HC Deb 15 July 1993 vol 228 cc640-1W
Mr. Jenkin

To ask the Secretary of State for Social Security (1) if he has any plans to change the basis on which United Kingdom retirement pensions and widows' benefits are paid to people living abroad; and if he will make a statement.

Mr. Hendry

To ask the Secretary of State for Social Security what plans he has to change the basis on which United Kingdom retirement pensions and widows' benefits are paid to people living abroad; and if he will make a statement.

Mr. Hague

In general, annual upratings of those benefits are not paid outside the United Kingdom, but some 13,500 pensioners and widows living abroad have erroneously been awarded benefit in excess of their legal entitlement, most between 1988 and August 1991. All new awards since August 1991 have been made on the correct legal basis. But there are about 10,500 continuing overpayments; some are only a few pence a week and the average is about £10.80 a week. The total cost is estimated at £33 million between 1985–86 and 1992–93.

We shall not be taking steps to reduce those pensions that are being overpaid since the past overpayments are not recoverable under section 71 of the Social Security Administration Act 1992 and we are ensuring that United Kingdom pensioners who have received a certain level of benefit, albeit at too high a rate in existing law, should not now suffer a reduction for reasons which are no fault of their own. For that reason, we intend to introduce an amendment to the Social Security Benefit (Persons Abroad) Regulations which will provide a legal basis for maintaining these payments at their present rate.

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