State Retirement Pensions

Work and Pensions written question – answered on 5th March 2007.

Alert me about debates like this

Photo of David Taylor David Taylor Labour, North West Leicestershire

To ask the Secretary of State for Work and Pensions what the value would be of the 25p age addition to the state pension in 2006-07 if it had been uprated in line with (a) prices and (b) earnings since its introduction; and if he will estimate how much it would cost to increase it to those levels.

Photo of James Purnell James Purnell Minister of State (Pensions Reform), Department for Work and Pensions

The 25p age addition would have a value of £2.44 in 2006-07 had it been increased in line with RPI since 1971. The equivalent figure with earnings uprating would be £4.39.

It is estimated that it would cost an additional £220 million in 2007-08 to reach the price uprated level. The equivalent figure to reach the earnings uprated level is an additional £420 million.

Notes:

1. The revaluation of the age addition uses National Statistics Time Series for the Whole Economy RPI (CZBH) and the Whole Economy AEI (LNMQ) including bonuses.

2. Costs are given in 2006-07 prices.

Does this answer the above question?

Yes0 people think so

No0 people think not

Would you like to ask a question like this yourself? Use our Freedom of Information site.