HC Deb 17 December 1974 vol 883 cc405-6W
Mr. Ralph Howell

asked the Lord President of the Council if he will make a statement explaining the reasons for the change-over from self-employed to employed status for Members of Parliament.

Mr. Edward Short

Under the Social Security Act 1973 the national insurance contribution liability of office-holders with emoluments assessable to tax under Schedule E is brought into line with their tax liability so that, from 6th April 1975, their contributions can be collected through PAYE. In September 1972, shortly before that legislation was introduced, consultations took place through the usual channels about the change, which also applies to Ministers of the Crown, members of the judiciary and many other people appointed or elected to offices with taxable emoluments. A consequence of the change is that Members who lose their seats will become eligible for unemployment benefits as recommended by the Top Salaries Review Body in its report published in 1971 (Cmnd. 4836).

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