§ 33. Mr. Farrasked the Secretary of State for Social Services what progress has been made in the discussions with the Canadian Government on the terms of a convention concerning indexation of pensions paid to Britons retiring to Canada.
§ Dr. BoysonThe Canadian Department of Health and Welfare has prepared the draft of a reciprocal agreement on social security providing among other things for pension increases for United Kingdom pensioners in Canada. The text of the agreement is, however, the subject of further negotiation, to be conducted by correspondence, between officials of the Department of Health and Social Security and their Canadian counterparts. It is likely to be some time before a final text is agreed, but in any event the cost of paying pension increases in Canada, in the first year alone, is estimated at £2.5 million rising progressively to £32 million. These figures are based at November 1983 rates. This makes the implementation of such an agreement in the immediate future unlikely.