§ 52. Mr. SHEPHERDasked the Financial Secretary to the Treasury, seeing that one of the strict conditions governing the grant of commutation is that the pensioner must be certified to possess a normal expectation of life, why a pensioner aged 35 receives less than 14 years' purchase of the amount commuted while the normal expectation of life at that age is over 31 years?
§ The FINANCIAL SECRETARY to the TREASURY (Mr. Ronald McNeill)I think the hon. Member is overlooking the question of date of payment. If a pensioner commutes, he receives cash down now; if he does not commute but lives to a normal age, he may receive a larger sum but only in instalments spread over a very long period. It would obviously be impossible to pay a pensioner £100 present value now in respect of a claim he may have to receive £100 in 10, 20 or 30 years' time.
§ 54. Mr. SHEPHERDasked the Minister of Pensions if he has received representations from the Darlington, Auckland and District Area War Pensions Committee and other area committees protesting against the manner in which a man is informed that he cannot commute part of his pension because he cannot be certified to possess a normal expectation of life; whether he is aware that in certain cases the receipt of the notice has had a detrimental effect upon the pensioner; and if it is proposed to amend the formal answer sent to applicants in cases where commutation is refused owing to the state of health of the pensioner?
Lieut.-Colonel STANLEYMy right hon. Friend has received representations from the committee referred to, and has fully explained to them the reasons governing the Ministry's practice. Resolutions supporting the representations of the Darlington Committee have since been received from two other committees. My right hon. Friend has most carefully considered this question, but while greatly 208 regretting any distress which may be caused by an official communication of this nature, he does not consider it possible to refuse to explain to a pensioner the reasons laid down by the published statutory Regulations for rejecting an application for commutation which the pensioner is entitled to make, and after careful and sympathetic consideration, he has come to the conclusion that it is less likely to cause distress if the reason is given at the outset than if it is disclosed only under pressure.
§ Mr. SHEPHERDDoes not the right hon. and gallant Gentleman consider that to give the reply of the Ministry to the local committee and allow them to pass it on verbally and personally to the pensioner, would be a less brutal method than the one now adopted of sending a form.
Lieut.-Colonel STANLEYI do not think it would be. In the first place, it would inform all the other people of the particular state of the man's health, and, I am not sure whether we have any right whatever to inform other people of the state of the man's health.
§ Mr. SHEPHERDMay I press this matter. Will the right hon. and gallant Gentleman consider the possibility of someone on the War Pensions Committee who is a friend of the pensioner giving the information to the man first. There are many cases where a man has been seriously affected by receiving a blunt, formal notification.
Lieut.-Colonel STANLEYThis matter was considered long before it was raised by the Darlington War Pensions Committee and consideration was given to the question of whether there was any better way of dealing with it. After very sympathetic consideration, it was decided that this way was better than being forced to give information to the man which might have a worse effect upon him.