§ Mrs. BrintonTo ask the Secretary of State for Trade and Industry what impact the change in the price of fuel since privatisation has had(a) on the retail prices index and (b) on the amount of money paid in state benefits. [101500]
§ Mrs. Liddell(a) The retail prices index (RPI) produced by the Office for National Statistics consists of a variety of components, each covering different products, including fuels. These components are aggregated using weights, which change each year, to produce the overall 570W RPI. Over the period from 1987 to 1998 the fuel and light component of the all items RPI has increased more slowly than the all items RPI. The available information is presented in the table:
All items RPI January 1987=1001 Fuel and light component January 1987=1001 Weight given to fuel and light component in the all items RPI parts per 1000 1987 101.9 99.1 61 1988 106.9 101.6 55 1989 115.2 107.3 54 1990 126.1 115.9 50 1991 133.5 125.1 46 1992 138.5 127.8 47 1993 140.7 126.2 46 1994 144.1 131.7 45 1995 149.1 134.5 45 1996 152.7 134.8 43 1997 157.5 130.6 41 1998 162.9 125.0 36 1 Annual average Note:
Figures for years prior to 1987 are based on January 1974=100
(b) Most social security benefits are uprated in April each year normally by reference to the retail prices index for the year up to the preceding September. The Rossi index, excluding changes in housing costs, is used in the case of most income-related benefits. Increases in fuel costs will have contributed to those inflation indices and will therefore have played a part in determining changes in benefit levels, but no benefit payments relate directly to the price of fuel.