HC Deb 29 April 1958 vol 587 cc19-20W
69. Dame Irene Ward

asked the Chancellor of the Exchequer if he will set out the percentage increase in pensions of recognisable groups of persons since 1939, including retired professional personnel under the Pensions Increases Act, Royal Warrant pensioners, old-age pensioners, National Assistance non-contributory pensioners, etc., and relate these to increases over the same periods in the cost of living.

Mr. Amory

Increases for occupational pension schemes of the public services are governed by the Pensions (Increase) Acts. The Acts of 1944, 1947, 1952 and 1956 have been uniform in their application to civil servants, teachers, local government employes, police and firemen, etc. The Acts do not apply to pensioners of the Armed Forces, but similar increases have been provided by Prerogative Instrument.

In addition, the Pensions (Increase) Act, 1954, and the corresponding Prerogative Instrument provided increases only for the Civil Service and Armed Forces to implement the policy set out in the White Paper "The Retired Pay and Pensions of Former Forces' Officers and Civil Servants affected by Stabilisation and Consolidation in 1932–35" (Cmd. 9092).

For pensions in these classes awarded in 1939 the total pensions increase would be as set out in the following table:

Pension awarded in 1939 Total Pensions Increase Percentage Increase
Civil Service and Armed Forces Others Civil Service and Armed Forces Others
£ p.a. £ p.a. £ p.a. per cent. per cent.
50 … 48/6/8 48/6/8 97 97
100 … 76 76 76 76
200 … 106 106 53 53
300 … 116 116 39 39
400 … 126 126 32 32
500 … 136 136 27 27
600 … 146 146 24 24
700 … 166 156 24 22
800 … 186 166 23 21
900 … 206 176 23 20
1,000 … 226 186 23 19

For benefits under the following State schemes the rates of pension applicable in 1939 and currently, with the percentage increase, are as follow:

— 1939 1958 Percentage increase
1. War Pensions— s. d. s. d.
Disablement pension at 100 per cent. rates (other ranks):
1914–18 40 0 85 0 112
1939 war 32 6 162
Widows standard rate pensions:
1914–18 war 26 8 66 0 148
1939 war 22 6 193
2. Standard rate of retirement pension compared with contributory old age pension:
Single person 10 0 50 0 400
Married couple 20 0 80 0 300
3. Maximum rate Non-contributory old age pension:
Single person 10 0 28 4 183
Married couple 20 0 46 8 133

On the basis of the Cost-of-Living Index for the period before June, 1947, and the Retail Prices Index since that date, the increase in the cost of living since 1939 has been about 114 per cent.