HC Deb 22 July 1998 vol 316 cc591-4W
Mr. Lidington

To ask the Secretary of State for Social Security (1) if she will state in respect of each financial year since 1990(a) the level of the basic state retirement pension, (b) the level of the basic state retirement pension if upratings had always been made upwards to the nearest 5p and (c) the level of the basic state retirement pension if upratings had always been made upwards to the nearest 1p; [50621]

(2) what is her estimate of the additional cost to public funds of uprating the basic state retirement pension and the married woman's pension each year if rounding up (a) to the nearest 5p and (b) to the nearest 1p the percentage increase; [50623]

(3) if she will state in respect of each financial year since 1990 (a) the level of the married woman's pension, (b) the level of that pension if upratings had always been made upwards to the nearest 5p and (c) the level of that pension if upratings had always been made upwards to the nearest 1p; [50622]

(4) what is her estimate of the net additional cost to public funds in each financial year since 1990 if the basic state retirement pension and the married woman's pension had been uprated each year by rounding the percentage increase up (a) to the nearest 5p and (b) to the nearest 1p. [50624]

2. Mr. Denham

[holding answer 14 July 1998]: The information is set out in the tables.

Level of the basic State Retirement Pension if upratings had always been made upwards to the nearest 5p and the nearest 1p from 1990
£ per week
(a) (b) (c)
1990–91 46.90 46.95 46.92
1991–92 52.00 52.10 52.04
1992–93 54.15 54.25 54.18
1993–94 56.10 56.25 56.14
1994–95 57.60 57.80 57.66
1995–96 58.85 59.10 58.93
1996–97 61.15 61.45 61.23
1997–98 62.45 62.75 62.52
1998–99 64.70 65.05 64.78

Notes:

1. All amounts are in cash terms

(a) The level of the basic State Retirement Pension since 1990

(b) The level of the basic State Retirement Pension if upratings had always been made upwards to the nearest 5p

(c) The level of the basic State Retirement Pension if upratings had always been made upwards to the nearest 1p

There would be no additional cost to public funds in 1998–99 of uprating the basic Retirement Pension and married woman's pension to the nearest 5p and 1p. (The unrounded rates for 1998ߝ99 are £64.6982 for the category A Retirement Pension and £38.6946 for the category B Retirement Pension for married women. The actual rates are £64.70 and £38.70 respectively).

Level of the married women's pension if upratings had always been made upwards to the nearest .5p and the nearest 1p from 1990
£ per week
(a) (b) (c)
1990–91 28.20 28.20 28.20
1991–92 31.25 31.30 31.28
1992–93 32.55 32.60 32.57
1993–94 33.70 33.80 33.75
1994–95 34.50 34.65 34.56
1995–96 35.25 35.45 35.33
1996–97 36.60 36.85 36.71
1997–98 37.35 37.65 37.49
1998–99 38.70 39.05 38.84

Notes:

1. All amounts are in cash terms

(a) The level of the married woman's pension since 1990

(b) The level of the married woman's pension if upratings had always been made upwards to the nearest 5p

(c) The level of the married woman's pension if upratings had always been made upwards to the nearest 1p

Net additional cost to public funds in each financial year since 1990 if the basic State Retirement Pension and the married woman's pension had been uprated each year by rounding the percentage increase up to the nearest 5p
£ million
1990–91 1991–92 1992–93 1993–94 1994–95 1995–96 1996–97 1997–98 1998–99
(i) Gross Cost (RP only) 19 44 44 69 92 118 145 152 180
Means-tested benefit offset -5 -11 -11 -17 -23 -29 -36 -38 -45
Net Cost 15 33 33 52 69 88 108 114 135
(ii) Gross Cost (including linked benefits) 23 54 55 86 116 146 176 183 215
Means-tested benefit offset -6 -14 -14 -22 -29 -37 -44 -46 -54
Net Cost 17 40 41 64 87 110 132 138 161

Net additional cost to the public funds in each financial year since 1990 if the basic State Retirement Pension and the married woman's pension had been uprated each year by rounding the percentage increase up to the nearest 1p
£million
1990–91 1991–92 1992–93 1993–94 1994–95 1995–96 1996–97 1997–98 1998–99
(i) Gross Cost (RP only) 8 19 14 21 29 39 43 42 47
Means-tested benefit offset -2 -5 -3 -5 -7 -10 -11 -11 -12
Net Cost 6 14 10 15 22 29 32 32 35
(ii) Gross Cost (including linked benefits) 9 22 17 25 36 47 51 49 54
Means-tested benefit offset -2 -6 -4 -6 -9 -12 -13 -12 -14
Net cost 7 17 13 19 27 35 38 37 41

Notes:

1. All estimates are rounded to the nearest £1 million. Totals may not agree due to rounding

2. National Insurance Fund benefit costs were estimated by the Government Actuary's Department

3. For tables marked (i), the gross cost does not include the cost of uprating linked benefits (Widows Benefits, Incapacity Benefit, Non-contributory Retirement Pension, Industrial Death Benefit) in the same way as the contributory Retirement Pension. For tables marked (ii), the gross cost does include the cost of uprating these linked benefits

4. Means-tested benefit offsets were calculated using the 1995–96 Family Resources Survey and the May 1996 Income Support Quarterly Statistical Enquiry, both uprated to 1998–99 prices, benefits and earnings levels, and calibrated to the forecasts underlying the 1998 Departmental Report

Mr. Cox

To ask the Secretary of State for Social Security how many(a) men and (b) women are in receipt of state retirement pension in the United Kingdom. [50953]

Mr. Denham

The information is set out in the table.

Male Female
Great Britain 3,583,000 6,387,000
United Kingdom 3,664,000 6,540,000

Note:

Figures are rounded to the nearest thousand

Sources:

For Great Britain, 5 per cent. sample from the Pension Strategy Computer System, as at March 1998

For Norther Ireland, 100 per cent, sample from the Pension Strategy Computer System, as at March 1998

Mr. Cox

To ask the Secretary of State for Social Security how many(a) men and (b) women over the age of 100 years are in receipt of the state retirement pension in the United Kingdom. [50905]

Mr. Denham

The information is in the table.

Male Female
Great Britain 1,000 7,000
United Kingdom 1,000 7,000

Note:

Figures are rounded to the nearest thousand

Source:

National Population Projections supplied by the Government Actuary's Department for mid-year 1998

Mr. Winnick

To ask the Secretary of State for Social Security if the increases for the poorest pensioners will be a net increase; and if he will make a statement on the implications for housing benefit payments arising from increases. [51821]

Mr. Denham

From next April, Income Support rates will be increased to give the poorest pensioners a guaranteed minimum income of £75 per week for a single person. Couples and older pensioners will receive more: the full details of the increases are shown in the table.

Existing recipients, and pensioners who become entitled to Income Support as a result of these changes, will qualify for maximum eligible Housing Benefit and Council Tax Benefit. Those with income above the new levels will also benefit, as the increases in the Income Support rates will apply in the calculation of Housing Benefit and Council Tax Benefit, resulting in a reduction in the amount of income taken into account.

New Income Support rates from April 1999
£
Age 60–74 Age 75–79 Age 80+1
Single pensioners now 70.45 72.70 77.55
Single pensioners from April 1999 75.00 77.30 82.25
Couples now 109.35 112.55 117.90
Couples from April 1999 116.60 119.85 125.30
1Also paid to younger pensioners with disabilities

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