HL Deb 08 March 2000 vol 610 cc151-2WA
Baroness Barker

asked Her Majesty's Government:

What would be the capital limits for income support if they had been uprated annually since introduction by (a) prices, (b) earnings and (c) the higher of prices earnings; how much it would cost to uprate them to these levels; and how many more people aged 60 or over would become eligible for income support. [HL1226]

The Parliamentary Under-Secretary of State, Department of Social Security (Baroness Hollis of Heigham)

The information is in the table.

April 2000 Value of Income Support Capital Limits, Caseload and Expenditure Changes if Uprated since Dale Introduced
Uprated by Lower/Child's (£'s) Higher (£'s) Extra Caseload (000's) Increased costs (£ million)
Prices 4,701 11,382 15 20
Earnings 5,728 12,798 30 45
Best1 5,817 12,998 30 50

Notes:

(i) Prices are rounded to the nearest pound, caseloads to the nearest 5.000 and expenditure to the nearest £5 million. The caseload increases are by number of claims rather than total numbers of people affected. The results are shown for uprating by prices, earnings and the best of either for every year since introduction until April 2000.

(ii) For income-related benefits the ROSSI index (retail prices Index less rent, local taxes and mortgage Interest payments) as published by the Office of National Statistics.

(iii) Average Earnings Index Whole Economy (Non Seasonally Adjusted) as published by the Office of National Statistics.

1The RPI has been used as the basis for increasing benefits to produce a better off comparison of prices or earnings.

Baroness Barker

asked Her Majesty's Government:

What would be the cost if the capital limit for income support for people aged 60 or over was increased from a lower limit of £3,000 and an upper limit of £8,000 to one limit of (a) £16,000, (b) £20,000, (c) £40,000 and (d) £50,000; and how many more people aged 60 or over would become eligible for income support at these levels. [HL1227]

Baroness Hollis of Heigham

The information is in the table.

Limit (£000) Floaters on to IS (000's) Total IS Costs (£ millions) Total IRB cost (£ millions)
16 55 90 240
20 70 110 310
40 105 160 495
50 115 175 535

Note:

Caseloads are rounded to the nearest 5.000, and expenditure to the nearest £5 million. The floaters-on are by number of claims rather than total numbers of people affected. The floaters on excludes residential care and nursing homes and residential allowance cases. Totals may differ due to rounding.