§ 22. Sir HENRY CAUTLEYasked the Minister of Health whether, in the case of small agricultural approved societies, he will approve of schemes providing for the application of a portion of the surpluses disclosed in the recent valuations in the payment of a portion of the now contributions to be required from persons insured under the National Health Acts by the Widows', Orphans', and Old Age Contributory Pensions Bill?
Mr. CHAMBERLAINOne of the additional benefits which may be provided by an approved society out of its surplus on valuation is the repayment of the whole or part of the health insurance contributions payable by the members of the society. I have already approved 588 several schemes in connection with the recent valuation embodying this additional benefit. By adopting the benefit in question a society could mitigate the extra burden which would fall on its members in respect of contributions under the Widows', Orphans' and Old Age Contributory Pensions Bill, thus achieving in effect the object which the hon. Member has in view.
§ Sir H. CAUTLEYI do not quite understand the reply of the right hon. Gentleman. Does that apply to the direct application of the surpluses to the new payments to be made under the Pensions Bill?
Mr. CHAMBERLAINNo, but it achieves just the same purpose. What I said the approved societies could do, was to apply the surplus to the repayment of the contributions made in respect to health insurance. That is the same thing?
§ Mr. RHYS DAVIESDo I understand definitely from the right hon. Gentleman that he does not intend that any of the surpluses of the approved societies shall be used for the purposes of the new Bill.
§ 23. Sir H. CAUTLEYasked the Minister of Health under what authority and for what reason he prohibits approved societies from distributing the surpluses; over and above the requisite reserves, disclosed by the recent valuations in extra cash benefits in excess of 5s. for sickness benefit; and whether, considering the difficulty in devising schemes for other benefits in the case of the small societies such as those in the Sussex County Association, he will allow all the surpluses, except requisite reserves, to be distributed in extra a cash benefits?
Mr. CHAMBERLAINIn accordance with a decision of the National Health Insurance Joint Committee, approved societies have been recommended in the interests of their members not to adopt extra cash benefits in excess of 5s. a week for sickness benefit unless they are also making reasonably adequate provision for treatment benefits. Schemes complying with the latter condition, and providing for an increase of over 5s. in sickness benefit, have already been sanctioned for several societies, including three that 589 are constituent societies of the Sussex County Association. It will be seen, therefore, that there has not been a general prohibition of the kind suggested in the question.
§ Sir H. CAUTLEYIs the right hon. Gentleman aware that in the Sussex district we have received information that we shall not be entitled to pay more than 5s. additional benefit, even though we have a considerabe amount in the society over and above the reserves required by the scheme?
Mr. CHAMBERLAINI have already told the hon. and learned Gentleman that, in the case of three of the constituent societies of Sussex, they have been permitted to pay cash benefits in excess of 5s.
§ Sir H. CAUTLEYI have information to the contrary.