Concessionary Television Licences for Old Age Pensioners (Hansard, 19 April 1983)

§ Mr. Allen McKay (Penistone)

I beg to move, That leave be given to bring in a Bill to provide for concessionary television licences for old age pensioners. I very much regret the delay caused by the attitude of the alliance, which could delay what could be a very important Bill for about 9 million pensioners.

On 26 October 1982, I asked leave of the House to bring in a Bill to provide for concessionary television licences for old-age pensioners, on which the House divided, and which was accepted by the House by 187 votes to nil. Lack of parliamentary time prevented the Bill from going any further. I ask again that leave be given to bring in a similar Bill in order to reinforce the will of the House as indicated by that majority. It is time that the Government accepted the necessity of granting a concessionary television licence to all old-age pensioners. At the same time, this would give a chance for us to examine the possibility of extending the concession still further to cover disabled, handicapped and other disadvantaged groups.

As the House knows, the Wireless Telegraphy (Broadcast Licence Charges and Exemption) Regulations 1970, as extended by my right hon. Friend the Member for Leeds, South (Mr. Rees) when he was Home Secretary, provided a welcome relief from this licence burden for about half a million senior citizens, for whom television is a necessity of life. For them, particularly if they are in rural areas, television provides entertainment, companionship and a sense of security and keeps them informed of local and national happenings, because many of them do not have sufficient income to buy newspapers.

The existing scheme of concessionary television licences is unfair to the majority of old people, particularly those in isolated places and those isolated within the community. It is causing animosity and bitterness among pensioners themselves.

We need an equitable system of concessionary licensing for all persons of pension age, irrespective of the type of dwelling in which they live. The present scheme does not take account of the fact that a large number of people who, by reason of their accommodation only, do not come within the scheme, are living in circumstances that are little different from those of people who are eligible under the scheme. Therefore we have half a million people who receive the 5p licence and 4.5 million households which do not. Some are in public sector accommodation, but most are in privately owned or private rented accommodation. Clearly, that is a situation which cannot be tolerated.

This has been a matter of great concern for years to many right hon. and hon. Members and it is a problem which is of concern to many old-age pensioners' organisations. I am sure that, like me, many hon. Members receive every week letters from constituents complaining about the inequality of the system.

Since I last presented a Bill on concessionary licences, two more things have occurred that make it even more essential that the situation should be discussed.

174 On 23 February 1983, the right hon. Gentleman the Home Secretary, in answer to a written question announced—and I believe this was under pressure not only from the Bill but from my hon. Friend the Member for Bolsover (Mr. Skinner)—that he had concluded that it is particularly anomalous that physically disabled and mentally disordered residents of homes run by local authorities or voluntary or private organisations should receive different treatment from old persons resident in similar homes provided for under the same legislation … Similarly, I intend that physically disabled and mentally disordered people resident in those categories of sheltered housing in which old persons at present receive the concession should also benefit."—[Official Report, 23 February 1983; Vol. 37, c. 439.] In addition to that, Sheffield metropolitan council, by exploiting a loophole within the law, will provide concessionary television licences to a further 8,000 people. I think that the council deserves great credit for that, as do other councils which are taking on their shoulders something that the Government should take on theirs. Sheffield is to employ wardens to make four visits a year to the pensioners, who will then qualify for the concessionary licences.

I shall not waste the House's time by describing yet again all the other anomalies that arise. To extend the present scheme in addition to protecting existing recipients would cost about £250 million. That sum could be raised by increasing VAT by 0.4 per cent. or the basic rate of income tax by one third of 1p. If the House really wants to get rid of the anomalies, while we are talking about abolishing the road fund tax and increasing the price of petrol we could get rid of television licensing altogether at a cost of £670 million—equivalent to a 1 per cent. increase in VAT or a 0.7 per cent. increase in income tax.

There is no doubt that the right approach would be to create and sustain adequate total pensions, supplementary benefit and other income maintenance. The House has expressed the wish many times that people should be able to make their own choices. Until that happy day comes, however, we need a fair and equitable system of concessions. I am pleased that the Labour party has committed itself to phasing out television licence charges to pensioners and other beneficiaries within the lifetime of the next Labour Government. My Bill, however, provides the present Government with an opportunity to examine all the anomalies, to consider means of financing and to bring in a new and fairer scheme.