HC Deb 26 May 2004 vol 421 cc1718-9W
Chris Ruane

To ask the Secretary of State for Work and Pensions what total Government financial support to the poorest 10 per cent. of pensioners was in each of the last 30 years, expressed at today's prices. [175014]

Malcolm Wicks

The information is not available in the format requested as information on spending on pensioners by decile directly is not recorded.

However latest Households Below Average Income (HBAI) figures show that we have made good progress in tackling pensioner poverty. Two thirds fewer pensioners—1.8 million older people—were in absolute low income in 2002–03 compared with 1996–97.

Our strategy is to seek to maintain and support the major contribution made by the private pension sector in enabling pensioners to share in increased economic well being, and to target state resources on improving the position of the poorest relative to rising national prosperity. Since the introduction of pension credit the poorest third of pensioner households will be £1,750 a year (£33 per week) better off in 2004–05, compared with the 1997 system.

Chris Ruane

To ask the Secretary of State for Work and Pensions how much the poorest third of pensioners received in each year since 1998; and what that sum would have been in each year had the State Pension been linked to earnings. [175131]

Malcolm Wicks

The information is not available in the format requested.

In 1997–98, pensioners in the lowest third of the pensioner income distribution received an average of £102.12 per week in state benefits. In 2002–03 they received an average of £134.38.

Including private income, these pensioners received £104.81 in 1997–98, £139.73 in 2002–03.

If the basic State Pension had been linked to earnings since April 1998, on top of policies introduced since 1997 (including pension credit), these pensioners would have received an extra £2.10 a week overall on average in 2003–04. If the earnings link had been in place instead of the policies that were in fact introduced they would have lost on average £22.90.

All figures are in cash terms.