HC Deb 17 December 2003 vol 415 c979W
Mr. Gordon Marsden

To ask the Secretary of State for Work and Pensions what research his Department has collated about the impact of council tax on older peoples' incomes. [142231]

Mr. Pond

The Department holds information about the impact of council tax on older peoples' incomes from a variety of sources.

The Family Resources Survey is a large-scale annual survey of private households run by the department which collects detailed information about income and about certain expenses, including council tax.

Regularly published information from this survey includes estimates of pensionersl net incomes after the deduction of taxes, including council tax payments. The Pensioners' Income Series 2001–02 shows that between 1996–97 and 2001–02 the average net income of pensioners before the deduction of housing costs increased by 17 per cent. in real terms, while after housing costs it increased by 23 per cent.

Data from administrative sources shows the number of pensioners receiving council tax benefit. In 2002, 2.4 million families over 60 received council tax benefit.

The Department also publishes estimates of the level of take-up of council tax benefit, in the annual publication income related benefits: Estimates of take-up.

The Department further estimates that with the introduction of pension credit almost 1.9 million pensioner households will be eligible for more help, or help for the first time, with council tax or rent payments.

The Department also carries out calculations to establish the level of income at which pensioners are eligible for help with their council tax. From October 2003, a single person over 65 with no entitlement to disability benefits and an income of £116 could be eligible for maximum council tax benefit.

The Department also regularly receives research from other organisations.