HC Deb 28 February 2000 vol 345 cc161-6W
Mr. Flynn

To ask the Secretary of State for Social Security how much better off than in the previous year, on average(a) single pensioners and (b) pensioner couplesons

The weekly gain to pensioners on Income Support taking into account winter fuel payments and the reduction in VAT on fuel
Actual weekly increase on previous year including winter fuel payment and estimated saving due to reduction in VAT1 £ Real value of1 uprated to April 2000 prices 2 £ Actual percentage increase on previous year % Average earnings percentage increase 3 %
Single Pensioners
April 19974
Under 75 2.30 2.45 3.5 4.2
75 to 79 2.40 2.55 3.5 4.2
80 and over 2.65 2.80 3.6 4.2
April 1998
Under 75 2.90 3.05 4.2 4.1
75 to 79 2.95 3.10 4.2 4.1
80 and over 3.05 3.20 4.2 4.1
April 1999
Under 75 4.55 4.60 6.3 4.9
75 to 79 4.60 4.65 6.2 4.9
80 and over 4.75 4.85 6.0 4.9

on Income Support aged (i) under 75, (ii) 75 to 79 and (iii) 80 years or over were in (1) April 1998, (2) April 1999, (3) April 2000 and (4) April 1997, (X) in cash terms, (Y) in real terms and (Z) relative to average earnings, taking into account winter fuel payments and the reduction in VAT on fuel. [111810]

Mr. Rooker

The information requested is in the table.

The weekly gain to pensioners on Income Support taking into account winter fuel payments and the reduction in VAT on fuel
Actual weekly increase on previous year including winter fuel payment and estimated saving due to raeduction in VAT1 £ Real value of1 uprated to April 2000 prices 2 £ Actual percentage increase on previous year % Average earnings percentage increase 3 %
April 2000
Under 75 3.45 3.45 4.5 4.5
75 to 79 3.55 3.55 4.5 4.5
80 and over 3.80 3.80 4.5 4.5
Pensioner Couples
April 19974
Under 75 3.55 3.80 3.4 4.2
75 to 79 3.75 4.00 3.5 4.2
80 and over 4.00 4.25 3.6 4.2
April 1998
Under 75 3.80 3.95 3.6 4.1
75 to 79 3.90 4.05 3.6 4.1
80 and over 4.00 4.15 3.5 4.1
April 1999
Under 75 7.25 7.35 6.6 4.9
75 to 79 7.30 7.40 6.4 4.9
80 and over 7.40 7.50 6.2 4.9
April 2000
Under 75 5.35 5.35 4.5 4.5
75 to 79 5.50 5.50 4.5 4.5
80 and over 5.75 5.75 4.5 4.5
1 Winter fuel payments of £50 per year from January 1998 to November 1999 and then £100 from December 1999, per Income Support claimants, divided by 52 to give weekly increase. Saving due to reduction in VAT on fuel estimated at £16 per year divided by 52 to give weekly gain.
2 For income related benefits the Rossi index (Retail Prices Index less rent, local taxes and mortgage interest payment) as published by the Office for National Statistics.
3 Average Earnings are taken from the New Earnings Survey (NES) estimates of earnings for all full-time adult employees, as published by the Office for National Statistics.
4 Winter fuel payments not payable until 9 November 1998.

Note:

The figures are rounded to the nearest 5 pence at each uprating.

Mr. Paul Marsden

To ask the Secretary of State for Shropshire and (ii) nationally; and if he will make a Social Security if he will list by decile the(a) total average income per week and (b) percentage change in that in each year since 1979, for pensioners, (i) in

Average (median) net income of pensioner by decile of the net income distribution (UK,1979 to 1996–97)
Year Dl D2 D3 D4 D5 D6 D7 D8 D9 D10
Decile of the pensioner couples net income distribution
1979 90 102 109 116 126 139 153 181 218 310
1981 96 107 115 121 128 140 157 187 227 342
1987 103 119 129 140 153 169 192 225 279 462
1988 101 116 125 135 151 171 199 239 294 505
1989 101 116 127 137 149 166 195 228 288 445
1990–91 97 116 127 141 159 182 212 250 318 497
1992 107 128 139 156 174 198 231 272 333 512
1993 106 130 143 159 179 200 230 269 338 506
1994–95 116 136 152 167 185 207 232 273 357 506
1995–96 113 137 152 169 191 215 244 297 364 555
1996–97 113 140 154 169 191 220 254 298 385 562
Change 1979 to 1996–97 (percentage) 25 37 41 46 51 59 66 64 76 81
Decile of the single pensioners net income distribution
1979 52 58 63 68 72 76 81 88 105 155
1981 55 62 68 73 77 82 87 95 113 162
1987 57 65 73 80 86 92 99 109 135 209
1988 55 63 71 80 86 91 98 110 144 217

Shropshire and (ii) nationally; and if he will make a statement. [111913]

Mr. Rooker

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

Average (median) net income of pensioner by decile of the net income distribution (UK,1979 to 1996–97)
Year Dl D2 D3 D4 D5 D6 D7 D8 D9 D10
1989 53 64 70 78 85 90 96 111 147 227
1990–91 57 65 75 82 89 95 104 124 162 258
1992 60 69 79 88 94 100 111 130 166 283
1993 63 72 82 93 100 107 115 131 168 242
1994–95 65 75 85 95 103 111 122 141 179 269
1995–96 65 79 91 101 109 116 127 148 180 263
1996–97 63 76 91 101 110 118 133 154 187 258
Change 1979 to 1996–97 (percentage) 22 32 45 48 52 55 66 75 78 67

Notes:

1. All money amounts are given in £ per week, at July 1997 prices.

2. Single pensioners are defined as single (non-cohabitating) people over State pension age (65 for men, 60 for women); pensioner couples are defined as couples (married or cohabiting) where the man is over State pension age.

3. For any given decile of the income distribution, the average amounts refer to the median net income before housing costs within that decile.

4. The distribution of income is calculated on the net income before housing costs measure. Separate distributions are calculated for pensioner couples and single pensioners in each year. Figures are not available for the distribution of pensioner couples and single pensioners combined.

5. Information is given for all years for which comparable Pensioners' Incomes data, derived from the Family Expenditure Survey, are available. Information for 1997–98, based on the Family Resources Survey is available but has not been included because it is not comparable with Family Expenditure Survey based estimates.

6. All years up to and including 1993 are calendar years, except 1990–91 which refers to the combined calendar years 1990 and 1991. All years from 1994–95 onwards are financial years.

7. All estimate are subject to a high degree of sampling error, since they are based on small sample sizes, and should therefore be treated with caution. In particular, these figures should not be used to estimate changes over time, unless over a period of several years.

8. Estimates are given for the United Kingdom. Estimates are not available for Shropshire due to small sample sizes.

Source:

Family Expenditure Survey.

Mr. Hilary Benn

To ask the Secretary of State for Social Security if he will state, for(a) 1970, (b) 1980, (c) 1990 and (d) the latest year for which information is available, at 1999–2000 prices, the percentage of people aged 65 years and over whose annual incomes were (i) £4,000 and below, (ii) £4,001 to £6,000, (iii) £6,001 to £8,000, (iv) £8,001 to £10,000, (v) £10,001 to £15,000, (vi) £15,001 to £20,000 and (vii) over £20,000. [112046]

Mr. Rooker

The information is not available in the format requested. Such information as is available is in the table.

Net benefit unit income of people aged 65 years and over
Percentage
Annual net income of benefit unit 1981 1990–91 1996–97
People aged 65 and over in couples
Less than £4,000 * 1 *
£4,001-£6,000 18 11 4
£6,001-£8,000 42 28 16
£8,001-£10,000 15 17 22
£10,001-£15,000 16 24 29
£15,001-£20,000 5 9 14
More than £20,000 4 10 15
All individuals 100 100 100
Single persons aged 65 and over
Less than £4,000 38 24 13
£4,001-£6,000 48 46 35
£6,001-£8,000 8 13 27
£8,001-£10,000 4 6 11
£10,001-£15,000 2 6 11
£15,001-£20,000 1 2 2
More than £20,000 1 2 2
All individuals 100 100 100
All persons aged 65 and over
Less than £4,000 18 11 6
£4,001-£6,000 32 27 18
£6,001-£8,000 26 21 21
Net benefit unit income of people aged 65 years and over
Percentage
Annual net income of benefit unit 1981 1990–91 1996–97
Annual net income of benefit unit 1981 1990–91 1996–97
£8,001-£10,000 10 12 17
£10,001-£15,000 9 16 21
£15,001-£20,000 3 6 9
More than £20,000 2 7 9
All individuals 100 100 100

Notes:

1. Estimates are rounded to the nearest 1 per cent., but are not necessarily accurate to that degree. Estimates of less than 0.5 per cent. are denoted by "*". Columns may not sum to 100 per cent. due to rounding.

2. Income is defined as the net income before housing costs of the benefit unit, expressed in July 1999 prices. Benefit units are defined as a single person or couple (married or cohabiting) and any dependent children.

3. Percentage estimates relate to the proportion of individuals aged over 65, whose benefit unit income falls into a given category.

4. Income amounts are "unequivalised" (i.e. they have not been adjusted to take account of the size and composition of each benefit unit). This means that a comparison between the benefit unit incomes of someone in a couple and a single person does not give any indication of relative living standards. Therefore, results are provided separately for people in couples and single persons. The table for people in couples and single persons combined can be used only to look at changes in income level over time—it should not be used as a measure of the distribution of incomes in the context of relative living standards.

5. Most components of income are reported in the Family Expenditure Survey as weekly or monthly amounts, which have then been converted to annual amounts for the purposes of this analysis. No account has been taken of variations in the income of a benefit unit over the year.

6. Figures are given for the calendar year 1981, the combined calendar years 1990 and 1991, and the financial year 1996–97—the latest year for which comparable estimates are available.

7. There is no information of this type readily available prior to 1979.

Source:

Family Expenditure Survey