HC Deb 28 October 1947 vol 443 cc688-9
42. Mr. Peter Freeman

asked the Minister of National Insurance whether he is aware of the anomaly by which a person earning more than 10s. 6d. a week when in receipt of a supplementary pension loses part of it; and whether, as this prevents a large number of people who would otherwise engage in industry from doing so, and, in view of the serious shortage of labour, he will consider its amendment.

The Minister of National Insurance (Mr. James Griffiths)

Supplementary pensions can be paid only to those who can establish need for them and it would be contrary to this basic requirement to disregard the whole of a pensioner's earnings. The statutory Regulations provide that the first 1os. 6d. a week of such earnings shall be disregarded. A pensioner who takes up employment must, therefore, always be better off to this extent at least. I would add that two-thirds of supplementary pensioners are 70 years old or over and a high proportion are infirm.

43. Mr. Shephard

asked the Minister of National Insurance if, in view of the urgency of encouraging as many people to work as possible, he will consider waiving the present restriction on Old Age Pensioners whereby they are prejudiced in their pension rights if they accept other than casual work.

Mr. J. Griffiths

I would refer the hon. Member to the reply which I gave on this subject to the hon. Member for North Dorset (Mr. Byers) on 12th August, of which I am sending him a copy.

Mr. Shephard

Is the Minister aware that by his discrimination he is discouraging people from working? Surely at a time like this we want all the available labour that is possible. Is it not time that he reconsidered his decision?

Mr. Griffiths

The new pensions scheme is designed to allow people to stay at work, and indeed to increase their income by so doing. During the three months July, August and September, of those who reached pensionable age, 69 per cent. of the men and 59 per cent. of the women declared their intention to stay at work.

Mr. Baldwin

Does not the Minister think that the old age pension should be doubled?

Mr. Griffiths

We discussed these matters very fully. We have designed the scheme to protect pensioners against reduction of wages by mean employers.