HC Deb 21 December 1999 vol 341 cc542-3W
Mr. Webb

To ask the Secretary of State for Social Security if he will estimate(a) the gross cost, (b) the savings in means-tested benefits and (c) the additional income tax revenue which would result from the introduction in April 2000 of age additions to the basic state pension of £10 for those aged 80 years and over and £5 for those aged 75 to 79 years. [103148]

Mr. Rooker

The information is in the table.

Full year expenditure and revenue effects of age additions in 2000–01
£ million († costs/- savings)
£10 age addition for over 80s and £5 age addition for 75–79s
Expenditure on Retirement Pension 1,800
Means-tested benefit savings —600
Additional Income tax —120

Notes:

  1. 1. Estimates for Retirement Pension have been provided by the Government Actuary's Department.
  2. 2. Estimates for income tax revenues have been provided by Inland Revenue.
  3. 3. Means-tested benefit offsets have been estimated using the 1999–2000 Income Support Simulation and Policy Simulation Models.
  4. 4. Estimates are in 1999–2000 prices and are rounded to the nearest £10 million.