§ 39. Mr. Lipsonasked the Minister of National Insurance what the cost would be to the State of admitting married women engaged only in household duties as contributors to the National Insurance Scheme in the non-gainfully employed class, so as to enable them to qualify in their own right for a pension at 60; and will he agree to make this provision.
§ The Parliamentary Secretary to the Ministry of National Insurance (Mr. Steele)There are about eight million uninsured married women under age 60 who are engaged solely on household duties. It is assumed that about half of these would elect to pay contributions in the non-employed class if they were given the option, that most of those who so elected would be in the older age groups, and that those who were over age 50 at 1085 the date of entry into insurance would, like other new entrants over this age, have to contribute for ten years before becoming eligible for pension. On the basis of these assumptions, the additional cost of pensions would be about £60 million a year from 1958 to 1968, the annual cost falling gradually thereafter. The additional income accruing to the National Insurance Fund from contributions would be about £25 million a year from 1958 to 1968, falling rapidly thereafter. The capital value of the additional pensions would be of the order of £750 million, of which about £350 million would be met by contributions. The balance of £400 million would be a charge upon the Exchequer.
Married women will derive considerable benefits from their husbands' insurance and will have the opportunity to enter insurance if they become gainfully occupied for a substantial period. In these circumstances, my right hon. Friend does not consider that the heavy extra charge which would be entailed by the suggested option could be justified.
§ Mr. LipsonDoes not the Minister realise that the fact that four million women engaged in household duties would like to take advantage of this service is a very strong reason why he should give further consideration to the matter? Is it really fair to single out women in household duties for exemption from a scheme of National Insurance?
§ Mr. SteeleI can assure my hon. Friend that the Minister has given this matter very careful consideration, and if my hon. Friend will take an opportunity of studying the long reply which I have given, I am quite sure he will be convinced on the matter.