§ Dr. Lynne JonesTo ask the Secretary of State for Social Security what estimate he has made of the age at which the income of the two pensioners in examples 1 and 2 of page 122 of the "Opportunities for All" report will be less than the Minimum Income Guarantee; and what are his assumptions about increases in(a) the basic state pension, (b) the state second pension and (c) the Minimum Income Guarantee after 2051. [107373]
§ Mr. RookerThe information is in the table.
The time taken and age at which each of the two illustrative examples detailed would fall onto the Minimum Income Guarantee (MIG).
Example 1 Example 2 Time taken to fall onto the MIG following retirement (years) 9 12 Age when example falls onto the MIG 74 77 Note:
These results have been estimated assuming:
State second pension starts in 2002 and is uprated in line with prices once in payment;
Basic state pension is uprated in line with prices;
Minimum Income Guarantee is uprated in line with earnings from 1999 onwards;
Earnings are assumed to grow 1.5 per cent. faster than prices in line with GAD projections;
A person who works for a full working life begins work at age 16, works for 49 years and retires at age 65.