17. Mrs. Slaterasked the Minister of Pensions and National Insurance by how much, in total, the pensions of widows were reduced last year by the application of the earnings rule.
§ 21. Mrs. Braddockasked the Minister of Pensions and National Insurance how much in total was withheld from the allowances due to widowed mothers during 1961 by application of the earnings rule.
§ Mr. N. MacphersonAbout £7 million, of which about £2 million relate to widowed mother's allowance.
Mrs. SlaterWould the right hon. Gentleman look at this in the light of the hardship which the earnings rule causes to folks who most need its abolition? In view of the situation of these people, particularly widowed mothers, would it not be a charitable gesture on the part of the Government at least to review the whole situation and revise the legislation so that these people could have some justice done to them?
§ Mr. MacphersonI am not certain that I agree with the hon. Lady that this would benefit folks who need it most. The National Insurance Advisory Committee has said that it would prefer to see any additional benefit for widowed mothers going to increasing the basic allowance for the mother and her children rather than to the abolition of the rule.
§ Mrs. BraddockIs the Minister aware that this matter is causing great concern in the country? I was at three of the recent by-elections and this matter was mentioned to me by many people when I was on their doorsteps. Is it not time that this matter was looked into, instead of the Government saving out of the difficulties which these widowed mothers are in?
§ Mr. MacphersonI do not think that that is whit is being done. After all, the whole concept of the National Insurance scheme is that benefits are provided for people whose earnings are interrupted or have ceased. It is consistent with that that there should be an earnings rule for widows and widowed mothers.
§ Mr. RossWhy has the Minister changed his mind about this? When he was a back bencher he said that a million or two did not matter so long as it gave justice to widows and widowed mothers. Now he has his chance. When is he going to take it?
§ Mr. MacphersonPerhaps I have learned wisdom and a good many things since then.
§ 20. Mrs. Braddockasked the Minister of Pensions and National Insurance by how much the present earnings limit for 922 widowed mothers would have to be raised to make up for the loss in the value of the £ sterling between the date of the announcement of the last change and 19th June, 1962.
§ Mr. N. MacphersonOn the basis of the Retail Prices Index, 9s. 9d.
§ Mrs. BraddockIs not that ample justification for raising the earnings rule limit for women? There does not seem to be an argument against it. Will the Minister see if it is possible to increase the earnings limit in order to give to these widows the amount that they were receiving previously?
§ Mr. MacphersonAs I have already said, this is a matter that we are keeping under close review. I would, however, point out that the hon. Lady has chosen rather selective figures, because 19th June was when the highest point was reached in the Retail Prices Index.