HC Deb 23 July 1973 vol 860 c282W
Mr. Donald Stewart

asked the Chancellor of the Exchequer if he will list the provisions which relate to tax relief on employees' contributions to the State Reserve Scheme for pensions; and if he will make a statement.

Mr. Nott

Section 22 (2) of the Finance Act 1970 as amended by Section 74 (3) of the Finance Act 1972 allows tax relief in respect of ordinary annual contributions paid by employees under any statutory scheme established under a public general Act. Under Section 26 (1) of the Finance Act 1970 a "statutory scheme" means a retirement benefits scheme, and under Section 25 (1) a "retirement benefits scheme" does not include any national scheme—which would include the Reserve Pension Scheme proposed under the Social Security Bill. The result is that tax relief will not be allowable on employee contributions to the Reserve Pension Scheme. The whole question of the allowance of tax relief on such contributions was fully discussed at the Committee and Report stages of the Social Security Bill and I have nothing to add to what was then said.