§ Mr. George Cunninghamasked the Secretary of State for Industry what payments have been made by the Government to the Post Office pension fund in each year since the creation of the Post Office Corporation to cover pension scheme benefits arising in respect of the years before that date; whether such payments have been made in cash or otherwise; what calculation has been made as to the adequacy of such payments to cover actual outgoings on benefits in respect of the years before the establishment of the corporation; and how any deficiencies are being met.
§ Mr. ButcherPayments of £11½ million in cash have been made each quarter to the trustees of the Post Office staff superannuation fund since 5 October 1969. The last payment will be made on 5 January 1983. The payments, being made against a formula fixed in 1969, leave a deficiency arising from the period before the creation of the Post Office Corporation which was determined at £1,250 million in 1976. The deficiency is funded by payments made under deed of covenant by British Telecom. There is a separate deficiency in respect of the years since the creation of the Post Office Corporation which is being funded by the two successor corporations.