HC Deb 19 May 1958 vol 588 cc884-6
38. Mr. Lewis

asked the Minister of Pensions and National Insurance how many weekly assistance grants towards rent payment were made at a given date towards the end of April in the years 1957 and 1958 respectively; and what were the average rates of financial grants made on each of these dates.

The Minister of Pensions and National Insurance (Mr. John Boyd-Carpenter)

The National Assistance Board estimates that the number of householders receiving weekly assistance grants whose grants took account of rent or similar outgoings and rates was about 1,280,000 at 30th April, 1957, and about 1,230,000 at 29th April, 1958. It is not possible to say how much of the assistance granted is attributable to rent as the grant paid, after taking all the needs and resources of the applicant into account, is often less than the rent.

Mr. Lewis

While appreciating that no doubt these people are justly entitled to this assistance, may I ask the right hon. Gentleman whether it is not a fact that because of the Rent Act the Government are directly financing inflation by these grants to the tenants since the grants are going straight into the pockets of the landlords? If they are doing it that way, why are they against giving some assistance for the bus men?

Mr. Boyd-Carpenter

I think the hon. Member is anticipating the supplementary question he no doubt intended to ask on his next Question. The Answer I have just read indicated that the total number of these grants in which rent was taken into account had fallen over the year.

Mr. Lewis

It is the Minister who is, as usual, under a misapprehension. Will he now answer the supplementary question I put to him? Are not the Government financing inflation by forcing up rents and then paying out of the National Insurance Fund National Assistance which goes straight into the pockets of the landlords?

Mr. Boyd-Carpenter

I have rarely heard so much misunderstanding concentrated into so short a space.

39. Mr. Lewis

asked the Minister of Pensions and National Insurance, in view of the fact that up to 29th March 277,000 weekly assistance grants had been increased by an average of 5s. 3d. to provide for rent increases under the Rent Act, 1957, what were the relative figures at the end of April, 1958.

Mr. Boyd-Carpenter

I am informed by the National Assistance Board that the figure in respect of rent increases under the Rent Act as at 26th April was about 290,000 with an average of approximately 6s. 6d. The figure of 290,000 is the cumulative total of assistance grants increased since the date when such rent increases were first permitted and does not take account of persons going off or coming on assistance.

Mr. Lewis

Can the Minister give us the reasons why there has been that increase and why the figure has gone up by 5s. 3d. to 6s. 6d.?

Mr. Boyd-Carpenter

Because we have thought it our duty to take care to protect people on National Assistance.

Mr. Lewis

From the Rent Act.