§ Mr. BurstowTo ask the Secretary of State for Social Security if he will set out the basis on which his Department assumes a 6.6 per cent. interest rate in respect of mortgage repayments that are met by jobseeker's allowance and income support; when this figure was last set; and if he will amend the system to reflect changes in market interest rates. [110924]
§ Angela EagleMortgage repayments for Jobseeker's Allowance and Income Support claimants are calculated by using a standard interest rate (SIR). The SIR is based on the weighted average of basic rates charged by the main building societies. The Building Societies Commission is responsible for the calculation of the average rate which is then passed to the Office for National Statistic's who publish it monthly in their financial statistics table 7.1L. Changes to the SIR are triggered by a 0.25 per cent. move in the published figure. The current figure of 6.66 per cent. was set in June 1999 and will be amended whenever a change is triggered.