HC Deb 05 May 1955 vol 540 cc170-1W
Dr. King

asked the Chancellor of the Exchequer to what extent under his regulations retired civil servants and local government workers will be allowed to draw the increase in old-age pensions without having their increases in Government pensions, under the Pensions (Increase) Acts, 1944, 1947 and 1952, reduced by similar amounts.

Vice-Admiral Hughes Hallett

asked the Chancellor of the Exchequer what effect the increase in National Insurance benefits payable from 26th April will have on payments made under the Pensions (Increase) Acts, 1920–52.

Mr. H. Brooke

National Insurance benefits, like any other means of a pensioner, count as income for the purpose of these Acts. Thus, under the Acts passed by successive Governments in 1944, 1947 and 1952, where a pensioner's total income is near to the income limits of these Acts the increase in National Insurance benefits may be wholly or partly offset by a reduction in the increase of pension. In a small number of cases the Pensions (Increase) Acts might operate so as to bring about a reduction in pensions increase slightly greater than the improvement in National Insurance benefits under the National Insurance Act, 1954. This would clearly be contrary to the intentions of Parliament, and my right hon. Friend is making arrangements forthwith to ensure that changes of income do not produce this anomalous result.