§ Mr. SwinneyTo ask the Secretary of State for Social Security if he will estimate the impact on the level of benefit payments of setting the minimum wage for young people at £3.60 per hour. [106670]
§ Mr. BayleyIt is estimated that expenditure on departmental benefits will decrease by £15 million if the minimum wage for young people is increased from258W £3.00 per hour currently to £3.60 per hour. This assumes there are no secondary effects on employment or wages.
Notes:
1. Estimates based on 1996–97 Family Resources Survey data, uprated to 2000–01 prices and benefit rates.
2. Estimates rounded to the nearest £5 million. This covers Income Support, Housing Benefit and Council Tax Benefit only.
§ Mr. SwinneyTo ask the Secretary of State for Social Security if he will estimate the impact on the level of benefit payments of maintaining the minimum wage at its present level. [106669]
§ Mr. BayleyIt is estimated that the cost to the Social Security budget of maintaining the minimum wage at its present level is £10 million at 2000–01 prices.
Notes:
1. Estimates based on 1996–97 Family Resources Survey data, uprated to 2000–01 prices and benefit rates.
2. Estimates rounded to the nearest £5 million.
§ Dr. CableTo ask the Secretary of State for Social Security if he will estimate the impact on each benefit payable to those in paid employment of a national minimum wage of(a) £3.80 and (b) £4.00 for the next financial year. [107144]
§ Mr. BayleyThe information is in the table.
Estimated savings in 2000–01 on benefits payable to those in paid employment of a national minimum wage of (A) £3.80 and (B) £4.00 £ million £3.80 £4.00 Income Support/JSA(IB) -15 -30 Housing Benefit -25 -50 Council Tax Benefit -5 -10 Total -50 -90 Notes:
1. Estimates based on 1996–97 Family Resources Survey data, uprated to 2000–01 prices and benefit rates.
2. Estimates rounded to the nearest £5 million. Totals may not add up owing to rounding.
3. Estimates assume no secondary effects on employment or wages.