Asked by: Baroness Altmann (Non-affiliated - Life peer)
Question to the Department for Work and Pensions:
To ask His Majesty's Government what their latest estimate is of the take-up of Pension Credit in the past five years.
Answered by Viscount Younger of Leckie - Shadow Minister (Work and Pensions)
Estimates for Pension Credit take-up in a financial year are available in the “Income-related benefits: estimates of take-up” publication, which can be accessed on the statistics section of gov.uk. Income-related benefits: estimates of take-up: financial year 2019 to 2020 - GOV.UK (www.gov.uk)
The latest estimates for Pension Credit take-up relate to the financial year 2019 to 2020. The table below outlines take-up estimates for this year, and the four years preceding:
Financial Year | Estimate of Pension Credit take-up |
2019 to 2020 | 66% |
2018 to 2019 | 63% |
2017 to 2018 | 61% |
2016 to 2017 | 61% |
2015 to 2016 | 61% |
Please note – methodological refinements have been applied to the data from 2016 to 2017. Therefore, comparison to previous years should be treated with caution.
Asked by: Baroness Altmann (Non-affiliated - Life peer)
Question to the Department for Work and Pensions:
To ask His Majesty's Government how many claimants currently receiving Universal Credit who are in employment or self-employment are earning (1) under £12,570 a year, (2) between £12,571 and £25,000 a year, (3) between £25,001 and £35,000 a year, (4) between £35,001 and £50,000 a year, and (5) over £50,000 a year.
Answered by Viscount Younger of Leckie - Shadow Minister (Work and Pensions)
Universal Credit is designed to reduce as household earnings increase, so the number of high income households receiving UC would likely be very small. The level at which entitlement ends will differ depending on individual circumstances and other unearned income.
As earnings information is only available at household level this has been provided below
In January 2023 there were:
Notes:
Asked by: Baroness Altmann (Non-affiliated - Life peer)
Question to the Department for Work and Pensions:
To ask His Majesty's Government how many claimants currently receiving Universal Credit are (1) self-employed, (2) employed, and (3) unemployed.
Answered by Viscount Younger of Leckie - Shadow Minister (Work and Pensions)
The total number of self-employed Universal Credit claimants in January 2023 was 493,300. This has been rounded to the nearest 100.
The latest statistics published monthly on Stat-Xplore show that, from the 5.8 million people on Universal Credit in February 2023, 2.2 million were in employment and 3.6 million were not in employment.
Asked by: Baroness Altmann (Non-affiliated - Life peer)
Question to the Department for Work and Pensions:
To ask His Majesty's Government what estimate they have made of the number of (1) men, and (2) women, who earn less than £12,570 in any one job, who are members of auto-enrolment workplace pension schemes which operate on a Net Pay basis.
Answered by Viscount Younger of Leckie - Shadow Minister (Work and Pensions)
DWP do not hold this data.
A policy paper has been published showing the number of people who save into an occupational pension under net pay arrangements whose taxable pay is below the personal allowance is estimated to be 1.2 million in 2026-27. In 2023/24, the Personal Allowance is £12,570.
Women are estimated to make up 75% of those earning below the personal allowance and contributing to a pension scheme that uses net pay arrangements. The 1.2 million can therefore be broken down into around 0.3 million men and 0.9 million women.
Notes:
Source: Pensions relief relating to net pay arrangements - GOV.UK (www.gov.uk)
Asked by: Baroness Altmann (Non-affiliated - Life peer)
Question to the Department for Work and Pensions:
To ask His Majesty's Government what steps they are taking to reduce the waiting times for Pension Credit applicants.
Answered by Baroness Stedman-Scott - Opposition Whip (Lords)
Following the successful launch of our campaign to increase up-take of Pension Credit, we have received an unprecedented number of claims. We have increased the resources available to process the extra volume of claims and have also adapted our claims processing approach, which has enabled us to improve productivity and clear claims more effectively.
We are now clearing more cases per day than we are receiving. We are also prioritising the oldest cases, and those presenting in hardship, to ensure we get payments to those most in need.
With these measures in place and, assuming the current volumes of new claims for Pension Credit, we anticipate that both processing times and outstanding cases will return to the levels we had before the recent three-fold increase in claims.
Successful claims and arrears will be paid accordingly to ensure all those who are entitled do not miss out.
Asked by: Baroness Altmann (Non-affiliated - Life peer)
Question to the Department for Work and Pensions:
To ask His Majesty's Government how many claims for Pension Credit have been waiting for more than (1) two, (2) three, (3) four, (4) five, and (5) six, months for approval; and what percentage of applications this comprises.
Answered by Baroness Stedman-Scott - Opposition Whip (Lords)
This information is only available at disproportionate cost to The Department for Work & Pensions as the Department does not have a business requirement for this information to be retained.
Asked by: Baroness Altmann (Non-affiliated - Life peer)
Question to the Department for Work and Pensions:
To ask His Majesty's Government how much the threshold for (1) income support, (2) income-based Jobseeker's Allowance, (3) income-related Employment and Support Allowance, (4) housing benefit, (5) child tax credits, and (6) pension credits, has increased (a) in line with inflation, and (b) in monetary terms, each year since 1997.
Answered by Baroness Stedman-Scott - Opposition Whip (Lords)
For the benefits listed there are many different rates. The tables in the spreadsheet attached show a selection of illustrative examples for each benefit in both cash and real terms.
Child Tax Credits are administered by HMRC and are not a DWP responsibility. Rates are therefore not provided here.
Asked by: Baroness Altmann (Non-affiliated - Life peer)
Question to the Department for Work and Pensions:
To ask Her Majesty's Government how many people had appointments with the PensionWise helpline in each calendar quarter in (1) 2018, (2) 2019, (3) 2020, (4) 2021, and (5) 2022.
Answered by Baroness Stedman-Scott - Opposition Whip (Lords)
The information requested is available on the MoneyHelper pension take up data dashboard, where it is published quarterly by financial year. It is provided quarterly by calendar year below:
Calendar Year | QUARTER | Telephone Appts Attended | Face to Face Appts Attended | TOTAL |
2018 | Q2* | 6,087 | 15,717 | 21,804 |
2018 | Q3 | 7,035 | 17,085 | 24,120 |
2018 | Q4 | 7,955 | 17,791 | 25,746 |
2019 | Q1 | 9,432 | 20,641 | 30,073 |
2019 | Q2 | 11,344 | 21,038 | 32,382 |
2019 | Q3 | 13,051 | 21,363 | 34,414 |
2019 | Q4 | 12,385 | 17,437 | 29,822 |
2020 | Q1 | 13,477 | 21,581 | 35,058 |
2020 | Q2 | 23,821 | 0 | 23,821 |
2020 | Q3 | 27,363 | 0 | 27,363 |
2020 | Q4 | 27,058 | 1 | 27,059 |
2021 | Q1 | 34,783 | 1 | 34,784 |
2021 | Q2 | 32,727 | 0 | 32,727 |
2021 | Q3 | 29,061 | 0 | 29,061 |
2021 | Q4 | 21,270 | 0 | 21,270 |
2022 | Q1 | 31,620 | 0 | 31,620 |
*Q1 data from 2018 is not available
Asked by: Baroness Altmann (Non-affiliated - Life peer)
Question to the Department for Work and Pensions:
To ask Her Majesty's Government what data is (1) collected, and (2) published, relating to trust-based pension (a) Defined Contribution schemes, or (b) MasterTrust schemes, in any year since 2015, to show how many people have accessed their pension funds; and whether they purchased an (i) annuity, (ii) income drawdown, (iii) uncrystallised pension fund lump sum, or (iv) withdrew funds in full.
Answered by Baroness Stedman-Scott - Opposition Whip (Lords)
Her Majesty’s Revenue and Customs (HMRC) publish data on their website, based on what is reported to them, on the number of flexible payments made from pensions, the number of individuals who have received these flexible payments and the total value of all flexible payments. As this includes all flexible pension payments, the data represents a proportion of payments made from trust-based Defined Contribution (DC) schemes as well as contract-based schemes. As of December 2021, 1.9 million individuals have taken 16.0 million flexible payments from their DC pensions since the introduction of Pension Freedoms in 2015.
The Pensions Regulator (TPR) publishes data on their website from trust-based DC schemes on an annual basis. This publication provides a high-level snapshot of the current landscape of occupational DC trust-based pension provision in the UK, including information on the number, memberships, and assets of schemes. The most recent publication is TPR’s 12th edition, DC Trust: scheme return data 2021 to 2022, which includes data captured since 2015.
Included in this, they report the number of members for whom each scheme is directly providing (self-annuitisation) or facilitating (lifetime annuities) annuity payments. At the end of 2021, there were 1,000 memberships receiving lifetime annuities, excluding hybrid schemes (which have a mixture of guarantees and investments), and less than 1000 memberships receiving self-annuitisations, also excluding hybrid schemes. Number of memberships, or number of pension pots, does not equate to number of individuals, as many people are members of more than one pension scheme.
The data in this publication from TPR does not capture all pensioner members, as some members will have retired but transferred out of their scheme.
Members who transfer out of a trust-based DC scheme and access their pension savings via a contract-based provider will be included in the data collected by the Financial Conduct Authority (FCA) and published in their Retirement Income Market Data. However, data is not currently collected on volumes of members that transfer out of trust-based DC schemes with the intention of accessing their savings. The FCA data shows that from October 2015- March 2021, over 3.3 million DC pots have been accessed in the contract-based market. This data is presented in Table 1 and can be found on the FCA webpage: Retirement income market data 2020/21. This data is also provided broken down by year in Annex A.
Table 1: Volumes and proportion of retirement income products, October 2015- March 2021 (FCA Retirement Income Data) | ||
Product | Total volume | Proportion of all pots accessed |
Annuities purchased in period | 390,697 | 12% |
New drawdown policies entered and not fully withdrawn in period | 993,033 | 30% |
Pots where first partial UFPLS payment taken and not fully withdrawn in period | 130,247 | 4% |
Full cash withdrawals from pots being accessed for first time in period | 1,831,982 | 55% |
Total pots accessed for the first time | 3,345,960 | 100% |
*Volumes prior to April 2018 were drawn from a representative sample of firms. The FCA started collecting data from all regulated firms providing retirement income products from 1 April 2018.
Asked by: Baroness Altmann (Non-affiliated - Life peer)
Question to the Department for Work and Pensions:
To ask Her Majesty's Government how many people (1) have booked, or (2) had appointments, in each calendar quarter of (a) 2021, and (b) 2022, with (i) the MoneyHelper Pension helpline, (ii) the PensionWise/MoneyHelper Pensions on divorce helpline, (iii) the PensionWise/MoneyHelper Pension safeguarding helpline, and (iv) the PensionWise/MoneyHelper mid-life pension helpline.
Answered by Baroness Stedman-Scott - Opposition Whip (Lords)
The information requested is available on the MoneyHelper pension take up data dashboard, where it is published quarterly by financial year. It is provided quarterly by calendar year below:
2021 | MoneyHelper Pensions Helpline* | MoneyHelper Pensions Virtual appointments** | Pension Wise appointments attended | Pension Wise appointments arranged |
Q1 | 71,522 | 125 | 34,784 | 45,376 |
Q2 | 56,089 | 93 | 32,727 | 45,221 |
Q3 | 39,166 | 113 | 29,061 | 38,344 |
Q4 | 36,465 | 107 | 21,270 | 27,620 |
2021 Total | 203,242 | 438 | 117,842 | 156,561 |
*The Pensions Helpline is a general pensions guidance service that anyone can contact with any pensions query – this service does not require appointments booked and is delivered across multiple channels. As such, this data includes the following:
**MoneyHelper Pensions virtual appointments cover Divorce appointments, Mid-Life Pensions Review appointments for the self-employed, and Pension Loss appointments. Data on Pensions Safeguarding appointments has not yet been published.
2022 | MoneyHelper Pension helpline* | MoneyHelper Pensions Virtual appointments** | Pension Wise appointments attended | Pension Wise appointments arranged |
Q1 | 52,779 | 93 | 31,620 | 41,624 |
*The Pensions Helpline is a general pensions guidance service that anyone can contact with any pensions query – this service does not require appointments booked and is delivered across multiple channels. As such, this data includes the following:
**MoneyHelper Pensions virtual appointments cover Divorce appointments, Mid-Life Pensions Review appointments for the self-employed, and Pension Loss appointments. Data on Pensions Safeguarding appointments has not yet been published.