§ Mr. Warrenasked the Secretary of State for Social Services why retirement pensioners living overseas, paying United Kingdom tax, do not receive increases in their State retirement pension.
§ Mr. DeanNational insurance is a contributory scheme of social security designed primarily for people living in this country and benefit levels are related to social policies and economic conditions here. The cost of increasing pensions already in payment is met mainly from current contributions by insured persons and employers in this country. Increases are however paid abroad if the pensioner is living in a country with which we have been able to make an appropriate reciprocal agreement.