HC Deb 18 July 1968 vol 768 cc1643-4
12. Mr. Fisher

asked the Minister of Overseas Development whether, in view of recent difficulties, Her Majesty's Government will now take over the payment of pensions or compensation to former overseas civil servants, which have hitherto been paid by the former Colonies in which they worked.

Mr. Prentice

No, Sir. As my hon. Friend the Parliamentary Secretary informed the House during the Second Reading of the Overseas Aid Bill on 1st July, I have carefully considered the matter but have not felt able to bring about any change of policy.—[Vol. 767, c. 1265.]

Mr. Fisher

In view of the fact that we shall have to give or lend the money anyway to enable our former Colonies to fulfil this obligation, would it not be better for Commonwealth relations to assume the direct responsibility for these payments to our own nationals, many of whom retired to Cheltenham and elsewhere long before the Colonies concerned became independent?

Mr. Prentice

I ask the hon. Member to recognise that the present Government inherited this system from their predecessors—

Mr. Fisher

I know that.

Mr. Prentice

I do not think it is an ideal system but, having studied all the likely effects of making this change, I had to take serious account of the fact that there would probably be a real reduction in the development finance. I believe it is adopting the lesser of two evils to continue the present system.

Mr. Whitaker

Will my right hon. Friend agree that every other ex-imperial country has not left the burden to its former possessions but taken it itself? Can we stop calling it aid as it is not development assistance?

Mr. Prentice

I agree that other countries have dealt with this matter differently. If we were starting afresh, probably we would deal with it differently. Most of the countries concerned meet their obligations and have an aid programme which fulfils many functions. If those programmes were reduced there would be a serious effect on those countries. I ask for that to be taken into account.

Mr. Wall

Would not the suggestion made by my hon. Friend the Member for Surbiton (Mr. Fisher) have the advantage of giving security to pensioners and removing the irritant that overseas Governments were asked to pay for services rendered during the colonial era? Could not the total amount be deducted from the aid programme so that we could balance our books?

Mr. Prentice

It could be done, and I agree that there would be advantages, but I think there would be disadvantages. In the rare cases where there has been difficulty for pensioners, Her Majesty's Government have taken care of them.

Mr. James Davidson

Are there any administrative reasons why pensions and compensation should be a first call on aid going to these countries in any case?

Mr. Prentice

The countries concerned in the main have met this obligation. Therefore the point put by the hon. Member does not arise.