HC Deb 20 April 1953 vol 514 cc616-8
2. Mr. Gower

asked the Minister of National Insurance the estimated annual cost to his Department of increasing old-age pensions by 5s. per week and 10s. per week, respectively.

Mr. Peake

To increase National Insurance retirement pensions by 5s. and 10s. a week would cost an extra £56 million and £112 million a year respectively, rising to about double these amounts in 25 years' time.

Mr. Gower

Are those figures calculated on the assumption that all pensions are increased by these amounts?

Mr. Peake

The assumption is that retirement pensions are increased by the flat rate amounts suggested in my hon. Friend's Question.

3. Mr. Gower

asked the Minister of National Insurance the estimated annual cost to his Department of increasing the pensions of widows, now in receipt of only 10s. per week, by £1 per week.

Mr. Peake

The extra cost to the National Insurance Fund would at present be about £11½ million a year.

Mr. Gower

Will my right hon. Friend consider the peculiar needs of these people, who are often of such a type that they have too much pride to apply for National Assistance? Will he do everything possible for this class of the community?

Mr. Peake

I think it has often been explained in the House, and from both sides, that it really would not be sensible to increase pensions to a class of person who is not entitled at all under the new scheme which was introduced in 1948.

Mr. Wade

Is the Minister not aware that among those in receipt of the 10s. a week pension there is a widespread feeling of injustice? The fact that increases in other pensions have been justified by the increased cost of living makes it difficult for these pensioners receiving 10s. a week to understand why they receive no increase.

Mr. Peake

If the hon. Gentleman gave these pensioners the explanation which I have often furnished, and which was furnished on behalf of the Socialist Government by the right hon. Lady the Member for Fulham, West (Dr. Summerskill), they would better appreciate why they are not entitled to an increase of pension.

Mr. Shurmer

Is the right hon. Gentleman aware that there is grave discontent at the number of widows who are receiving 10s. a week, some of whom live next door to others who are receiving the full pension? Is there any possibility of reconsidering this matter and putting all widows on to the same basis?

Mr. Peake

No, Sir. I do not see any possibility of this Question being reopened.

Mr. Beswick

Does the right hon. Gentleman agree that this category of persons is more deserving than some of the others to whom his right hon. Friend the Chancellor of the Exchequer has been making concessions?

Mr. Peake

Nearly all of these widows are in employment, are contributing to the scheme and will get their larger pensions on attaining the age of 60. Actually, a much smaller proportion of these widows are on National Assistance than are on National Assistance in supplementation of the old age pension.