Previous Section Index Home Page


Housebuilding

Mr. Nicholas Winterton: To ask the Secretary of State for Social Security what assessment he has made of the impact on employment levels in the housebuilding sector of changes in the national insurance status of operatives; and if he will withdraw the booklet, "Are Your Workers Employed or Self-Employed?" [8325]

Mr. Heald: A wide range of representatives bodies from the construction industry, including from the housebuilding industry, were involved in joint consultations with officials from the Department and the Inland Revenue prior to publication of the booklet, which was at the request of the industry. We have continued to consult across the industry and, in response to the issues they raised, published on 19 November a joint Inland Revenue and Contributions Agency press release, copies of which are available in the Library. This detailed the further steps that were being taken to help the construction industry to review the employment status of their workers in line with the same general rules that apply to other industries. We have no plans to withdraw the booklet.

Mr. Winterton: To ask the Secretary of State for Social Security when next he intends to meet housebuilders to discuss the implications of the change in the status from self-employed to employed for national insurance purposes of operatives in the housebuilding industry; and what assessment he has made of the costs which this change will impose on the sector. [8324]

Mr. Heald: My hon. Friends the Members for Fylde (Mr. Jack) and for Hertfordshire, West (Mr. Jones) and I met representatives of the construction industry on 21 November. The housebuilders were invited to be present or to ensure that their views were represented. The further steps the Inland Revenue and the Contributions Agency are taking to help the construction industry review the employment status of their workers were discussed and welcomed. Departmental officials will continue to liaise with the industry and keep me advised.

Pensioner Incomes

Mr. Frank Field: To ask the Secretary of State for Social Security if he will list the average pensioner's income for each year since 1979 by decile group. [8802]

Mr. Heald: The information is in the table.

12 Dec 1996 : Column: 359

Median average net income before housing costs for each decile of the all pensioner units income distribution
£ per week/July 1994 prices

YearDecile 1Decile 2Decile 3Decile 4Decile 5Decile 6Decile 7Decile 8Decile 9Decile 10
197951.6057.6062.3065.7069.2073.2079.7092.40122.70209.30
198154.3062.1066.2069.0072.5077.2083.4097.40126.50229.60
198756.2065.5073.0077.3082.9088.8098.20119.60161.20294.90
198854.4064.5073.1076.9082.0088.20100.00124.40173.40323.50
198952.2063.3071.5076.6081.2087.00100.80126.70164.60304.50
199055.3064.5072.0076.8082.7089.40106.30130.80179.30329.10
1990-9155.8065.5073.2078.7084.5093.80112.00138.90187.10346.10
199259.5070.4079.2084.3090.60101.30119.40144.80248.00365.20
199362.3072.2082.6088.7095.30104.50121.70149.70188.90358.30
1994-9566.2075.6084.2092.5099.90110.40128.30150.00197.70373.10

Notes:

1. The estimates refer to all pensioner units. A pensioner unit is defined to be either a single person over state pension age, or a couple where the head, assumed to be the man, is aged over state pension age.

2. The deciles used are the 10 deciles of the before housing costs equivalised net income distribution for all pensioner units. The estimates of average income for each decile are estimates of the median before housing costs unequivalised net income of that decile. This methodology is that used to create table 5 of the Pensioners' Incomes Series publication. This methodology may create an anomaly as some pensioner units will be in a different equivalised decile from their unequivalised decile, thus making it possible, although unlikely, for a higher equivalised decile to have a lower median unequivalised income.

3. Due to the use of estimates of unequivalised income, variations in the median income of deciles may reflect changes in the relative numbers of single pensioners and pensioner couples in that decile. As an example, the median income level of a decile may rise due to an increase in the relative numbers of pensioner couples in the decile rather than a general rise in income levels.

4. Estimates for 1979, 1981, 1987, 1988, 1989, 1990, 1992 and 1993 refer to that particular calendar year. The estimate for 1990-91 is an estimate based on data from both 1990 and 1991, as part of the 1991 data had to be omitted due to an error arising from the delayed issue of community charge bills. The estimate for 1994-95 refers to the financial year.

5. Estimates from the pensioners' incomes series are subject to wide margins of error. In particular comparisons of estimates from different years may not give reliable results. It is therefore recommended that estimates are used to indicate trends over time and that year on year comparisons should be avoided.

Source:

The Pensioners' Incomes Series 1994-95, which is based mainly on family expenditure survey data. All estimates are pounds per week in July 1994 prices, rounded to the nearest £0.10.


12 Dec 1996 : Column: 359

Mr. Field: To ask the Secretary of State for Social Security what has been the real increase in pensioner income since 1979 broken down for each decile group.[8801]

Mr. Roger Evans: The information is not available in the format requested. Such information as is available is in the table.

Decile of the before housing costs equivalised net income distribution for all pensioner unitsReal growth in median unequivalised income 1979 to 1994-95 (per cent.)
126
231
335
441
544
651
761
862
961
1078

Notes:

1. The estimates refer to all pensioner units. A pensioner unit is defined to be either a single person over state pension age, or a couple where the head, assumed to be the man, is aged over state pension age.

2. The deciles used are the 10 deciles of the before housing costs equivalised net income distribution for all pensioner units. The growth rates for each decile are based on estimates in July 1994 prices for the calendar year 1979 and the financial year 1994-95 of the median before housing costs unequivalised net income of that decile. This methodology is that used to create table 5 of the Pensioners' Incomes Series 1994-95 publication. This methodology may create an anomaly as some pensioner units will be in a different equivalised decile from their unequivalised decile, thus making it possible, although unlikely, for a higher equivalised decile to have a lower median unequivalised income.

3. Due to the use of estimates of unequivalised income, variations in the median income of deciles may reflect changes in the relative numbers of single pensioners and pensioner couples in that decile. As an example, the median income level of a decile may rise due to an increase in the relative numbers of pensioner couples in the decile rather than a general rise in income levels.

Source:

The Pensioners' Incomes Series 1994-95, which is based mainly on family expenditure survey data. All estimates are rounded to the nearest whole percentage point.


12 Dec 1996 : Column: 360

Benefits Agency (Doctors)

Mr. David Shaw: To ask the Secretary of State for Social Security what plans he has to change the criteria currently used for the recruitment of doctors employed by the Benefits Agency. [9137]

Mr. Burt: I have today approved proposals for the Benefits Agency to trial new arrangements for the recruitment of full-time medical advisers involved in dealing with claims for incapacity benefit. Operational experience so far has indicated that experience in particular areas of medicine is as important as more general clinical experience of the assessment of capacity for work. The initiative will provide the agency with the opportunity to test out the possibilities of operating some flexibility to ensure a continuing capability to recruit appropriate medical support.

The trial will take place in Newcastle and in the Manchester and Merseyside area, and involve the recruitment of up to 20 doctors. Applicants will be required to have three years post-registration experience, including at least one year in general practice and at least six months experience of psychiatry or rehabilitation-

12 Dec 1996 : Column: 362

occupational health medicine rather than the current five years general practice experience currently required. All doctors recruited under the trials will undergo the current rigorous training and approval process and receive additional monitoring as part of the evaluation of the trials.