HC Deb 04 May 1971 vol 816 cc1155-7
16. Mr. Dalyell

asked the Secretary of State for Social Services whether he is now able to state his policy towards an earnings-related pension scheme.

31. Mr. Kaufman

asked the Secretary of State for Social Services what further progress has been made since 1st April in the Government's consideration of the reconstruction of the national insurance scheme, particularly as regards the earnings rule for retirement pensioners.

Mr. Dean

I would refer the hon. Members to my right hon. Friend's reply to the hon. Member for Fife, West (Mr. William Hamilton) on 27th April.—[Vol. 816, c. 73.]

Mr. Dalyell

What is the delay?

Mr. Dean

There is no delay. The Government are pressing ahead with great speed with their plans, and they will be announced substantially earlier than was the case with the scheme of the hon. Gentleman's right hon. Friend.

Mr. Kaufman

Is the hon. Gentleman aware that letters I receive from my constituents urge upon me that the recent relaxation of the earnings rule on retirement pensions is tinkering with the problem, which can only be effectively solved by the abolition of the earnings rule? Can he assure us that the review announced by his right hon. Friend will include the abolition of the earnings rule for pensioners?

Mr. Dean

I must ask the hon. Gentleman to await the review. I am sorry he feels that an increase of no less than £2 in the earnings rule is mere tinkering with the problem. It is a substantial increase.

Sir B. Rhys Williams

Can my hon. Friend assure us that the plans will include clear provision for the protection of pension rights on change of employment?

Mr. Dean

I am glad to assure my hon. Friend of that. The Government are as keen on this matter as he is.

Mrs. Shirley Williams

Will not the hon. Gentleman go a stage further and assure the House that there will be transferability of pension rights, which has been the objective of all Governments?

Mr. Dean

We should like to see that done where it is possible. At present it is probably not possible to go further in legislation than to provide for preservation, but also to ensure that no bars are put in the way of transferability where that can be effected.