HC Deb 21 May 1957 vol 570 c67W
Mr. McKibbin

asked the Chancellor of the Exchequer, in view of the fact that the bounty for holders of the Victoria Cross was fixed at £10 in 1856, what sum he estimates would now be required to provide a bounty of the same purchasing value as the existing bounty had in 1856.

The Prime Minister:

I am replying to this Question since it deals with awards.

The annuity of £10 was first authorised in 1878. The reply, related to that year, is about £40. This figure is based on unofficial estimates for 1856–1914, the cost-of-living index 1914–38, and the consumer price index and retail price index since 1938.

There is now provision whereby the normal annuity of £10 in any case of need may be increased to £75. In addition, pensions for other ranks are increased by 6d. a day. The annuity and additional pension are not liable to Income Tax. The annuity if paid with a pension, and the 6d. a day addition to pension, are eligible for increase, with the pension, under the pension increase schemes. These provisions introduced since 1878 tend to make the comparison in the Question inappropriate.

Forward to