HL Deb 30 July 1997 vol 582 cc42-3WA
Lord Lucas

asked Her Majesty's Government:

Whether they will provide an analysis of the figure of "6 million people of working age currently on benefits and without work" quoted by Lord McIntosh of Haringey on 10 July (WA 85) which explains the origins and make-up of that figure.

Baroness Hollis of Heigham

The figure is based on information from the Family Resources Survey (FRS). The count of individuals currently in receipt of social security benefits was based on adults aged between 16 and 59 who received a social security benefit, other than those who received only child benefit. Where such individuals formed a benefit unit receiving income related benefits, both were counted as being in receipt of a benefit.

Being without work was defined as those who were either unemployed on a basis consistent with the International Labour Organisation (ILO) definition, or economically inactive.

According to the 1995–96 FRS, which covers Great Britain, 6 million people were both in receipt of benefit and out of work, based on the above definitions. The table below breaks down this figure by household type:

Household Type of individuals in receipt of benefit and out of work
Adults (millions)
Single person household 1.8
Multiple person household, no one in work 2.3
Multiple person household, at least one person in work 1.9
Total 6

Notes:

1. The 1995–96 survey is the latest for which data are available.

2. The estimates are based on sample counts which have been adjusted for non-response using multi-purpose grossing factors which control for region, council tax band and a number of demographic variables.

3. Estimates are subject to sampling error.

4. The ILO definition of unemployment is individuals that are available for and actively seeking work.

5. The economically inactive will include, amongst others, those who are looking after family/home and whose partners are on low earnings and receiving an income related benefit.

6. A benefit unit is a single adult or couple living as married and any dependent children.

7. Income-related benefits are income support, housing benefit and council tax benefit.