§ 8. Mr. Wallasked the Minister of Overseas Development what effect devaluation will have on the pensions of British ex-colonial civil servants where the country that employed them has not devalued in relation to sterling.
§ Mr. OramSome overseas countries have decided to pay pensioners resident outside the country at the new exchange rates, some have decided to pay them in sterling at the old exchange rates and others are continuing to make payments at the old exchange rate but have not yet indicated that they have taken a formal decision. I will circulate a list of the overseas countries in each category in the OFFICIAL REPORT.
§ Mr. WallCould the Minister say a word about this to try to redress the various anomalies he has stated, and would he agree that this is a matter of considerable concern to many thousands of British pensioners living either in this country or in overseas territories?
§ Mr. OramI agree that this is a matter of considerable concern to many people, but entitlement does depend on the local law in each particular country, and we are making our approaches to each country to try to clear the matter up. I will let the hon. Gentleman know the outcome.
§ Mr. TilneySince many developing countries in the Commonwealth dislike carrying in their own budgets the cost of pensions to our overseas civil servants, is it not time that the Minister looked very carefully as to whether it would not be very much better to take over these obligations and reduce aid accordingly?
§ Following is the information:
§ Overseas countries which have decided to continue to pay pensions in terms of local currency at current rates of exchange:
- Botswana.
- Brunei.
- Fiji.*
- Hong Kong.*
- Malaysia (but not Sabah or Sarawak).
- Swaziland.
- Zambia.
§ Overseas countries which have decided to pay pensions in sterling at the old rates of exchange:
- East African Community.
- Kenya.
- Singapore.
- Uganda.
- Tanzania (including Zanzibar).
§ Overseas countries which are continuing to pay pensions in sterling at the old rates of exchange but have not indicated that they have taken a formal decision about the effects of sterling devaluation on pensions:
- Bahamas.
- British Solomon Islands Protectorate. Ghana.
- Gilbert and Ellice Islands.
- Lesotho.
- New Hebrides.
- Nigeria.
- Sabah.
- Sarawak.
- Tonga.
- Virgin Islands.
§ * Overseas countries which have devalued to a lesser extent than sterling.