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Written question asked by Lord Field of Birkenhead (Labour) on Wednesday, 23 February 2005, in the House of Commons. It was due for an answer on Thursday, 7 April 2005. It was answered by Malcolm Wicks (Labour) on Thursday, 7 April 2005 on behalf of the Department for Work and Pensions.


Dept for Work and Pensions

Question
To ask the Secretary of State for Work and Pensions, how many pensioners in receipt of (a) housing benefit, (b) council tax benefit, (c) pension credit and (d) other means-tested benefits incur a marginal deduction rate of (i) 85 to 89 per cent., (ii) 90 to 94 per cent., (iii) 95 to 99 per cent. and (iv) 100 per cent. and over.
Answer

Mr. Frank Field: To ask the Secretary of State for Work and Pensions how many pensioners in receipt of (a) housing benefit, (b) council tax benefit, (c) pension credit and (d) other means-tested benefits incur a marginal deduction rate of (i) 85 to 89 per cent., (ii) 90 to 94 per cent., (iii) 95 to 99 per cent. and (iv) 100 per cent. and over. [218693] Malcolm Wicks: The information is not available in the format requested. There were 760,000 pensioner households (939,000 individuals) receiving the guarantee element of pension credit only at August 2004. Private pension income is brought fully into account in these cases, although they are not subject to separate benefit withdrawal of CTB/HB. There were an estimated additional 390,000 pensioner households (510,000 individuals) with incomes above guarantee element levels, but receiving both tapered housing benefit (HB) and tapered council tax benefit CTB). These households would be subject to marginal deduction rates (MDRs) of less than 100 per cent., though they would often exceed 85 pence in the pound. All recipients of the minimum income guarantee (MIG) were subject to MDRs of 100 per cent. These people are now entitled to pension credit and most of them--of the order of 61 per cent. of those in private households--are also benefiting from the savings element of pension credit. This majority no longer face MDRs of 100 percent. Notes: 1. The figures are subject to a degree of sampling variation. 2. Pension credit and HB/CTB are awarded to benefit units, which may be a single person or a couple. 3. Pension credit figures are rounded to the nearest thousand. Due to the estimation procedure to produce the figures for HB/CTB and the collection procedures in Scotland, HB/CTB figures are rounded to the nearest ten thousand. 4. CTB cases exclude any second adult rebate cases. 5. HB cases exclude extended payment cases. The figures refer to cases where the claimant and/or partner is aged 60 or over. Sources: Pension credit data from 5 per cent. extract of income support computer system at August 2004. HB/CTB data from housing benefit and council tax benefit management information system, Annual 1 per cent. sample, taken in May 2003.


Secondary information

Type
Written question
Reference
432 c1694-5W;432 c1690W; 218693
Session
2004-05
Subjects
Council tax benefits Housing benefit Pension credit Pensioners Social security benefits Take-up
Contains statistics
Yes
Link
View this Written question on www.publications.parliament.uk