HL Deb 11 June 1975 vol 361 cc302-3

2.39 p.m.

The Earl of KINNOULL

My Lords, I beg leave to ask the Question which stands in my name on the Order Paper.

The Question was as follows:

To ask Her Majesty's Government when they intend to implement the undertaking, given last November by the Secretary of State for Social Services, to increase earnings disregard from £2 to £4 for all lone parents.

Lord WELLS-PESTELL

My Lords, as announced by my right honourable friend the Secretary of State for Social Services on 22nd May last, the implementation will take place in the week commencing 17th November next when there will be a general increase in all benefits.

The Earl of KINNOULL

My Lords, while thanking the Minister for that reply, and knowing that he is sympathetic to this issue, may I ask him whether he would agree that it is disappointing that it takes 12 months for a Minister's pledge to be implemented? Can he say why there is this long delay here? As the Finer Committee reported over two years ago, and as this implementation will not occur until virtually three years from the date of the Report, surely the Finer Committee's recommendation of £4 should be reconsidered in view of inflation?

Lord WELLS-PESTELL

My Lords, I am not sure what the inflation rate will be in November, but if we were comparing it with present inflation, the £4 at the present moment would compare roughly with the increase in inflation. Therefore, while I do not suppose for one moment that in November the £4 will have caught up with inflation, I do not think that it will be far behind. I recognise the noble Earl's point about the time factor, but there are 2¾ million people on supplementary pensions, well over 1 million of them have disregards, and I am sorry to say that this means that the case record of every person on supplementary pention has to be examined because the disregard is built into the amount they receive. The matter therefore could not be dealt with any more quickly. I have gone into this matter personally and am myself satisfied.

The Earl of KINNOULL

My Lords, I am grateful for the Minister's reply. Can he say what is the estimated cost to the Treasury of this matter? Secondly, does he agree that it is undoubtedly an incentive for single parents to have this allowance increased, which is psychologically good?

Lord WELLS-PESTELL

My Lords, I entirely agree with the noble Earl in the latter part of his question. With regard to the first part, I have endeavoured to find out the amount involved. I have not succeeded in doing so at this stage. Perhaps the noble Earl will allow me to write to him.