HC Deb 23 June 1999 vol 333 cc367-70W
Mr. Field

To ask the Secretary of State for Social Security what proportion of the poorest 20 per cent. of pensioners receive(a) a full basic pension and (b) a partial basic pension. [87982]

Mr. Timms

Information is not available in the form requested as there is no data source that includes information on both the amount of basic pension received and total income which would enable the poorest 20 per cent. of pensioners to be identified. Such information as is available is in the table.

The table provides a similar analysis based on total amount of State Retirement Pension received including additions such as additional pension (SERPS), graduated retirement benefit and increments.

State Retirement Pension receipt among the poorest 20 per cent. of pensioners in Great Britain in 1996–97
Gross weekly income from State Retirement Pension Percentage
Poorest 20 per cent. of single pensioners
None 4
Less than £61.15 23
£61.15 or over 74
All 100
Poorest 20 per cent. of pensioner couples
None 1
Less than £97.75 16
£97.75 or over 83
All 100

Notes:

1. The State Retirement Pension consists of basic pension, graduated retirement benefit and additional pension (SERPS).

2. In 1996–97, £61.15 was equal to the level of the full basic pension for a single person; £97.75 was equal to the level of the full basic pension for one person plus adult dependant.

3. Gross weekly income from State Retirement Pension is measured in current (1996–97) prices.

4. Estimates should be treated with caution since results are based on survey respondents' identification of different elements of benefit income and therefore may be subject to misreporting.

5. The distribution of pensioners' incomes, used to identify the poorest 20 per cent. is calculated using unequivalised net income before housing costs. The distribution is calculated separately for single pensioners and pensioner couples.

6. Estimates are rounded to the nearest 1 per cent. although they are not necessarily accurate to that level. Columns may not sum to 100 per cent. due to rounding.

Source:

Family Resources Survey 1996–97

Mr. Field

To ask the Secretary of State for Social Security what proportion of those aged 80 years and over are in each quintile of the income distribution for the population as a whole. [87981]

Mr. Timms

The information is in the table.

Percentage of people aged eighty years and over by quintile of the income distribution of the population as a whole
Percentage of people aged 80+
Quintile (total population) Before housing costs After housing costs
1 (Bottom) 29 21
2 33 39
3 20 18
4 11 14
5 (Top) 6 8
All 80+ (percentage) 100 100
All 80+ (millions) 1.8 1.8

Notes:

1. All figures are estimates and are taken from the Households Below Average Income (HBAI) data set which is based on the Family Resources Survey (FRS). The FRS does not include Northern Ireland. 1996–97 is the latest year for which information is available.

2. The income measure used is weekly net (disposable) equivalised household income (that is to say 'actual' income that is adjusted to reflect the composition of the household).

3. Results may be sensitive to the choice of equivalence scale.

4. It is standard HBAI practice to give results for income both before and after housing costs, in order to allow for the effect of variations in housing costs between households.

5. Component percentages may not sum to one hundred due to rounding.

6. It should be noted that the FRS only covers those individuals living in private households. Therefore the figures quoted above do not include those individuals living in institutions (in this case, for example, hospitals and retirement/nursing homes).

7. It should also be noted that analyses of quality of the survey suggest that response rates are likely to be lower for those aged over 80 and therefore any survey data based on this age group may be more prone to bias than that for the population as a whole.

Source:

Family Resources Survey 1996–97

Mr. Field

To ask the Secretary of State for Social Security if he will estimate the proportion of pensioners who will be receiving(a) a full basic pension, (b) a partial basic pension and (c) no basic pension in (i) 2010, (ii) 2020, (iii) 2030 and (iv) 2040. [87980]

Mr. Timms

The information is not available in the form requested. Such information as is available is in the tables.

Table 1: Estimated percentage of GB population over state pension age with and without some basic Retirement Pension in payment
Percentage
With basic RP Without basic RP
Year Men Women Total Men Women Total
2010 98.7 96.6 97.4 1.3 3.4 2.6
2020 98.7 98.5 98.6 1.3 1.5 1.4
2030 98.7 99.1 98.9 1.3 0.9 1.1
2040 98.8 99.2 99.0 1.2 0.8 1.0
Table 2: Estimate average percentage rate of standard Category A Retirement Pension (RP) for those with RP
Percentage
Year Men Women Total
2010 97.4 81.8 87.6
2020 96.8 85.5 90.6
2030 96.6 89.4 92.7
2040 96.5 91.3 93.7

Notes:

1. Percentages are rounded to one decimal place.

2. Estimates have been provided by the Government Actuary's Department.

3. Figures relate to GB only—overseas cases are excluded.

4. In table 1, the percentage without RP includes those deferring retirement, who have entitlement to RP but who are not actually in receipt; and married women with no entitlement of their own but who will become entitled when their husband reaches State pension age.

Mr. Field

To ask the Secretary of State for Social Security how many pensioners claiming a category A retirement pension are living with another pensioner claiming a category A retirement pension. [87978]

Mr. Timms

The pensions administrative computer system only collects information on individuals, it does not hold information on other household members. None of the household surveys available collect full information of the category of pension.

Mr. Field

To ask the Secretary of State for Social Security what is the estimated cost of raising (i) the level of income support paid to pensioners and (ii) the basic state pension and related benefits by(a) £5 per week, (b) £10 per week and (c) £20 per week. [87983]

Mr. Timms

The information is in the tables.

The estimated cost in 1999–2000 of raising the level of Income Support (IS) paid to pensioners by £5, £10 and £20 per week
£ million
Option Income Support Housing Benefit Council Tax Benefit Total cost
£5 per week 390 110 50 550
£10 per week 820 210 100 1,120
£20 per week 1,800 370 170 2,350

Notes

1. Costs are derived from the June 1999 PSM model based on the 1996–97 Family Resources Survey uprated to 1999–2000 prices with IS administrative adjustments and ASD4's pensioner forecasts.

2. All costs exclude RCNH cases.

3. Costs are rounded to the nearest £10 million and therefore may not sum.

The estimated cost, net of means-tested benefits, of increasing Basic State Pensions (category A rate) and related benefits by £5, £10 and £20 per week from April 1999 onwards
£ million
Amount of increase in category A rate Net cost 1999–2000
£5 per week 2,110
£10 per week 4,240
£20 per week 8,570

Notes

1. Estimates of costs are rounded to nearest £10 million and in 1999–2000 benefit rates. Costs include related benefits with a statutory link to Retirement Pension (for example, Incapacity Benefit and Widows Pension).

2. Contributory benefit effects have been provided by the Government Actuary's Department.

3. Means-tested benefit offsets were estimated using the 1996–97 Family Resources Survey and the May 1997 Income Support Quarterly Statistical Enquiry.

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