HC Deb 12 June 1968 vol 766 c225
24. Rear-Admiral Morgan Giles

asked the Secretary of State for Defence when he expects to complete his review of local overseas; allowances.

Mr. Reynolds

I hope to complete the current review of local overseas allowances for those overseas areas that did not devalue in line with the United Kingdom last November by the end of February, 1969.

Rear-Admiral Morgan Giles

Is the right hon. Gentleman aware that many men and women serving overseas feel that they have been at a disadvantage, particularly in B.A.O.R., since devaluation? Why does this process take so long?

Mr. Reynolds

I am aware of that point. This sort of review usually takes five years, but we are doing it in less than 12 months.

Mr. Wall

Is it not the case that the spending power of forces' pay has been cut by 9 to 10 per cent. by devaluation? When will the Government put that right?

Mr. Reynolds

The devaluation aspect was dealt with earlier this year. I am now dealing with overseas allowances, which are designed to ensure that our Service men overseas have living standards similar to those at home. One must take into account not only devaluation but changes in standards in the United Kingdom as well.