Concessionary Television Licences for Pensioners (Hansard, 9 June 1999)

§ Mr. David Winnick (Walsall, North)
I beg to move, That leave be given to bring in a Bill to extend the concessionary television licence entitlement to all pensioners living in households consisting only of pensioners; and for connected purposes. It is more than 12 years since my private Member's Bill that sought to extend television licence concessions to all pensioner-only households was defeated by 21 votes. That occurred on 16 January 1987. I was pleased that the majority of Labour Members of Parliament came to the House on a Friday to support that measure, which was defeated as a result of the then Tory Government's imposing a three-line Whip on a private Member's Bill. Several Cabinet Ministers were shown on television being chauffeured to the House of Commons to vote down my measure.

§ Mr. Bill O'Brien (Normanton)
Disgraceful.

§ Mr. Winnick
I could not agree more. The issue has certainly not gone away since then. I understand that the Department for Culture, Media and Sport receives more correspondence on this subject than on any other topic. I see the Minister nodding his head.
Several weeks ago, it was reported that the committee examining the future of BBC funding and the concessionary scheme had decided to recommend that all existing television licence concessions should go. Within hours of those press reports, the Government—I believe at the highest level—made it clear that any such recommendation would be rejected; and rightly so. I hope that Mr. Gavyn Davies and his committee—who are to report next month—will make a very different recommendation for pensioners.
I want to see the existing concession extended to all pension-only households. I believe that that is fair, and it is something for which I and many of my hon. Friends have campaigned for many years—even before I introduced my private Member's Bill in 1987. I accept that such a concession could probably be introduced only in stages because of the cost involved. While I would like to see the concession extended to all pensioner-only households—that is the purpose of my 10-minute rule Bill—I would welcome any compromise and progress towards its introduction on a wider scale. For example, the television licence fee could be halved for pensioners, it could be a third of its present cost or the concession could be granted to pensioners over 70 years of age. Those are some of the ways of achieving our objective.
Of course, we need good pensions. I sometimes hear the argument—not from my colleagues, but from various organisations—that a good basic pension, rather than concessions, is required. Which Labour Member is not in favour of a good basic pension? We have always called for that. However, that aim should not be used as an argument against concessions.
All pensioners in my own area, in London and in many other parts of the country receive a bus pass. Is that not right? Does it not assist pensioners a great deal? They certainly appreciate it. They would certainly have difficulty meeting the costs involved if they could not 651 travel for free on the buses at most times of the day. All Labour Members are again very pleased about the assistance that the Government have provided to pensioners with winter fuel bills. I remember arguing constantly from the Opposition Benches in previous Parliaments that such a payment should be introduced, and this Government provided that assistance as soon as they came to office. From next year, all pensioners will receive £100 towards their winter fuel bills. That demonstrates our concern for people of pensionable age.
It has also been argued that pensioner incomes have increased over the years. I accept that since I introduced my private Member's Bill 12 years ago, there has been a modest improvement, which is welcome. That is largely due to various occupational schemes taking effect as people have retired in the past few years. There should, however, be no misunderstanding: the latest figures demonstrate that 63 per cent. of pensioners are in the bottom half of income distribution. The figures for 1997-98 reveal that 42 per cent. of single pensioners were in the lowest fifth of household incomes. Clearly, many of our fellow citizens of pensionable age are experiencing poverty or near poverty.
I am often asked why I put so much emphasis on television. As they grow older, many pensioners find that their television set is extremely important, particularly in the winter months and if they live on their own. Television is an important link with the outside world, not simply a form of entertainment. Without television, there would undoubtedly be far more isolation and loneliness for the people to whom I have referred.
I could quote endlessly the letters that I have received from people around the country. Those who know of my concern write to me about my proposal to introduce a Bill on this matter. I shall refer to only one letter. A pensioner in Worcester wrote to me last month saying that she is a widow who receives, in all, £76.25 a week, and that for people such as herself, the television is the main source of news and entertainment and, in her case, the greatest companion. She concluded her letter by saying that a £5 fee would be a great help to her. How many more pensioners throughout the country take the same view?
There are anomalies in the current system. I receive letters from people who say that their pensioner next-door neighbour pays £5 while they must pay the full amount. We know the explanation for that. The Tory Government made it far more difficult for local authorities to make applications for concessionary television licences. There was a successful court case and the Conservative 652 Government were frightened that the concessionary door was being opened too wide, so they tightened the restrictions in May 1988. Those who lived in certain accommodation prior to May 1988 therefore receive the concession, and rightly so, but those who moved in afterwards pay the full amount. One can imagine the resentment that they feel. That does not, I suppose, make for good relations between neighbours. That is one of the most blatant anomalies.
Other countries have more generous television licence schemes for pensioners. In the Irish Republic, licences are free for those who are entitled to the state pension. France and one or two other countries have schemes that are more generous than ours.
What about the cost? Of course, I accept that a substantial cost would be involved. That could be borne by the Exchequer or by an increase in the licence fee. After all, everyone hopes to reach pensionable age. If the measure were introduced in stages, the cost would be lower. If, in the first instance, the concession were given only to the over-70s or if the licence fee were reduced, as I have suggested, by a half or a third, there would be less cost to the BBC or the Exchequer. If the £5 concessionary fee was increased, but only—I stress the word "only"—if the scheme that I am advocating was introduced, that would also reduce the overall cost.
I do not for one moment accept that we cannot afford to introduce a more generous scheme. We are a rich, advanced country, and pensioners are absolutely right to ask for this reform. They have been campaigning for it far longer than I have been. We should make a move in the right direction, so I decided to introduce this ten-minute Bill. I hope that the Government will give it serious consideration and that, over time, we shall make the progress on this issue that so many of us want.
Question put and agreed to.
Bill ordered to be brought in by Mr. David Winnick, Mr. Peter Bradley, Mr. Hilton Dawson, Mr. Lindsay Hoyle, Mr. Martin Salter, Mr. Ken Purchase, Mr. David Drew, Mr. Nigel Griffiths, Mrs. Maria Fyfe, Valerie Davey, Mrs. Ann Cryer and Mr. Jeremy Corbyn.