§ Mr. Onslowasked the Secretary of State for Defence on what basis he calculated his reply to a Question by the hon. Member for Woking on 15th March, 1967, about the cost of bringing up to 1956 rates the retired pay and pensions of armed forces personnel who retired before 1956; and whether he is satisfied that this calculation was sufficiently broadly based.
§ Mr. ReynoldsI am obliged to the hon. Gentleman for the opportunity to156W express my regret that my Answer of 15th March over-estimated the cost. A more detailed calculation indicates that the samples previously used did not sufficiently represent the range of pensions in payment. The cost of bringing the retired pay and pensions of all Armed Forces personnel, excluding widows, who were retired or discharged before 1956 up to the current 1956 rates and awarding to those over 60 years the appropriate increases as if they had been discharged in 1956 is now computed as £3.3 million; the cost if this exercise were confined only to those over 60 years of age would be £1.88 million; and the increase in cost in each case due to the Pensions (Increase) Warrant 1965 is £.153 million. —[Vol. 743, c. 115.]