Winter Fuel Payments (Hansard, 6 June 2000)

§ Mr. Flynn
To ask the Secretary of State for Social Security what the estimated cost is in(a) 2000–01 and (b) 2001–02 of extending entitlement to winter fuel payments to men under 65 years; and how much of the cost in each year represents arrears for previous years. [124256]

§ Angela Eagle
In light of the Taylor ruling by the European Court of Justice in December 1999, we decided to extend eligibility to Winter Fuel Payments to include men aged 60–64. To do so it was also necessary to remove the qualifying benefit as an eligibility condition. This brought some newly eligible women, as well as men, into the scheme.
The estimated additional programme costs of extending the scheme in 2000–01 and 2001–02 are in the table and take into account the increase in the Winter Fuel Payment 226W pension and linked benefit rates remained at their present level in 2000–01 and were uprated in line with prices thereafter. [124257]

§ Mr. Rooker
As I said on 23 May 2000,Official Report, column 484W, precise long-term forecasts of any excess on the Fund reserves would be misleading given the sensitivity of the difference between forecasts of receipts and expenditure to the variables involved.

§ Mr. Flynn
To ask the Secretary of State for Social Security, pursuant to his answer to the hon. Member for Poplar and Canning Town (Mr. Fitzpatrick) on 11 April 2000,Official Report, column 144W, if the cost of uprating on the basis of earnings the basic pension shown there, including the cost of uprating the linked benefits on the same basis; and what would be the cost for each year from 1998–99 to 2001–02, if the uprating, including the linked benefits, was based on the average earnings index for the three months to July of the previous year. [124392]

§ Mr. Rooker
The information is in the table.
to £150 for eligible households from winter 2000–01. The cost of payments for past winters go back to the beginning of the scheme in the winter of 1997–98.

£ million

Additional costs 2000–01 2001–02

Annual costs 130 130

Cost for payments in past winters 150 0

Notes:
1. These costs are based on assumptions about take-up. The precise cost will vary depending on the level of take-up among the client group concerned.
2. Costs are in cash terms and are rounded to the nearest £10 million.

£ million
Additional costs	2000–01	2001–02
Annual costs	130	130
Cost for payments in past winters	150	0