Minimum Income Guarantee (Hansard, 25 May 2000)

§ Mr. Paul Marsden
To ask the Secretary of State for Social Security how many pensioners in(a) Shrewsbury and Atcham and (b) Shropshire will benefit from the minimum income guarantee increases in April 2001; and if he will make a statement. [123096]

§ Mr. Bayley
We estimate that some 8,000 pensioner households in Shropshire will benefit from increases to the minimum income guarantee in April 2001. This includes 3,000 in the constituency of Shrewsbury and Atcham.

§ Mr. Field
To ask the Secretary of State for Social Security of those pensioners who are excluded from gaining the minimum income guarantee because of(a) ownership of excess capital, (b) receipt of an occupational pension and (c) both ownership of excess capital and an occupational pension, however many and 619W what proportion have a total income or calculated income (i) £0–£5 above, (ii) £5 to £10, (iii) £10 to £15 and (iv) £15 to £20 above the minimum income guarantee. [121621]

§ Mr. Bayley
[holding answer 11 May 2000]: The information is in the tables.

Income in relation to the minimum income guarantee Caseload (000s) Percentage

The total number of pensioners who would no longer be excluded if all capital rules were removed, and the percentage in different income bands

Below MIG levels 40 7

£0 to £5 40 8

£5 to £10 40 7

£10 to £15 20 4

£15 to £20 20 3

£20+ 330 70

Total 480 100

The total number of pensioners who would no longer excluded if all income from occupational pensions was disregarded, and the percentage in different income bands

Below MIG levels 0 0

£0 to £5 100 9

£5 to £10 80 7

£10 to £15 70 6

£15 to £20 80 7

£20+ 790 70

Total 1,120 100

The total number of pensioners no longer be excluded if both polices are removed, and the percentage in different income bands

Below MIG levels> 40 2

£0 to £5 130 8

£5 to £10 120 7

£10 to £15 90 6

£15 to £20 90 6

£20+ 1,120 71

Total 1,580 100

Notes:
1. This question has been answered using the Policy Simulation Model (PSM) for Income-Related benefits, based on 1997–98 Family Resources Survey data This is uprated to 2000–01 prices and benefit levels.

£ million

Expenditure¹ 1995–96 1996–99 1997–99 1998–99 1999–2000

Christmas Bonus—contributory² 124 129 123 124 120

Christmas Bonus—non-contributory 15 15 16 16 16

Total 139 144 139 140 137

¹Figures are consistent with Table 1 of the Social Security Departmental Report 2000 (Cm 4614)

²Expenditure paid from the National Insurance Fund

Notes:
1 Figures may not sum due to rounding

Income in relation to the minimum income guarantee	Caseload (000s)	Percentage
The total number of pensioners who would no longer be excluded if all capital rules were removed, and the percentage in different income bands
Below MIG levels	40	7
£0 to £5	40	8
£5 to £10	40	7
£10 to £15	20	4
£15 to £20	20	3
£20+	330	70
Total	480	100
The total number of pensioners who would no longer excluded if all income from occupational pensions was disregarded, and the percentage in different income bands
Below MIG levels	0	0
£0 to £5	100	9
£5 to £10	80	7
£10 to £15	70	6
£15 to £20	80	7
£20+	790	70
Total	1,120	100
The total number of pensioners no longer be excluded if both polices are removed, and the percentage in different income bands
Below MIG levels>	40	2
£0 to £5	130	8
£5 to £10	120	7
£10 to £15	90	6
£15 to £20	90	6
£20+	1,120	71
Total	1,580	100

£ million
Expenditure¹	1995–96	1996–99	1997–99	1998–99	1999–2000
Christmas Bonus—contributory²	124	129	123	124	120
Christmas Bonus—non-contributory	15	15	16	16	16
Total	139	144	139	140	137
¹Figures are consistent with Table 1 of the Social Security Departmental Report 2000 (Cm 4614)
²Expenditure paid from the National Insurance Fund