HC Deb 04 February 1915 vol 69 cc186-7

Motion made, and Question proposed,

11. "That a Supplementary sum, not exceeding £21,000, be granted to His Majesty, to defray the Charge which will come in course of payment during the year ending on the 31st day of March 1915, for Superannuation, Compensation, Compassionate, and Additional Allowances, and Gratuities under sundry Statutes, for Compassionate Allowances and Gratuities awarded by the Treasury, and for the Salaries of Medical Referees."

Mr. ACLAND

This Estimate is a very difficult one to make, and it was especially difficult for many reasons to make with great exactness this year, because this year for the first time certain processes took place under the Superanuation Act of 1909 which had not previously taken place. That Act laid down a new scale and new regulations for the payment of superannuation and retiring allowances to certain classes of Civil servants. It indicated that those who were over sixty at the time the Act was passed could not be permitted to take advantage of the new scale. This is the first year in which people have been retired under that Act, and of their taking advantage of the regulations of the Act, and it was rather difficult in advance to anticipate the amount that would be required. Curiously enough there has also been lately a greater number of retirements of Civil servants who were well advanced in age than was expected. I do not know whether some of them broke down under the strain which has been placed on all Government departments by the War; but for whatever reason, or reasons, a greater number of retirements have taken place, and therefore a greater number of payments of retirement allowances has been incurred than was anticipated. The sum of £21,000 is not a very large one out of a total of £793,000, but I must confess that these allowances are not easy to anticipate with accuracy, and I ask the Committee to make good the sum which we require in excess of what was thought necessary.

Colonel YATE

May I ask the hon. Gentleman whether any steps have been taken to do away with the injustice suffered by Civil servants and others in the commutation of their pensions? On this question of superannuation and retiring allowances, perhaps the hon. Gentleman is not aware that officials commuting their pensions have to commute at the rate of 5 per cent., whereas the Government of India and other Governments commute the pensions at 3½ per cent. As the money is borrowed at 3½ per cent., this is an extra amount levied upon the officials. The Chancellor of the Exchequer acknowledged to me that a profit of £200,000 is being made out of the pockets of these unfortunate officials when they retire by virtue of this extra charge levied upon them by the State. Perhaps the hon. Gentleman may not be able to answer the question at once, but I would ask him kindly to inquire into it, and see what steps can be taken by the Treasury to do away with a serious injustice to Civil servants.

The CHAIRMAN

That is a matter of policy which can be raised on the main Estimates, and not on the Supplementary Vote.

Question put, and agreed to.