§ Mr. Alan HowarthTo ask the Secretary of State for Social Security if he will list for each benefit the capital and earnings limits at(a) their April 1997 value, (b) the value at their introduction and (c) the value which would have resulted from an increase based on (i) earnings and (ii) prices. [17098]
§ Mr. Roger Evans[holding answer 25 February 1997]: The information is set out in the tables:
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Earnings limits—income related benefits Benefit Value a April 1997 £ Value when introduced £ Date introduced April 1997 rate if increase based on earnings £ April 1997 rate if increase based on prices £ Family credit2 (earnings threshold) 77.15 51.45 April 1988 87.70 75.75 Disability working allowance (earnings threshold) 57.85 39.95 April 1992 48.20 46.10 77.15 66.60 80.45 76.95 Notes:
1 The £10 couples disregard was introduced in October 1996.
2 Earnings top-up, an in-work benefit being piloted in eight areas from October 1996 for three years, has not been included in the table. The capital limits are for earnings top-up are set at the same levels as those for family credit.
1. The table does not include the childcare disregard in family credit, disability working allowance, housing benefit and council tax benefit.
2. Figures have been rounded to the nearest 5p. at each uprating.
Sources:
1. The earnings calculations have been carried out using the average earnings, whole economy, index as supplied by the Office of National Statistics.
2. The prices calculations have been carried out using the retail prices index, all items, less rent, local taxes and mortgage interest payments for all other benefits.
Earnings limits—non income related benefits Benefit Value at April 1997 Value when introduced Data introduced April 1997 rate if increase based on earnings April 1997 rate if increase based on prices (£) (£) (£) (£) Personal earnings limits Jobseeker's allowance (contributory based) See note1 See note1 October 1996 See note1 See note1 Invalid care allowance 50 6 April 1976 35.80 25.50 Severe disablement allowance therapeutic earnings limit 46.50 23.50 November 1984 51.75 40.80 Incapacity benefit therapeutic earnings limit 46.50 44 April 1995 47.30 46.55 Earnings limits where adult dependency increases are payable Retirement pension 49.15 18.80 November 1985 38.10 30.35 37.35 0.80 July 1948 See note2 16.00 Short-term incapacity benefit 29.15 27.50 April 1995 29.60 29.15 35.90 33.85 36.40 35.90 Long term incapacity benefit 49.15 46.45 April 1995 49.95 49.25 37.35 35.25 37.95 37.35 Unemployability supplement 49.15 18.80 November 1985 38.10 30.35 37.35 linked to RP See note2 See note3 Severe disablement allowance 49.15 28.45 November 1984 62.60 49.25 37.35 12.95 28.45 22.35 Maternity allowance 29.15 1.075 October 1953 See note3 16.50 Invalid care allowance 22.35 4.90 April 1976 29.35 20.90 Earnings limits where child dependency increases are payable All benefits where child dependency increases are payable 135 80 November 1984 176.20 138.45 17 10 See note5 22.05 17.40 Notes:
1 The disregard in contribution-based jobseeker's allowance is calculated by adding the age-related benefit to the disregard and subtracting 1p. The value of the disregard is therefore linked to the rates of contribution jobseeker's allowance.
2 There are no average earnings (whole economy) indices available before 1963. As these benefits were introduced before that date no calculation can be carried out.
3 In November 1985, the earnings limits in unemployability supplement and retirement pension were brought in line with those in unemployment benefit. Prior to that date a tapered disregard existed in retirement pension.
4 Figures have been rounded to the nearest 5p. at each uprating.
5 The rate of child dependency additions are payable in the following benefits: incapacity benefit, retirement pension, severe disablement allowance, invalid care allowance and unemployability supplement. The earnings limits are £135 per week for the first child and £17 for each subsequent dependent child. The limits were aligned in November 1984 and have been revalued from a common date.
Sources:
1. The earnings calculations have been carried out using the average earnings (whole economy) index as supplied by the Office of National Statistics.
2. The prices calculations have been carried out using the retail prices index (all items).
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