HC Deb 03 November 1998 vol 318 cc547-8W
Mr. Webb

To ask the Secretary of State for Social Security what estimate he has made of the effect of an age addition to the basic state pension of(a) £5 for those aged 80 or over, (b) £3 for those aged 75 to 79 years and (c) both of the above on (i) expenditure on non means-tested benefits, (ii) expenditure on means-tested benefits and (iii) revenues from income tax, if such measures were to be introduced once the increases in pensioner benefits planned for April 1999 have been implemented. [55641]

Mr. Denham

[holding answer 19 October 1998]: The information requested is in the table.

Full year expenditure and revenue effects of age additions in 1999–2000
£million
(a)£5 age addition forover 80s (b)£3 age addition for 75–79s (c)£5 age addition plus £3 age addition
Expenditure on Retirement Pension 590 320 920
Means-tested benefit offsets -220 -90 -310
Income tax offsets -40 -20 -60

Notes:

1. Estimates for Retirement Pension have been provided by the Government Actuary's Department.

2. Estimates for income tax revenues have been provided by Inland Revenue.

3. Means-tested benefit offsets have been estimated using the 1995–96 Family Resources Survey uprated to 1999–2000 prices and benefits levels.

4. Estimates are in 1999–2000 prices and benefit rates, and are rounded to the nearest £10 million.

Mr. Webb

To ask the Secretary of State for Social Security, pursuant to his answer of 31 July 1998,Official Report, column 741, if he will provide a breakdown of how many of the pensioners who are disqualified because of excess capital from receiving the proposed minimum income guarantee but who have incomes below income support levels, have weekly incomes in the bands of (a) up to £9.99, (b) £10 to £19.99, (c) £20 to £29.99, (d) £30 to £39.99, (e) £40 to £49.99, (f) £50 to £59.99, (g) £60 to £69.99, (h) £70 to 79.99 and (i) £80 or above. [55658]

Mr. Denham

[holding answer 19 October 1998]: The information is not available in the format requested. Such information as is available is set out in the table.

Income Pensioner benefit units with income less than IncomeSupport applicable amount
Up to and including £69.99 130,000
£70 and over 100,000
Total 230,000

Notes:

1. Estimates are based on the 1995–96 Family Resources Survey and are almost certainly subject to a degree of error; the true figures could be higher or lower than those given. Estimates have been rounded to the nearest 10,000 cases.

2. The requested breakdown of incomes was not possible due to small sample sizes.

3. Income is defined as income assessable in an Income Support claim plus income from investments.

4. A pensioner, for income support purposes, is a single person aged 60 or over, or a couple (married or living as married) where at least one of them is aged 60 of over.

Source:

1995–96 Family Resources Survey; Benefit rates as they will be in April 1999