The Conservative government will table legislation on Tuesday to scrap old-age pension and Guaranteed Income Supplement payments to inmates aged 65 and older, CTV News has learned.

It's believed the changes would affect 400 inmates in federal prisons, and 600 more in provincial institutions, CTV's Ottawa Bureau Chief Robert Fife reported Monday night.

If the legislation passes, Conservatives say it would save $10 million each year.

The issue was raised in late May when it was revealed that convicted murderer Clifford Olson was receiving more than $1,100 per month in old-age benefits.

Olson, 70, is serving 11 consecutive life sentences for the brutal killings of 11 children.

In late May, Human Resources Minister Diane Finley was presented with a petition from the Canadian Taxpayers Federation demanding that the government stop paying Old Age Security and Guaranteed Income Supplement payments to prisoners.

It also calls for the government to "retroactively revoke" all payments given to such prisoners.

According to the Canadian Taxpayers Federation website, more than 46,000 people signed the petition before it was handed to Finley.