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3 Mar 2005 : Column 1385W—continued

Council Tax Benefit

Mr. Cousins: To ask the Secretary of State for Work and Pensions what the (a) savings limit and (b) disregards in the assessment of council tax benefit have been since 2001; and what assessment he has made of the financial consequences of introducing assessments of savings based on those used in pension credit. [218027]

Mr. Pond: Prior to April 2001 the lower capital limit was £3,000 and the upper capital limit was £16,000 for all client groups. From April 2001 the lower capital limit for pensioners was raised to £6,000. From April 2006 the lower capital limit for working age people will be raised to £6,000 to bring it into line with that of pensioners. With the introduction of pension credit in October 2003 the amount of notional income that is assumed from capital, for pensioners has been halved from £1 in every £250 over the lower limit to £1 in every £500; there is no upper capital limit for those pensioners receiving the guarantee credit element of pension credit.

If the savings rules for council tax benefit were changed to match those in pension credit, there would be some 160,000 additional beneficiaries at an estimated cost of £65 million.

1.Beneficiaries are rounded to the nearest 10 thousand, costs to the nearest £5 million. 2.Each beneficiary represents a benefit unit, which can be a single claimant or a couple. 3.The impact is estimated using the DWP Policy Simulation Model for 2005–06. 4.This model is based on the 2002–03 Family Resources Survey data, up-rated to 2004–05 prices, benefit rates and earnings levels, and is calibrated to latest published forecasts and policies.

Departmental Policies

David Taylor: To ask the Secretary of State for Work and Pensions if he will set out, with statistical evidence relating as closely as possible to North-West Leicestershire constituency, the effects of changes to departmental policy since 1997 on North-West Leicestershire constituency. [218046]

Jane Kennedy: We have undertaken a fundamental overhaul of the welfare system, transforming it to an active system that fights poverty, creates opportunity and helps people become self-sufficient and independent.

Since 2001, the Government have significantly extended and improved civil rights for disabled people in areas such as employment, education, access to goods and services and transport. Disabled people in North West Leicestershire will have benefited from these improvements in disability rights. Similarly, families with severely disabled three and four-year old children who are unable, or virtually unable to walk will have
 
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benefited from the Government's decision to lower the minimum age entitlement to the higher rate mobility component of disability living allowance from April 2001, whilst older and less well off carers have gained extra help through the provisions within the National Carers Strategy.

In 2002–03 we estimate there were around 10 million adults (22 per cent.) and 0.7 million children (5 per cent.) in Great Britain likely to be covered by the provisions of the Disability Discrimination Act (DDA).

The figures can be broken down to regional level which shows that 22 per cent. of adults and 7 per cent. of children in the East Midlands Region are likely to be covered by the provisions of the DDA.

Information on the numbers of customers in North West Leicestershire who are in receipt of disability living allowance (DLA) and attendance allowance (AA) is in the table.
North West Leicestershire

Operational yearNumber DLA/AA recipients
20015,400
20025,600
20035,800
20046,000




Note:
Figures are rounded to the nearest 100 and are from a 5 per cent. sample at 31 August each year.
Source:
DWP Information Centre.



Through Jobcentre Plus, we are promoting work as the best form of welfare for people of working age. The number of people in work is at historically high levels of over 28.5 million; in North West Leicestershire, the proportion in employment has risen to 87 per cent.

Our New Deals have helped lone parents, the young unemployed, the long-term unemployed, disabled people, the over 50s and partners of unemployed people to move from benefit into work. Nationally over 1.2 million people have been helped into work by the New Deals, with over 920 in North West Leicestershire alone.

Significant progress has been made in eradicating child poverty and the latest figures (for 2002–03) show that, in the UK, there were over half a million fewer children in relative low income than there were in 1996–97. Since 2001–02 incomes for lone parents in receipt of benefit have risen by more than prices or the cost of living. In April 2005 the child allowance rate in income support for a child up to 18-years old will have been increased by 40 per cent. since 2001–02. Child rates in income support and jobseeker's allowance are also being increased above inflation in April 2005 in line with child tax credit upratings. All of this has benefited 1,200 families in North West Leicestershire.

We want all pensioners to have a decent and secure income in retirement and to share fairly in the rising prosperity of the country and our first priority has been to help the poorest pensioners. The Government will be spending nearly £10 billion more in 2004–05 (in 2004–05 prices) on pensioners as a result of measures introduced since 1997, with around half going to the poorest third.
 
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Our reforms include the State Second Pension, which helps more future pensioners build up better pensions, especially carers. pension credit, introduced from October 2003, provides a contribution to a guaranteed minimum income for those aged 60 and over and, for the first time, those over aged 65 and over may be rewarded for savings and income. As of December 2004, around 3,495 pensioners in North West Leicestershire are receiving pension credit, with an average award of £36.33 per week.

We know that older people are disproportionately affected by fuel poverty. This winter (2004–05) we have again made available a winter fuel payment of £200 for each eligible household with someone aged 60 or over and £300 to those with someone aged 80 or over to help with their fuel bills. Additionally, for this year, eligible households with someone aged 70 or over will receive the one-off 70 plus payment of £100 to help with living expenses including council tax bills. It is paid with the winter fuel payment.

The constituency data on winter fuel payments and the additional 80+ annual payment is available in the Library.

Since 1997 single pensioners and pensioner couples have seen a real terms increase in their Basic State Pension of 7 per cent. and 8 per cent., respectively. Some 16,400 pensioners in North West Leicestershire have benefited from this increase.

Mr. Martyn Jones: To ask the Secretary of State for Work and Pensions if he will set out, with statistical information relating as directly as possible to the Clwyd, south constituency, the effect on the constituency of policies pursued by his Department at the Council of Ministers; and if he will make a statement. [215720]

Jane Kennedy: I refer the hon. Member to the written answer I gave him on 31 January 2005, Official Report, columns 605–07W. Promoting work and social inclusion are also at the heart of this Department's policy towards business in the Employment and Social Policy Council. These policies apply to the whole of the United Kingdom and it is not possible to distinguish the effect on a particular constituency.

Geraint Davies: To ask the Secretary of State for Work and Pensions if he will set out, with statistical evidence relating as closely as possible to the Croydon, Central constituency, the effects of changes to departmental policy since 1997 on the Croydon, Central constituency. [219288]

Jane Kennedy: We have undertaken a fundamental overhaul of the welfare system, transforming it to an active system that fights poverty, creates opportunity and helps people become self-sufficient and independent.

Since 2001, the Government have significantly extended and improved civil rights for disabled people in areas such as employment, education, access to goods and services and transport. Disabled people in Croydon, Central will have benefited from these improvements in disability rights. Similarly, families with severely disabled 3 and 4-year-old children who are unable, or virtually unable to walk will have benefited from the Governments decision to lower the minimum age entitlement to the higher rate mobility component of
 
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disability living allowance from April 2001, while older and less well off carers have gained extra help through the provisions within the National Carers Strategy.

In 2002–03 we estimate there were around 10 million adults (22 per cent.) and 0.7 million children (5 per cent.) in Great Britain likely to be covered by the provisions of the Disability Discrimination Act (DDA).

The figures can be broken down to regional level which shows that 18 per cent. of adults and 4 per cent. of children in the London area are likely to be covered by the provisions of the DDA.

Information on the numbers of customers in Croydon, Central who are in receipt of disability living allowance (DLA) and attendance allowance (AA) is in the table.
Croydon, Central

Operational yearDLA/AA recipients
20014,600
20024,600
20035,000
20045,600




Source:
DWP Information Centre. Figures are rounded to the nearest 100 and are from a 5 per cent. sample at 31 August each year.



Through Jobcentre Plus, we are promoting work as the best form of welfare for people of working age. The number of people in work is at historically high levels of over 28.5 million; though in Croydon, Central the proportion in employment has reduced by 1.5 points since 1997 to 77.6 per cent.

Our new deals have helped lone parents, the young unemployed, the long-term unemployed, disabled people, the over 50s and partners of unemployed people to move from benefit into work. Nationally over 1.2 million people have been helped into work by the new deals, with 2,630 in Croydon, Central alone.

Significant progress has been made in eradicating child poverty and the latest figures (for 2002–03) show that, in the UK, there were over half a million fewer children in relative low income than there were in 1996–97. Since 2001–02 incomes for lone parents in receipt of benefit have risen by more than prices or the cost of living. In April 2005 the child allowance rate in income support for a child up to 18-years-old will have been increased by 40 per cent. since 2001–02. Child rates in income support and jobseeker's allowance are also being increased above inflation in April 2005 in line with child tax credit upratings. All of this has benefited 3,600 families in Croydon, Central.

We want all pensioners to have a decent and secure income in retirement and to share fairly in the rising prosperity of the country and our first priority has been to help the poorest pensioners. The Government will be spending nearly £10 billion more in 2004–05 (in 2004–05 prices) on pensioners as a result of measures introduced since 1997, with around half going to the poorest third.

Our reforms include the state second pension, which helps more future pensioners build up better pensions, especially carers. Pension credit, introduced from October 2003, provides a contribution to a guaranteed minimum income for those aged 60 and over and, for the
 
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first time, those over aged 65 and over may be rewarded for savings and income. As of December 2004, around 3,815 pensioners in Croydon, Central are receiving pension credit, with an average award of £48.69 per week.

We know that older people are disproportionately affected by fuel poverty. This winter (2004–05) we have again made available a winter fuel payment of £200 for each eligible household with someone aged 60 or over and £300 to those with someone aged 80 or over to help with their fuel bills. Additionally, for this year, eligible households with someone aged 70 or over will receive the one-off 70+ payment of £100 to help with living expenses including council tax bills. It is paid with the winter fuel payment.

The constituency data on winter fuel payments and the additional 80+ annual payment is available in the Library.

Since 1997 single pensioners and pensioner couples have seen a real terms increase in their basic state pension of 7 per cent. and 8 per cent., respectively. Some 16,600 pensioners in Croydon, Central have benefited from this increase.


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