HC Deb 01 December 1919 vol 122 cc65-6W
Sir W. RUTHERFORD

asked the Prime Minister whether his attention has been called to the condition of the superannuated railway staff, numbering about 6,700, of whom about 2,300 receive less than £1 a week; whether, seeing that the railway companies during Government administration have had £8,000,000 of the superannuated funds at 4 per cent., it is reasonable that the difference up to 5¼ per cent. should now be made available for these unfortunate men; whether he is aware that during the past five years about £115,000 has been deducted from their income for Income Tax, notwithstanding the fact that the recipients are not liable; whether he is aware that during the last seven years £910,000, with an annual addition of £136,000, is being saved to the State by the superannuated railway staff being specially excepted from the National Insurance Act; whether he is aware that under the Old Age Pensions Act during the last eleven years the State have been relieved to the extent of £464,000, with an annual addition of £64,000; and whether, under these circumstances, the Government are prepared to do anything to assist the superannuated railway staff, many of whom are suffering great hardships?

Sir E. GEDDES

I have been asked to answer this question. The benefits due to railway employés under the superannuation schemes of the various railway companies, and the arrangements made in connection with such funds, are not matters for which the Government is in any way responsible, and I have no information before me which enables me either to endorse or correct any of the figures mentioned in the question. The rate of interest allowed by the railway companies on the amounts in the superannuation funds does not affect the railway compensation account, and is entirely a matter for the consideration of the railway companies themselves. In this connection, it will not be overlooked that the funds in question have been free from risk of depreciation. Any annuitant who has been incorrectly assessed to Income Tax has the ordinary remedy and right of refund. In respect of benefits under the National Insurance Act; the interests of employés were fully protected in connection with any contracting-out schemes, and I am not aware that under the Old Age Pensions Act railway employés suffer any disability, or are treated in any way on a different footing from employés of other industries similarly placed. I regret that superannuated railway servants, in common with other sections of the population, are suffering from the decline in the purchasing power of money.