NATIONAL HEALTH INSURANCE, CONTRIBUTORY PENSIONS AND WORKMEN'S COMPENSATION BILL. (Hansard, 30 July 1941)

§ LORD SNELL

My Lords, this small but useful and even important Bill needs very little explanation. Its purpose, as set out in the Explanatory and Financial Memorandum attached to the Bill, is quite clear. It is designed to secure certain changes in the health insurance, contributory pensions, and workmen's compensation legislation. The House must first of all regard this Bill as an interim measure. It is brought before your Lordships pending more comprehensive legislation at a later period. The Bill has been carefully considered, and had an uncontested passage in another place with the pronounced good will of all sections there. The Bill has three main objects: first, the increase by 3s. weekly of the latest of sick and disablement benefits under the National Health Insurance Acts; secondly, it extends the benefits of health and pensions insurance to non-manual workers remunerated at a yearly rate of £420, the present limit being £250; thirdly, it brings within the scope of the Workmen's Compensation Acts non-manual workers earning between £350, which is the present limit, and £420. The changes which it is suggested should be made by this Bill will not be operative until January next, and so far as they relate to health insurance 972 they are to be made possible by an increase in the rate of weekly contributions in respect of men and women alike by twopence per week, one penny of which will be contributed by the employer.

Perhaps a few words of general explanation may also be helpful. The Bill is, as I have suggested, a kind of stop-gap measure, but it does extend our system of social insurance. We were perhaps somewhat late in this field of public endeavour, but at the present time our social insurance system compares favourably with that of any other country. It is admittedly incomplete, and the present Bill represents a cautious advance. It is not, however, entirely negligible in its effects and benefits. The caution which is visible in it is in accordance with our legislative tradition. Our method is empirical in the matter of legislation. Before committing ourselves to comprehensive and final plans, it is our habit to try out in a limited field certain proposals and then to amend, cancel or extend them as experience may show to be necessary. We are thus able to avoid the results of major miscalculations and to build upon proved foundations. The present Bill, therefore, first of all amends what have been proved to be undoubted anomalies in the working of this kind of legislation, and, secondly, it extends the scope of social insurance.

It is a small Bill, and yet it affects the welfare of millions of our fellow-citizens. By increasing benefit rates it will affect between sixteen and seventeen million people, and half a million people will benefit by the raising of the level of remuneration for the compulsory health and pensions insurance of non-manual workers up to £420. Then it brings social security against the risks of sickness and industrial accidents and against old age to hundreds of thousands of workmen, besides provision for their widows. Finally, it indicates that Parliament is not unmindful, in the midst of perils and preoccupations, of the welfare of the workers of this country, who deserve so much of our attention at the present time. On grounds, therefore, of expediency and of national welfare, I commend this useful, if restricted, measure to the favourable attention of your Lordships, and I beg to move that it be now read a second time.