§ Mr. Michael Lathamasked the Chancellor of the Exchequer whether his supplementary answer to the hon. Member for Somerset, North (Mr. Dean)—Official Report, 15th July, col. 1003, and the reply by the right hon. Member for Salford, West (Mr. Orme) to the hon. Member for Lewisham, West (Mr. Price)—Official Report, 18th July, cols. 362–3—both of which stated that improvements to occupational pension schemes after 31st July 1977 were freed from pay policy limitations remain Government policy; and why he is threatening to blacklist the Sun Alliance Insurance Group for making such an improvement.
§ Mr. Robert SheldonMy right hon. Friend the Minister for Social Security made it clear on 18th July—[Vol. 935, c.362–3]—that the relaxation in respect of occupational pensions related to improvement in pension provision. The device of suspending contributions to a scheme to provide additional increases in net earnings is not an improvement in pension provision, and accordingly any increase secured in this way is subject to guidelines. The last part of the hon. Member's Question, therefore, is based upon a misapprehension.