HC Deb 25 October 1971 vol 823 cc1210-1
10. Mr. Palmer

asked the Secretary of State for Trade and Industry if he will order an inquiry into the circumstances under which the superannuation funds of the electricity boards and the Electricity Council were invested in a company, the name of which has been sent to him, which has subsequently suffered considerable losses and has been reconstituted.

Sir J. Eden

No, Sir. Under the schemes' rules funds may be invested by the Committee of the Superannuation Schemes in defined categories of investments. The investment in the company concerned fell within the limitations imposed.

Mr. Palmer

Is not the hon. Gentleman aware that the placing by a nationalised industry of pension funds belonging partly to contributors in Spey Investments has caused a great deal of alarm among members of the staff pension fund in the electricity supply industry, and does not this merit an investigation by the Minister?

Sir J. Eden

Under the rules of the pension schemes, funds are invested at the discretion of the management committees in authorised securities. These rules define authorised securities only in broad categories. No attempt is made to stipulate investment in particular companies, and I have no evidence which would justify an investigation such as the hon. Gentleman suggests.

Dame Irene Ward

Will my hon. Friend tell me whether the Central Electricity Generating Board has paid the last round of increases to its superannuitants, since British Railways have not? Will my hon. Friend make an inquiry and let me know, because I mind terribly about these superannuitants in nationalised industries getting their increases?

Sir J. Eden

That is another question, but I have noted that my hon. Friend has put it.