To ask Her Majesty's Government what benefits and public sector pension rates are normally governed by September's RPI figure; what is the estimated cost in 2010–11 of increasing old age pensions by 2.5 per cent and not taking account of the deflationary figure of -1.4 per cent in September 2009's RPI rate; and what rate increases or decreases will apply to other benefits and public sector pensions governed by September's RPI figure. [HL5803]

I refer the noble Lord to my Answers of 5 May 2009 (WA 105) to Parliamentary Question HL2814 and of 1 June 2009 (WA 08) to Parliamentary Question HL3626.

The benefits and pensions ordinarily uprated by September's retail price index are:

basic state pension, and rates of widow's and bereavement benefits linked to the rate of basic state pension;

additional pensions, also known as SERPS or S2P;

increments: for the deferment of state pension and guaranteed minimum pensions;

attendance allowance;

carer's allowance;

disability living allowance;

maternity allowance;

industrial injuries disablement benefit;

benefits under the Workmen's Compensation Act and the Pneumoconiosis, Byssinosis, and Miscellaneous Diseases Scheme;

industrial death benefit;

widows/bereavement benefits rates are linked to the basic state pension rate; and

statutory payments for maternity, paternity, adoption and sick pay.

Income-related benefits, such as income support, are usually uprated in line with the September Rossi index, which is the retail prices index excluding rent, mortgage interest payments, council tax and depreciation costs. Since April 2009, incapacity benefit has been uprated in line with the September Rossi index.

Public sector pensions are increased in accordance with Section 59 of the Social Security Pensions Act 1975 and I refer the noble Lord to my noble friend Lord Patel of Bradford's Answer of 3 March 2009 (WA 141) to Parliamentary Questions HL918 and HL1108.

In the 2009 Budget, the Chancellor reaffirmed the Government's commitment to increasing basic state pension, and by extension widow's benefit and bereavement benefit, in April 2010 by at least 2.5 per cent even if, as expected, retail price inflation was below zero. Uprating basic state pension by 2.5 per cent in April 2010 will deliver an increase worth around £1 billion to pensioners over the course of the year. The current legislation does not allow for benefits and pensions to be reduced in the event of negative inflation so no calculations on benefit and pension reductions have been made.

The Government will inform Parliament of proposed benefit levels and tax thresholds for 2010-11 at the Pre-Budget Report.

To ask Her Majesty's Government how many public sector and private sector final-salary pension schemes were in existence over the past three years; what were their respective total memberships; and how many private sector schemes are no longer open to new members. [HL6155]

Such information as is available is presented in the following tables:

Source: Occupational Pension Schemes Survey

Notes:

1) Defined benefit includes hybrid schemes

2) The 2005 survey did not cover the public sector

3) Private sector scheme numbers relate to pension schemes with only one section.

4) Figures for 2004 and 2005 exclude schemes that were winding up.

5) Changes to the methodology for 2006 onwards mean that comparisons with 2005 and earlier years should be treated with caution.

In 2007, 8,740 private sector defined benefit occupational schemes were no longer open to new members (6,250 closed schemes, 1,760 frozen schemes and 730 schemes that were winding up).

The 2008 occupational pension schemes annual report published by the Office for National Statistics (ONS) did not include information on scheme numbers because it considered that the survey design was not sufficient to produce robust estimates of scheme numbers. The survey continues to provide robust estimates of scheme memberships:

Source: Occupational Pension Schemes Survey

Notes:

1) Defined benefit includes hybrid schemes

2) The 2005 survey did not cover the public sector

3) Figures for 2004 and 2005 exclude schemes that were winding up.

4) Changes to the methodology for 2006 onwards mean that comparisons with 2005 and earlier years should be treated with caution.

5) Changes to the part of the questionnaire used to estimate pensions in payment and preserved pension entitlements in 2008 mean that comparisons with 2007 and earlier years should be treated with caution