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Written Parliamentary Question 26th June 2007

Work and Pensions: Incapacity Benefit: Disposable Income

Q:To ask the Secretary of State for Work and Pensions what the median net disposable income of households receiving incapacity benefit was (a) before and (b) after housing costs were taken into account in the latest period for which figures are available.


A:Latest available data show that the median net (disposable) weekly income of households receiving incapacity benefit is £302 before housing costs and £260 after housing costs.

Notes

1. The source of the information provided is the Family Resources Survey (FRS), United Kingdom 2005-06. The Survey is a nationally representative sample of approximately 28,000 households.

2. Data for 2005-06 was collected between April 2005 and March 2006.

3. The estimates are based on sample counts that have been adjusted for non-response using multi-purpose grossing factors which align the FRS to Government Office Region populations by age and gender. Estimates are subject to sampling error and remaining non-response error.

4. Incapacity benefit receipt is under-reported on the FRS. However, there is no other reliable source for this information at a household level.

5. Figures for the median net weekly income are rounded to the nearest pound.

6. Net (disposable) weekly income includes income from all sources for all adults and children in the household, less income tax and national insurance contributions (for adults).

7. Housing costs include household rent for rented accommodation or mortgage interest for those buying their home with a mortgage, plus water and sewerage charges (including council tax water charge in Scotland), plus premiums paid on structural insurance, plus charges for owner occupiers (ground rent, service charges etc.)
Anne McGuire (Parliamentary Under-Secretary, Department for Work and Pensions)

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