HC Deb 22 February 1999 vol 326 cc172-3W
Mr. Webb

To ask the Secretary of State for Social Security, pursuant to his answer of 11 February 1999,Official Report, column 378, on stakeholder pensioners, if he will provide corresponding estimates of income as a percentage of the minimum income guarantee for (i) 10 years and (ii) 15 years after retirement. [72183]

Mr. Timms

The information is in the table.

Pension as a proportion of the Minimum Income Guarantee (MIG)
Number of years after retirement Earnings-indexed MIG% Price-indexed MIG%
0 110 240
10 90 200
15 80 175

Notes:

1. The hypothetical individual in this example is assumed to begin work at 16 years old in 2002; work for 49 years until retirement; and earn £10,000 per annum in 1998 earnings terms throughout their working life.

2. Only National Insurance rebates are paid into the stakeholder pension scheme.

3. Real earnings growth is assumed to be 1.5 per cent.

4. Percentages are rounded to the nearest 5 per cent.

Mr. Webb

To ask the Secretary of State for Social Security what data sources are available to him which would enable him to assess long-term trends in the living standard of widows over pension age relative to other groups of people over pension age. [71958]

Angela Eagle

Information on incomes of widows over pension age and other groups of people over pension age is available from the Family Expenditure Survey for selected years between 1979 and 1996–97. Such information is also available from the Family Resources Survey from 1994–95 to 1996–97. Reliable estimates may not be available from these sources for all years, or for certain subgroups of people over pension age, due to small sample sizes.

Mr. Webb

To ask the Secretary of State for Social Security, pursuant to his answer of 11 February 1999,Official Report, column 379, on pensions, if he will provide a breakdown of the total package between (i) the minimum income guarantee, (ii) winter fuel payments, (iii) free eye tests and (iv) concessionary travel, and indicate in each case how the expenditure is phased over the three year period. [72040]

Mr. Timms

The information is in the table.

Estimated DSS expenditure based on comprehensive spending review forecasts
£ million
Year Mimimum Income Year Guarantee1 Winter Fuel Payments
1999–2001 495 155
2000–01 670 160
2001–02 840 165
1This includes additional cost for Housing Benefit and Council Tax Benefit.

In addition, costs in the region of between £120 million and £150 million per annum (depending on take up) will be incurred by the Department of Health in respect of free eye tests for people aged 60 and over. the introduction of a national minimum scheme for pensioners on buses depends on the passage of primary legislation.