§ Mr. Higginsasked the Secretary of State for Social Services what is the annual cost to public funds of requiring fresh applications each year from those applying for deferment of payment of Class I contributions of an employee or office holder; what is the number of officials employed on such work; and why previous applications cannot remain effective until the applicant notifies any change in employment or offices, thus saving public funds and manpower.
§ Mr. OrmeThe annual cost is £21,000 and four officials are employed on this work. The arrangements for deferment are available to contributors having more than one job or office who will pay regularly throughout the year in one employment, or a combination of employments, Class I contributions on earnings at or above the upper earnings limit. As this limit alters each year, it is necessary to confirm by way of an annual application that the contributor will satisfy the revised conditions. Not to do so could involve the Department in demanding, and accounting for, comparatively small amounts of arrears at the end of each year. In addition, the application form provides the contributor with the alternative choice of paying in advance the appropriate annual maximum amount of contributions; and this amount changes each year.