HC Deb 10 March 1998 vol 308 cc170-2W
Dr. Lynne Jones

To ask the Secretary of State for Social Security what savings would be made by withdrawing entitlement to(a) the state pension, (b) maternity pay and (c) disability living allowance from (i) households and (ii) individuals with gross income in excess of (1) £1,000,000 per annum, (2) £500,000 per annum, (3) £100,000 per annum, (4) £50,000 per annum, (5) £40,000 per annum and (6) £30,000 per annum. [23353]

Mr. Denham

The information is not available in the format requested. Such information as is available is set out in the tables.

Estimated savings from withdrawing entitlement to basic retirement pension from those (i) benefit units (ii) individuals with gross income in excess of given thresholds: 1997–98
£ million
Total gross income in excess of:
Basic state retirement pension £30,000 p.a. £40,000 p.a. £50,000 p.a.1
(i) Benefit unit income 1,200 600 350
(ii) Individual income 450 250 150
1Due to the small sample size, figures are not available separately for income in excess of £100,000 p.a.; £500,000 p.a. and £1 million p.a.

Notes:

  1. 1. Results rounded to nearest £50 million.
  2. 2. Retirement Pension is a taxable benefit; as such removal of entitlement will lead to a fall in tax revenues. This effect is not allowed for in the above table.
  3. 3. No adjustment is made for any effects of the loss of RP on entitlement to other benefits.
  4. 4. Total gross income includes the Retirement Pension.
  5. 5. The Family Resources Survey is based on a sample of private households—the above estimates assume that recipients in residential care share the income characteristics of those in private households.
  6. 6. A "benefit unit" is a single adult or a couple, together with any dependent children. (Adults living in the same household as their parent(s) are each classified as separate benefit units, and are assessed separately for Income Support or Family Credit)
  7. 7. Figures are for Great Britain.

Source:

Family Resources Survey 1995/96, Government's Expenditure Plans 1997–98 to 1999–2000.

Estimated savings from withdrawing entitlement to SMP to women with annual taxable pay (net of pension contributions) in excess of given thresholds: 1995–96
£ million
Annual taxable pay (net of pension contributions) in excess of:
Statutory maternity pay £30,000 p.a. £40,000 p.a.1
Total SMP payments made in 1995–962 12.7 6.7
1Due to the small sample size, figures are not available separately for income in excess of £50,000 p.a.; £100,000 p.a.; and £1 million p.a.
21995–96 is the latest tax year for which information is available.

Notes:

  1. 1. Includes sums paid where the SMP period straddles two tax years (1994–95 and 1996–97).
  2. 2. Information is only available for individuals.
  3. 3. Figures are for Great Britain.
  4. 4. Figures rounded to the nearest £100,000.

Source:

The Lifetime Labour Market Database (LLMDB), a 1 per cent. sample of the National Insurance Recording System taken at February 1997.

Estimated savings from withdrawing entitlement to disability living allowance from those benefit units with gross income in excess of given thresholds: 1997–98
£ million
Total gross income in excess of:
Disability living allowance £30,000 p.a. £40,000 p.a.1
Benefit unit income1 200 100
1Due to the small sample size, figures are not available for individual income, or for benefit unit income in bands in excess of £50,000 p.a.; £100,000 p.a.; and £500,000 p.a.; and £1 million p.a.

Notes:

  1. 1. Results rounded to nearest £50 million.
  2. 2. Loss of Disability Living Allowance entitlement affects entitlement to other benefits e.g. Income Support premia and Invalid Care Allowance. This effect is not allowed for in the above table.
  3. 3. Total gross income includes the Disability Living Allowance received.
  4. 4. The Family Resources Survey is based on a sample of private households-the above estimates assume that recipients in residential care share the income characteristics of those in private households.
  5. 5. A "benefit unit" is a single adult or a couple, together with any dependent children. (Adults living in the same household as their parent(s) are each classified as separate benefit units, and are assessed separately for Income Support or Family Credit).
  6. 6. Figures are for Great Britain.

Source:

Family Resources Survey 1995–96, Government's Expenditure Plans 1997–98 to 1999–2000.