§ 16. Dr. Alan Glyn
asked the Chancellor of the Exchequer what estimate has been made of the loss of revenue if retirement pensioners, over the age of 961 70, received their pension without deduction of tax, irrespective of other sources of income which they may have.
§ Mr. Green
National Insurance retirement pensions are paid in full without deduction of tax, but they must be taken into account as part of the recipient's income in computing his tax liability, if any. The cost of exempting such pensions paid to people over 70 who have other income might be about £10 million a year.
§ Dr. Glyn
I thank my hon. Friend for that Answer. Would not he agree that some of these sums which have to be recovered from pensioners over 70 years of age are very small and that the administrative costs of collecting them are high? Will he ask his right hon. Friend tae Chancellor of the Exchequer to consider putting this measure in his Budget, although I realise that it is a departure from normal taxation principles?