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<p /> <p /> <p>The Department for Work and Pensions administers the national insurance
pension scheme (State Retirement Pension) and fully recovers its administrative costs
from the National Insurance Fund operated by Her Majesty's Revenue and Customs (HMRC).
The net cost to the Department of administering the national insurance pension scheme
is therefore zero.</p><p>At the start of each financial year, costs are calculated
on the basis of latest workload forecasts and the most recent audited unit costs.
The amount to be recovered is then agreed with HMRC.</p><p>Costs recovered from the
National Insurance Fund in relation to administration costs for the national insurance
pension scheme were as follows:</p><p> </p><p>Year Amount</p><p>£ millions</p><p>2007-08
504.5</p><p>2008-09 391.9</p><p>2009-10 390.3</p><p>2010-11 348.6</p><p>2011-12 221.6</p><p>2012-13
252.6</p><p>2013-14 246.9</p><p>2014-15 209.9</p><p> </p><p>Prior to 2007 the charge
was not calculated on a benefit by benefit basis and therefore we do not hold any
details of costs recovered from the National Insurance Fund relating specifically
to the national insurance pension scheme.</p>
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