HC Deb 30 October 2000 vol 355 cc255-6W
Mr. Willetts

To ask the Secretary of State for Social Security how many people have contacted the minimum income guarantee helpline since the new advertising campaign began; how many application forms have been sent out to people who have telephoned the helpline; how many application forms have been returned; how many people have had their minimum income guarantee payments increased after returning a completed application form; how many people are in receipt of minimum income guarantee for the first time as a result of returning a completed application form; and if, pursuant to his written answer to the hon. Member for Pendle (Mr. Prentice), of 14 June 2000,Official Report, column 654W, he will provide this information broken down into five year age bands. [134779]

Mr. Bayley

Around 60,000 claim forms have been returned. Around half of the claim forms that have already been processed have been successful and these claimants are now receiving the Minimum Income Guarantee.

Mr. Flynn

To ask the Secretary of State for Social Security (1) what proportion of pensioners in Wales who could be entitled to receive the Minimum Income Guarantee have not made a claim; [135152]

(2) how many pensioners in Wales who could be entitled to receive the Minimum Income Guarantee have not made a claim. [135151]

Mr. Bayley

We estimate that about 500,000 pensioners could be missing out on their entitlement within Great Britain. Because of the method a separate figure is not available for Wales.

Mr. Willetts

To ask the Secretary of State for Social Security how many pensioners in receipt of the Minimum Income Guarantee have savings below £3,000 which are currently disregarded. [134556]

Mr. Bayley

Currently, 1.46 million pensioners in receipt of the Minimum Income Guarantee have declared they hold capital below £3,000. From next April, the lower capital limit will be increased to £6,000. That will benefit some 70,000 pensioners who will not have any of their savings taken into account.

Mr. Willetts

To ask the Secretary of State for Social Security if he will set out, for pensioners in receipt of the Minimum Income Guarantee, the rate of interest assumed on savings of £3,000 to £8,000 in £1,000 bands, incorporating the effect of disregarding the first £3,000 of savings. [134555]

Mr. Bayley

The basis for the Department's calculation of tariff income in the income-related benefits, with a system of graduated deductions between lower and higher limits, was established with the introduction of Income Support in 1988. It was not intended to represent any return that could be obtained from investing capital and hence is not based on any particular rate of return. A tariff income of £1 per week is assumed for each £250, or part thereof, held between the appropriate lower and upper limits1.

1 £3,000 and £8,000 in Income Support, Minimum Income Guarantee and income based Jobseeker's Allowance; except in residential care home and nursing home cases where the limits are £10,000 and £16,000; and Housing Benefit and Council Tax Benefit where the limits are £3,000 and £16,000. From next April, these limits will be increased to £6,000 and £12.000.