a half times their current limits. [14291]

Mr. Evans

The estimated cost if all capital limits for income-related benefits for pensioner couples are increased to one and a half times their current limits is £30 million in 1997–98.

Notes:

1. This is estimated using the 1994–95 family resources survey, uprated to 1997–98 case loads and benefit levels.

2. The estimate excludes cases in residential care and nursing homes.

3. The estimate covers income support, housing benefit, council tax benefit and family credit.

4. Adjustments to this estimate are made using the May 1995 income support quarterly statistical inquiry and the May 1995 housing benefit-council tax benefit management information system.

5. The estimate is rounded to the nearest £10 million.

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