HC Deb 19 May 1980 vol 985 cc27-8W
Mr. Mudd

asked the Secretary of State for Energy if he intends to make any improvements in the benefits payable under the redundant mineworkers payments scheme.

Mr. John Moore

Yes. I have today laid an order seeking parliamentary approval to improvements in the lump sums paid to mineworkers made redundant under the age of 55. These sums have remained unchanged since 1973 and I now propose that men redundant between ages 20 and 34 should receive half a week's pay for each year of service, those between ages 35 and 44 a whole week's pay for each year of service and those between ages 45 and 54 one and a half week's pay for each year of service, subject to some graduation between the age groups. The cost of these improvements which are paid by the Government direct to the men concerned, will be about £9 million a year at 1980 survey prices. The cost will be met by an equivalent reduction in the National Coal Board's net borrowing from the Government and hence in its total figures for external finance.

In the Coal Industry Bill which received its First Reading on 18 April I shall be seeking approval for the improved transfer allowances, which are to be paid by the board to help men transferring from a closing pit to a long life pit, to be classed as relevant expenditure under the Coal Industry Act 1977 so that the Government can contribute half the cost.