HC Deb 15 March 1973 vol 852 cc398-400W
Mr. Bryant Godman Irvine

asked the Minister for the Civil Service according to what basic principles the new Option A and Option B tables are compiled by the Government Actuary; and in what respect these basic principles have altered since the Option A and Option B tables were drawn up in the 1935 rules.

Mr. Kenneth Baker

The new allocation tables, like the tables they are to supersede, have been calculated by the Government Actuary on the basis originally laid down in Section 2 of the Superannuation Act 1935, namely, that the value as at the date the allocation is made of the prospective pension to the beneficiary shall be actuarially equivalent to the value of the part of his pension that the officer has allocated. In making these calculations the Government Actuary allowsinter alia, for the chance that the beneficiary may die before the officer and that, in that event, the reduction in the officer's pension will continue.

Mr. Bryant Godman Irvine

asked the Minister for the Civil Service what, for the year ended 31st December 1972, were (a) the total amount allocated under Option A and Option B, respectively, under Section 2 of the Superannuation Act 1935; (b) the total amount paid to widows under Option A and Option B, respectively, including pensions paid to wives under Option B; and (c) the number of wives who predeceased their husbands whose allocations will continue until death.

Mr. Kenneth Baker

The information required is not readily available and could only be provided at disproportionate cost.

Mr. Bryant Godman Irvine

asked the Minister for the Civil Service if he will revise his accounting system in order to make clear for each year ending 31st December (a) total amounts deducted from pensions under Option A and Option B, respectively, under Section 2 of the Superannuation Act 1935 and the relative allocation of part pension rules; and (b) total amounts paid to widows under Option A and to wives and widows under Option B.

Mr. Kenneth Baker

No.

Mr. Bryant Godman Irvine

asked the Minister for the Civil Service if he will revise his accounting system in order to make clear for each year ending 31st December the number of pensioners making allocations whose wives predeceased them and who will continue to surrender their allocations until death.

Mr. Kenneth Baker

No. A Civil Service pensioner is not required to report the death of his wife; it would be unreasonable to seek to impose such a condition and impossible to enforce it.

Mr. Bryant Godman Irvine

asked the Minister for the Civil Service if he will consider, in the case of allocations in force, stopping the husband's allocation in the event of his wife's prior death; and what the estimated cost of this would be.

Mr. Kenneth Baker

It is made abundantly clear to the allocating officer that an allocation once effective may not be cancelled even in the event of divorce or his wife predeceasing him. The fact that allocation is irrevocable results in a higher level of payment where the need is greatest—that is, to the surviving beneficiary—and I do not consider that there should be any change in the present system. A realistic estimate of cost is not available, but any figure would be theoretical since if the personal pension surrendered by the husband was restored in the event of his wife's prior death, in line with the basis originally laid down in the Superannuation Act 1935 this would have to be reflected in the allocation tables.