HL Deb 26 July 1954 vol 189 cc16-8

3.24 p.m.

LORD BURDEN rose to move to resolve, That in accordance with the Church of England Assembly (Powers) Act, 1919, this House do direct that the Clergy Pensions Measure, 1954, be presented to Her Majesty for the Royal Assent. The noble Lord said: My Lords, I beg to move the Resolution standing in my name which refers to the Clergy Pensions Measure, 1954, recently passed by the Church Assembly. During the past few years much thought and much hard work has been devoted to improving the financial position of the clergy. Thanks to the generosity of the laity and to the wise management of the Church Commissioners' funds, these efforts have met with considerable success. In 1948 many beneficed clergymen received only the then minimum stipend of £350. Now most incumbents are receiving not less than £550, plus a house free of rent, rates and dilapidations. But the scale of pensions has not so far been able to keep pace with these increases in stipends, and the object of this Measure is to do something to remedy this defect.

Under the existing pensions scheme, which came into force in 1927, all clergymen who were then under the age of fifty-five compulsorily contribute to the Clergy Pensions Fund a small percentage of their net incomes, in return for which they receive, on retirement at the age of seventy, provided they have completed forty years' service, a pension of £210 per annum. (Those ordained since 1948 are guaranteed a future pension of £235.) There are also provisions for proportionate payments in cases of earlier retirement on the grounds of ill-health. Separate schemes are provided for those who were too old to join the contributory scheme in 1927, and also for widows and dependants. At the same time, charitable funds have been built up by the Clergy Pensions Board, out of which necessitous cases are assisted. The present scheme is financed by the contributions of the clergy, by a payment of £50,000 per annum by the Church Assembly out of its annual budget, and by a payment of £200,000 per annum by the Church Commissioners out of their General Fund.

This Measure does two things. Fist, it provides a basic pension of £260 payable to all clergymen on retirement after full service; and in cases where the pensioner does not receive the National Insurance pension, an augmentation which will give him a total of £300 per annum. Again, proportionate amounts are payable in the case of early retirement through ill-health. Secondly, it provides that, with effect from next year, the scheme shall be non-contributory in every normal case. This is to be achieved by the transfer of the assets of the present Clergy Pensions Fund to the General Fund of the Church Commissioners. The income from these assets is about £320,000 per annum. To this the Commissioners will add the £200,000 which they are already contributing to the scheme, and a further sum of £330,000 a year of new money which they now find themselves in a position to provide It is estimated that the total of £850,000 so provided will be fully sufficient to cover all the Commissioners' liabilities under the Measure. Although the Com- missioners will be responsible for finance and the exercise of financial control, the Pensions Board will continue to administer the scheme and will remain entirely responsible for widows and dependants and for the charitable funds which will continue to be available for cases of hardship. The position in regard to widows and dependants really remains unaltered by this Measure, and the clergy will continue to contribute towards the cost of providing pensions for them.

The Measure deals with a complicated subject and is, I am afraid, itself rather complicated, because it sets out to achieve its object within the framework of the existing law. The details of it and the past history leading up to it are fully explained in the comments and explanations of the Legislative Committee which are attached to the Report of the Ecclesiastical Committee. I hope I have said enough to indicate that the Measure is one of great benefit to the clergy and one which your Lordships can wholeheartedly support. It has been favourably reported upon by the Ecclesiastical Committee and passed through the Church Assembly without a Division at any stage.

Moved to resolve, That in accordance with the Church of England Assembly (Powers) Act, 1919, this House do direct that the Clergy Pensions Measure, 1954, be presented to Her Majesty for the Royal Assent.—(Lord Burden.)

EARL JOWITT

My Lords, this is a matter of the utmost importance to the Church. They are to be congratulated in having so powerful an advocate as the noble Lord, Lord Burden, to speak on this Motion. I want to add only this. If we look at the pictures outside dealing with old proceedings of our House, we find the Bench of Bishops full. I know how very busy right reverend Prelates are at the present time. We are very proud to have them as Members of this House, and we owe a great deal to the fact that they are Members of this House. But I think it, is to be regretted that on this occasion, when this most important Measure is being discussed, not one single Member of the Bench of Bishops has been able to attend our deliberations.

On Question, Motion agreed to, and ordered accordingly.