§ Mr. Patrick Jenkinasked the Chancellor of the Exchequer what is his estimate of the cost in the first year of bringing all public service pensions up to parity with pensions awarded up to 1st April, 1968; what proportion of that amount would be borne by local authorities; and what is the variation in cost due to the Pension (Increase) Bill, 1969.
§ Mrs. HartThe cost of bringing all public service pensions up to parity with pensions awarded at 1st April, 1968, is not readily available. The first year cost of bringing them up to the current levels of those awarded in December, 1968, would be about £75 million, of which about £17 million would be borne by local authorities. The cost after the new Bill has been applied would be about £50 million, of which about £10 million would be borne by local authorities. Including increases for the Armed Forces corresponding to those provided under the Pensions (Increase) Acts, the total first year cost before the 1969 increases would be about £107 million; and after the 1969 increases about £75 million.
§ Mr. Patrick Jenkinasked the Chanchellor of the Exchequer what estimate he has made of the cost in the first year of reducing the age at which increases following the Pensions (Increase) Bill, 1969, can become payable from 60 to 55 years.
§ Mrs. HartIf the increases under the 1969 Pensions (Increase) Bill alone were payable from age 55, the first year cost for the public services would be about £0.5246W million. If increases under all the past Acts as well as those under the Bill were payable from age 55, the first year cost would be about £1 million. Including increases for the Armed Forces corresponding to those provided under the Pensions (Increase) Acts, the total first year cost of the 1969 increases alone would be about £2 million; and for all the increases about £6 million.
§ Mr. Patrick Jenkinasked the Chancellor of the Exchequer what estimate he has made of the cost of bringing the pensions granted in respect of public service of all public servants who retired before 1956 up to the current 1956 rates and awarding the appropriate increases as if they had retired in 1956; what estimate he has made of the cost of a similar concession confined to those over 60 years of age; and what in each case is the increase in cost due to the Pensions (Increase) Bill, 1969.
§ Mrs. HartThe cost of bringing all public service pensions up to parity with pensions awarded to the current 1956 levels would be about £5–£6 million in the first year. A similar concession for the Armed Forces would bring the total cost to about £9–£10 million. For the public services, to confine the concession to those over 60 years of age would make little difference to these figures at this point in time; for the Armed Forces the initial cost would be reduced by about £1 million. None of these figures is substantially changed by the Pensions (Increase) Bill, 1969.