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Occupational Pensions
15. Mr. Spring: To ask the Secretary of State for Social Security what is his assessment of the current regulatory environment for occupational pensions. [39699]
Mr. Heald: The Pensions Act 1995, to which Royal Assent was given in July, introduces a number of measures which will give greater security and accountability to the occupational pensions sector, including the establishment of the Occupational Pensions Regulatory Authority.
20. Mr. Sumberg: To ask the Secretary of State for Social Security what measures he will take to combat fraud in occupational pensions. [39704]
Mr. Heald: The measures in the Pensions Act 1995, which received Royal Assent in July, reflect the Government's commitment to safeguarding the security of occupational pension scheme assets.
Benefits and Taxation
16. Mr. Hain: To ask the Secretary of State for Social Security what plans he has to reform the relationship between benefits and taxation. [39700]
Mr. Burt: In 1988 we reformed the relationship between income- related benefits and tax to reduce the incidence of high marginal tax rates. In line with the Government's long-standing policy that benefits which replace earnings should be taxable in the same way as earned income, incapacity benefit became taxable in April 1995. We have already announced that the back-to-work bonus and the child maintenance bonus will not be subject to taxation. Any further plans on taxation are a matter for my right hon. and Learned Friend the Chancellor of the Exchequer.
Jobseeker's Allowance
17. Mr. Gordon Prentice: To ask the Secretary of State for Social Security if he will specify minimum wage rates for jobs offered to persons who will be in receipt of the jobseeker's allowance after its introduction in 1996 which would allow those persons to refuse a job on the grounds of unacceptably low wages. [39701]
Mr. Roger Evans: No. We shall be carrying forward established practice.
Social Security Reforms
18. Mr. David Shaw: To ask the Secretary of State for Social Security what effect he estimates his social security reforms will have had on public spending by the year 2020 in 1994 95 prices. [39702]
Mr. Lilley: I refer the hon. Member to the answer I gave to my hon. Friend the Member for Basildon (Mr. Amess).
Poverty and Homelessness (Young People)
21. Mr. Simon Hughes: To ask the Secretary of State for Social Security what action he is taking to tackle poverty and homelessness among 16 to 24-year-olds. [39705]
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Mr. Roger Evans: We are getting the unemployed back to work. In last year's Budget we announced a £700 million package of benefit and employment measures to do just that.
Social Security Fraud
22. Mr. Hawkins: To ask the Secretary of State for Social Security what plans he has for further action to control social security fraud. [39706]
Mr. Heald: I refer the hon. Member to the answer given today by my right hon. Friend to the Member for Ribble Valley (Mr. Evans).
Incapacity Benefit
23. Mrs. Clwyd: To ask the Secretary of State for Social Security how many people and what percentage have (a) passed and (b) failed the new incapacity benefit all-work test in (i) England and (ii) Wales. [39707]
Mr. Burt: Separate figures for England and Wales are not available. By the end of September, in Great Britain as a whole, 116, 349 medical examinations had been performed but decisions had not been made on all cases: 18,895 people had been found capable of work. A figure for those found incapable of work following examination is not available.
These figures are provisional. It is too early to draw conclusions about the long-term effect of the new procedures.
25. Mr. Nigel Griffiths: To ask the Secretary of State for Social Security what recent representations he has received from organisations representing people with disabilities about the exclusion of claimants from incapacity benefit. [39709]
Pensioner Households (Consumer Goods)
24. Sir Michael Neubert: To ask the Secretary of State for Social Security how many pensioner households had (a) a fridge, (b) a car, (c) a freezer, (d) a telephone and (e) a television in 1979; and how many do today. [39708]
Mr. Heald: In 1979, 57 per cent. of pensioners were in households with a telephone; by 1992 93 this figure had risen to 93 per cent. There were rises from 88 per cent. to 99 per cent. for ownership of fridges; 32 per cent. to 78 per cent. for freezers or fridge freezers; and 34 per cent. to 50 per cent. for cars or vans. The proportion with televisions rose from 96 per cent. in 1979 to virtually 100 per cent. in the 1990s.
Pensioner Incomes
26. Mr. Winnick: To ask the Secretary of State for Social Security what recent estimate he has made of the adequacy of the state retirement pension and income support to pensioners. [39710]
Mr. Heald: The value of the basic state retirement pension has been maintained in line with prices. Since 1988 pensioners receiving income- related benefits, including income support, have seen a real terms increase in benefit worth around £1.2 billion a year.
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Post Office Payment of Pensions
27. Mr. Thomason: To ask the Secretary of State for Social Security if pensioners will continue to be able to choose to have their benefits paid through the Post Office. [39711]
Mr. Heald: Pensioners will continue to be able to choose to have their benefits paid directly into their bank or building society accounts by automated credit transfer or to collect them at the post office.
Plans to automate the system for paying benefit at post offices are well advanced. For customers, this will mean that order books and giros are replaced with a benefit payment card, which they will hand to the post office clerk to obtain details of the benefit due to them. Starting next year, this change is likely to be phased in over a period of two to three years. Pensioners and other benefit recipients will be informed about what is happening, and exactly what they will need to do, nearer the time when cards are to be issued to them. People who choose to be paid by ACT will not be affected by this change and will not need a benefit payment card.
Child Support Agency
Mr. Win Griffiths: To ask the Secretary of State for Social Security if he will make a statement about the length of time it takes for assessments to be made by the Child Support Agency. [39694]
Mr. Andrew Mitchell: In straightforward cases, where both parents co -operate, the agency aims to complete the assessment in six to 12 weeks. In other cases, the process is inevitably more lengthy.
Ms Lynne: To ask the Secretary of State for Social Security (1) how many of the parents with care who withdrew income support claims within four weeks of being contracted by the Child Support Agency had been claiming income support for (a) less than one month, (b) between one month and three months, (c) between three and six months, (d) between six months and one year, (e) between one and two years and (f) over two years; [41039] (2) pursuant to his answer of 25 October, Official Report , column 711 , how many parents with care withdrew their claims to income support within eight weeks of an investigation under the requirement to co-operate; and if he will provide a month-by-month breakdown for 1994 95 and the current financial year. [41081
Mr. Mitchell: The information is not required for the agency's business and could be provided only at disproportionate cost.
Ms Lynne: To ask the Secretary of State for Social Security, pursuant to his answer of 23 April, Official Report , column 484 , on the benefit savings achieved by the liable relatives unit in 1991 92, in how many cases the unit took action to arrange, increase or enforce payments of maintenance; and in how many of those cases a claim for income support was withdrawn within four weeks. [41083]
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Mr. Mitchell: The information requested is not available in the form requested. However, information on legal proceedings taken to obtain maintenance during the calendar year ending 1991 is in the table.
|Number
------------------------------------------------------------------
New orders applied for |1,321
Number granted |1,316
Enforcement/variation of existing order applied for |316
Number granted |292
We have no figures for claims withdrawn, but the number of claims involving liable relatives where income support ceased within four weeks, in the year 1991 92, was 80,261.
Benefits (Residence Qualification)
Mrs. Gorman: To ask the Secretary of State for Social Security what plans he has to require all foreign visitors to the United Kingdom to establish residence before qualifying for benefit. [39703]
Mr. Roger Evans: Residence requirements have always played a significant part in social security benefits. We have also recently announced proposal to extend restrictions on persons from abroad claiming benefits.
State Pensions
Mr. McMaster: To ask the Secretary of State for Social Security what would be the current value in real terms of the state retirement pension for (a) single pensioners and (b) married couples if it had been uprated in line with prices or incomes, whichever was the higher; what would be the value in current value in real terms of the Christmas bonus to (a) single pensioners and (b) married couples on the same basis for the same period; what would be the cost of restoring the link between pensions and incomes or prices, whichever was the higher, during the current financial year expressed as a weekly amount of national insurance contributions to an employee on average earnings and his or her employer; what is the amount of weekly average earnings on which this figure is based; what would be the cost of restoring the link based on the whole burden of retirement pensions being transferred to taxation expressed as a percentage increase in general taxation; and if he will make a statement. [39321]
Mr. Heald: It is estimated that the weekly rate of category A basic retirement pension would be £79.45 from April 1995 and the combined rate of category A and category B basic retirement pension payable to a couple would be £127.15 if the rates had been increased in line with the higher of earnings of prices since 1980. It is estimated that the Christmas bonus would be £28.80 if it had been increased in line with the higher of earnings or prices since 1980.
Expenditure on retirement pension and linked benefits for those over state pension age would, as a result of restoring the link between pensions and the higher of incomes or prices, be increased by an estimated £9.8 billion in the 1995 96 financial year.
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The increase in national insurance contributions to support this would result in an extra weekly cost of £8.45 to an employee on male average earnings and an extra £7.92 for his employer.Male average earnings of £377 at April 1995 have been used. The whole burden of retirement pension is estimated as £41.2 billion; this is the current cost of retirement pensions and linked benefits paid to people over state pension age, £31.4 billion, plus the extra cost of restoring the link, £9.8 billion. To raise £41.2 billion would mean increasing the basic rate of income tax from 25 per cent. to 47 per cent. If income-related benefits are taken into account, £38.5 billion would be transferred to taxation and the basic rate of income tax would increase to 45 per cent.
Notes:
Estimates provided by Department of Social Security, Analytical Services Division--in each step of the calculation the benefits have been rounded to the nearest 5 pence.
The Retail Prices Index (all items) as published by the Central Statistical Office has been used for prices uprating.
Earnings upratings have been calculated on the basis of the Department for Education and Employment's Average Earnings Index (Whole economy unadjusted) as amalgamated in the Abstract of Statistics published by the Department of Social Security, Analytical Services Division.
Estimate provided by the Government Actuary's Department based on benefit rates calculated as per note 1. The estimate includes the extra costs of Retirement Pension and linked benefits paid to people over State pension age in particular Widow's Benefit and Incapacity Benefit.
Habitual Residence Test
Mr. Redmond: To ask the Secretary of State for Social Security if he will list by postcode for Doncaster and Mexborough the number of claimants who have been prevented from receiving benefits as a result of the habitual residence test for each month since its inception; of those refused, how many went to appeal; and how many won their appeals. [39559]
Mr. Roger Evans: Information is not available in the format requested. Statistics are not collected by reference to a claimant's postcode and appeal statistics are not collected against different types of decisions.
Information on the number of people who have failed the habitual residence test is recorded in the Official Report , 23 October 1995, columns 486 89.
Public Appointments, South Yorkshire
Mr. Redmond: To ask the Secretary of State for Social Security (1) if he will list the public appointments for which his Department is responsible in the county of South Yorkshire, indicating in each case the duration of the appointment, the date when a new appointment is due, and the salary; [39457]
(2) if he will list all the non-departmental public bodies to which his Department makes appointments in the county of South Yorkshire, indicating the total annual budget and the number of appointments made or renewed for each body in each of the last four years. [39442]
Mr. Burt: My right hon. Friend the Secretary of State is responsible for the appointments to the South Yorkshire and Humberside war pensions committee. The current
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committee of 30 members was convened on 1 January 1991 for five years. The committee has no annual budget and no salaries are payable.The numbers of new appointments, to replace members who have resigned or died, are shown in the table.
Year |Appointments --------------------------------------- 1991 |1 1992 |2 1993 |2 1994 |5 1995 |0
Statutory Maternity and Sick Pay
Mr. Kevin Hughes: To ask the Secretary of State for Social Security (1) what plans he has to simplify the administration of statutory maternity pay; [40091]
(2) what plans he has to simplify the administration of statutory sick pay. [40092]
Mr. Heald: We intend to introduce a number of simplifications to the statutory sick pay and statutory maternity pay schemes from April 1996. These will include a considerable reduction for employers in the amount of mandatory SSP record-keeping; more flexible time limits for providing SSP information to employees; removing the exclusion from SSP and SMP of employees, including certain mariners, air personnel and continental shelf workers, who are outside the European Economic Area during a period of sickness or maternity; reducing to one month the period for notifying sick absence to an employer where there is good cause for delay, removing the need for employers to issue a form to every leaver who was recently sick and allowing this form, where issued, to be a computer print-out. We will be laying regulations to give effect to these changes in due course. These proposals arise out of a consultation paper that was issued in March which sought views from all sides of industry on cutting red tape in the SSP-SMP schemes. The consultation formed part of the Government's on-going deregulation programme of lifting burdens on business. We are grateful to all those organisations and individuals who responded. Their contributions proved very valuable in helping us to decide the way forward. Copies of the responses will be placed in the Library.
The consultation paper also sought views on whether employers should be allowed to opt out of SSP if they pay at least the equivalent in occupational sick pay. Employers' organisations were generally in favour of opting out as a means of reducing administration costs, but there were concerns that small businesses could not opt out as they did not generally have occupational sick pay schemes. Employees' organisations were concerned that employees' statutory rights would be removed.
In the light of these concerns, we propose to retain the underlying liability to pay SSP but exempt any employer who pays contractual remuneration, including occupational sick pay, at or above the SSP rate for a day of incapacity for work, from the need to operate the detailed SSP rules. This revised scheme will ensure that employees' rights are fully protected, reduce administrative burdens and also be available to employers
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with or without an occupational sick pay scheme. We aim to introduce the new arrangements from April 1997 by means of an order under the Deregulation and Contracting Out Act 1994, following further consultation on the detailed proposals.Other changes to the SSP scheme which received support but which require amendment of primary legislation will be considered as soon as a suitable opportunity arises. They include changing the rule on SSP entitlement during a trade dispute; removing the links between separate contracts of service with the same employer and removing the exclusion from SSP of women who have received maternity allowance within eight weeks of the start of a period of sickness.
These changes build on the simplification of the SSP and SMP schemes which we implemented last year. The lower rate of SSP was abolished so that all employees who qualify now receive the same rate of SSP. For SMP three service qualification tests of 26 weeks, two years and five years were replaced by one test of 26 weeks employment. In addition, all women qualifying for SMP now receive 90 per cent. of their earnings for the first six weeks of maternity leave and a flat rate for the next 12 weeks. Previously, the rate of SMP paid depended on the length of service a woman had with her employer.
Income Support
Mr. Pike: To ask the Secretary of State for Social Security what steps are being taken to identify those disabled people who were underpaid income support as a result of a failure by the Benefits Agency to include the severe disability premium in their assessments, and who are no longer in receipt of income support; and what steps are being taken to invite fresh claims from those disabled people who were wrongly refused income support in order that the arrears of benefits due to them will be paid. [40144]
Mr. Roger Evans: On 19 December 1994, the Secretary of State announced that the Benefits Agency was to examine all live claims for income support with potential entitlement to the severe disability premium, and to establish what action was required to those cases where income support was no longer in payment. The exercise to examine live claims is now nearing completion. An announcement will be made shortly about plans for further action.
Motability
Mr. William O'Brien: To ask the Secretary of State for Social Security (1) what guidelines his Department issues to Motability about the refusal of insurance cover to disabled drivers; and if he will make a statement; [40643]
(2) how many disabled persons are currently without the use of a car because of the application of rules on insurance introduced by Motability; and if he will make a statement; [40645]
(3) in what circumstances Motability refuses insurance cover to disabled drivers; [40649]
(4) what penalties are imposed by Motability on drivers under its charge who have been penalised by the courts for driving with excess alcohol; and if he will make a statement; [40644]
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(5) how many disabled drivers have been refused insurance cover by Motability; for what reasons; and if he will make a statement. [40677]Mr. Burt: Motability is an independent organisation. The rules and administration of the scheme's insurance cover are decided by the governors and are not matters for the Secretary of State. Any questions on these issues should be referred to the director, Noel Muddiman.
Disability Benefits
Mr. Clelland: To ask the Secretary of State for Social Security when he expects to learn whether his request to the House of Lords for leave to appeal against the Halliday-Fairey decision of 14 October 1994 has been successful. [40895]
Mr. Andrew Mitchell: The petition for leave to appeal is under consideration by the House of Lords. The respondent has been invited to lodge objections to the petition by 7 November. A decision will be made thereafter.
Housing Benefit
Mr. Robert McCartney: To ask the Secretary of State for Social Security what amount of housing benefit was paid to or for private landlords in the last year for which figures are available. [40901]
Mr. Roger Evans: The information available is set out in the table and relates to Great Britain only. My right hon. and learned Friend the Secretary of State for Northern Ireland is reponsible for the payment of social security benefits in Northern Ireland.
Rent Allowance Expenditure
Year |Expenditure (£
|million)
---------------------------------------------
1993-94 |4,173
Source:
Table 3, Social Security Departmental Report
1995.
Private Pension Provision
Mr. Waterson: To ask the Secretary of State for Social security what is the total amount of funds in private pension provision in the United Kingdom; and what is the equivalent figure for the two next largest European Union countries. [39683]
Mr. Heald: In 1992, the total amount of funds in private pension provision in the United Kingdom was around £500 billion. This is more than three times the amount in either of the two European Union countries with the next largest level of pension funds--£160 billion for Germany and £140 billion for the Netherlands.
Disabled People
Mr. Wigley: To ask the Secretary of State for Social Security what he estimates to be a practical timetable for implementing proposals to eliminate discrimination against disabled people; and if he will make a statement. [39684]
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Mr. Burt: We will establish the National Disability Council early next year. After consultation and publication of draft regulations we plan to introduce the new rights in the employment field towards the end of 1996. The first of the many rights of access to goods and services--the right not to be refused service--will start at the same time, as will protection for disabled people seeking to rent or buy property. Following a similar process of consultation the remaining rights will be phased in subsequently.
War Widows
Mr. Simon Hughes: To ask the Secretary of State for Social Security what plans he has to end local variation in the treatment of war widows and war disabled pensioners. [39723]
Mr. Heald: We have no such plans.
Personal Pensions
Mr. Harry Greenway: To ask the Secretary of State for Social Security what proposals he has to improve the flexibility of personal pensions in retirement. [40036]
Mr. Heald: We have introduced two measures in the Pensions Act 1995 which will improve the flexibility of personal pensions in retirement. The first measure will bring the age-related rebates for personal pension holders who have contracted out of the state earnings-related pension scheme, which will make such pensions attractive across a broader age range. The second measure permits more flexible use of personal pensions savings, by allowing personal pension holders to draw an income from their fund each year and defer buying an annuity until a time of their choosing up to age 75.
Disability Living Allowance
Mr. Flynn: To ask the Secretary of State for Social Security of how many cases he is aware in which an attendance allowance was awarded to a person with limited leave to remain in the United Kingdom in each of the years 1993, 1994 and 1995. [41037]
Mr. Andrew Mitchell: The information requested is not available.
Deregulation
Mr. Steen: To ask the Secretary of State for Social Security what regulations his Department proposes to repeal by the end of 1995; if he proposes to conduct a cost compliance assessment on each regulation repealed; and what is the estimated cost of undertaking a cost
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compliance assessment to assess the advantages or disadvantages of such a repeal. [41549]Mr. Heald: The following regulations are due to be repealed by the end of 1995:
Social Security (invalid Care Allowance) Regulations 1976--Regulation 8(2)(b);
Occupational Pension Schemes (Equal Access to Membership) Regulations 1976;
Occupational Pension Schemes/Equal Access to Membership/Amendment Regulations 1995.
The requirement to carry out a cost compliance assessment applies to regulations which impose additional burdens on business. As these regulations did not impose a burden on business cost compliance assessments were not required.
Mr. Steen: To ask the Secretary of State for Social Security if he will list the rules and regulations he proposes to repeal or amend by means of a reference to the Deregulation Committee before the end of 1995; and if he will make a statement. [41523]
Mr. Heald: This Department will not be repealing or amending any rules or regulations by means of a reference to the Deregulation Committee before the end of 1995. However, we aim to introduce from April 1997 an easement to allow employers to substitute contractual remuneration for statutory sick pay for any day of sickness by means of an order under the Deregulation and Contracting Out Act 1994.
Mr. Steen: To ask the Secretary of State for Social Security what is the estimated saving to the Exchequer by the repeal of each rule and regulation which has so far been the subject of a reference to the Deregulation Committee from his Department; and in how many cases a cost compliance assessment has been carried out. [41524]
Mr. Heald: The Department has not yet repealed any rules or regulations by reference to the Deregulation Committee.
Nursing Homes
Mr. Milburn: To ask the Secretary of State for Social Security, pursuant to his answer to the hon. Member for Cardiff, West (Mr. Morgan) of 27 October, Official Report , column 853 , if he will list the number of nursing home residents with preserved rights to higher levels of income support in (a) April 1993, (b) November 1993, (c) April 1994 and (d) the latest figure available (1) nationally, (2) regionally and (3) by area. [41435]
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