§ Mr. Warrenasked the Secretary of State for Social Services if he will review the position whereby persons who are both employed and self-employed are required to pay national insurance contributions on both employments ; and whether these dual contributions entitle the citizens concerned to any extra benefits beyond that which they would receive if they were only paying contributions in one case or the other.
§ Mr. Orme:In an earnings-related scheme it is right that, where an earner has more than one employment, the contribution liability should take account of each—but subject to an upper limit on the amount payable in any year—and I have no plans to review the position. Class 1 (employed earners') contributions give a wider benefit cover than Class 2 (self-employed earners') contributions. The extra benefits for which a Class 1 contributor is covered are unemployment and industrial injury benefits, the earnings-related supplements to short-term benefits and, from next April, the earnings-related benefits of the new pensions scheme. Under this scheme it will be possible for an earner to derive additional benefit entitlement as a result of having paid Class 2 as well as Class 1 contributions.