HC Deb 07 April 1977 vol 929 cc581-3W
Mr. Stainton

asked the Lord President of the Council how fees of £12,650 and £24,270 were justified in regard to the managing and public trustees, respectively, as reported in the Accounts 1975–76 of the Parliamentary Contributory Pension Fund.

Mr. Foot

The sum of £12,650 represents a proportion of the salaries etc. of the Fees Office staff who are directly concerned with the day-to-day administration of the pension fund. This amount has been credited to the House of Commons Vote—Class XIII,2—as Appropriations in Aid. The sum of £24,270 represents fees due to the custodian trustee in accordance with the scales laid down under the Public Trustee Act 1906.

Mr. Stainton

asked the Lord President of the Council what was the percentage return on investments received by the Parliamentary Contributory Pension Fund in 1975–76; what percentage of investments were at year end held in Government or similar securities and what in quoted equities; what was the year's capital gain

Category Number of awards Highest Lowest Medium (Average)
£ p £ p £ p
Members 138 2,620.03 1,039.39 1,777.63
Widows 64 1,416.14 611.55 884.71
Widowers
Children 12 292.84 152.87 236.71

to the Fund; and what proportion of this derived from each of these two classes of investments.

Mr. Foot

The percentage return on investments held by the Parliamentary Contributory Pension Fund in the year 1975–76 amounted to 6.90 per cent. At the end of the year, 41.15 per cent. of the total market value was represented by Government stock or similar securities and 58.85 per cent. in quoted equities.

The capital gain to the fund in the year amounted to £750,472; of this amount 9.47 per cent. was derived from Government etc. stock and 90.53 per cent. from equities.

Mr. Stainton

asked the Lord President of the Council when the Government Actuary is next due to report on the general financial position of the Parliamentary Contributory Pension Fund in terms of the 1972 Act.

Mr. Foot

Under the terms of subsection (2) of Section 5 of the Parliamentary and Other Pensions Act 1972, the Government Actuary is next due to report on the general financial position of the Parliamentary Contributory Pension Fund as at 1st April 1978. The report is expected to be available towards the end of 1978.

Mr. Stainton

asked the Lord President of the Council how many retired Members, widows, widowers and children, respectively, received the benefits reported in the accounts of the Parliamentary Contributory Pension Fund for 1975–76; what was the highest, lowest and medium benefit in each category; and if this information can be incorporated in future Accounts laid before the House.

Mr. Foot

Following is the information requested:

I will ask the managing trustees whether such information can be incorporated in future accounts.

Mr. Stainton

asked the Lord President of the Council why it has taken one year for the preparation and publication of the March 1976 report and accounts of the Parliamentary Contributory Pension Fund; and if he will take steps to improve efficiency in this matter.

Mr. Foot

It took three and a half months to collect the final instalments of contributions, four months to prepare the detailed accounts, three months to audit and certify them and two weeks for printing and presentation. The accounts were prepared and audited during a period of abnormal pressure of work in the Departments responsible. Every effort will be made to produce the accounts earlier in future.