HC Deb 01 March 1961 vol 635 c1572
24. Vice-Admiral Hughes Hallett

asked the Civil Lord of the Admiralty what decision has been taken with regard to participation by personnel of the Royal Navy in the National Insurance graduated pensions scheme.

Mr. C. Ian Orr-Ewing

We informed the Registrar of Non-Participating Employments that we elect to contract out those officers and ratings who will qualify for retired pay or pensions. All other Royal Navy personnel will participate in the scheme.

Vice-Admiral Hughes Hallett

What will be the position with regard to those officers and men who leave the Service, for one reason or another, before they have become eligible for naval pension?

Mr. Orr-Ewing

My hon. and gallant Friend is presumably referring to the possibility of transferring rights for those who contracted out of the scheme. There are three different ways of undertaking this. First, it could be done by way of a frozen pension, in which case the man would not get his pension until he was 65; secondly, by way of transfer of rights to another contracted-out scheme; and lastly, by a payment in lieu into the National Insurance Fund. We intend to use this last method.