§ Mr. Stottasked the Secretary of State for Social Services whether she will introduce legislation to provide for a lump sum payment to assist pensioners to meet the increased cost of fuel this winter.
§ Mr. O'MalleyWe have considered this, but the cost of such a payment would be substantial and, in the Government's view, cannot be met in current economic circumstances. For instance, a payment of £10 a person would cost £90 million to £100 million tax free. In coming to this decision after full consideration the Government have had in mind that the purchasing power of the pension has been safeguarded by two increases in the course of 1975; that the discretionary heating additions payable with supplementary benefit to some 800,000 people were also substantially improved in November; and that lump-sum payments are in any event an arbitarary and unselective method of giving extra cash help.