§ 30. Mr. Armstrongasked the Minister of Pensions and National Insurance if she will exempt students over 18 years of age 670 in full-time education from liability for National Insurance contributions; and whether she will make a statement.
§ The Joint Parliamentary Secretary to the Ministry of Pensions and National Insurance (Mr. Norman Pentland)These students are not required to pay contributions, except when they work for an employer.
§ Mr. ArmstrongWill my hon. Friend consider crediting these students with insurance contributions, as it bears very hardly on them when they start work at 24 or 25 and they have either to accept lower National Insurance benefits, or pay instalments, at a time when all their income is required to make ends meet?
§ Mr. PentlandI am aware of certain difficulties facing students, but when considering their position we must also consider other sections of the population. Ordinary school-leavers are not eligible for benefits until they have paid sufficient qualifying contributions. Spinsters who have stayed at home looking after aged parents, persons who have been abroad, persons who have been excused liability because of their low incomes, discharged prisoners, and so on, are in a similar position. This is one of the consequences of a contributory scheme with contribution conditions for everybody.
§ Mr. TinnWill my hon. Friend consult his right hon. Friend the Secretary of State for Education and Science with a view to providing that when next students' grants are increased contributions are deducted automatically? This would meet the point raised by my hon. Friend, and would also ensure that the insurance benefits of students were protected.
§ Mr. PentlandThis is a question which must be placed directly before my right hon. Friend the Secretary of State for Education and Science.
§ Mr. TileyWould not it be a good idea if, now that these contributions are growing, and have done under both Governments, and that what we are paying at 18 is entirely irrelevant to the situation at 65, we could arrive at some formal amount to achieve membership without the amount being subject to these various increases?
§ Mr. PentlandAs the hon. Gentleman probably knows, and as his right hon. Friend knows, the National Insurance Advisory Committee has considered the position of students on three occasions in the past, and the present regulations are in accordance with the Committee's recommendations.
§ 35. Mr. Ioan L. Evansasked the Minister of Pensions and National Insurance what representations she has received from university student organisations about their liability for National Insurance contributions; and what replies she has sent.
§ Mr. PentlandRepresentations have been received from the National Union of Students and the Scottish Union of Students that students should be credited with contributions during their period of further education or be allowed to pay a reduced rate of contribution. They have been told that concessions additional to those already made cannot be justified.
§ Mr. EvansIn view of the fact that the Government are investigating the future of social security, and that we can soon expect a new Bill dealing with National Insurance, will my hon. Friend look at this again and see what can be done in the matter?
§ Mr. PentlandIt will be looked at, but I can tell my hon. Friend that my Department has co-operated with the students' unions in the preparation of a guide, which will shortly be issued, which will explain what students can get and what they cannot get now.