Oral Answers to Questions

Matthew Offord Excerpts

Monday 13th January 2014 Commons Chamber

[Steve Webb]

My hon. Friend is quite right. Every change that we have made to the administration of automatic enrolment has been designed to reduce the burden on firms. For example, we have raised the wage threshold at which people are automatically enrolled, and we have delayed the staging for the smallest firms so that no one who employs fewer than 50 people will have to stage before April 2015.

[Dr Matthew Offord (Hendon) (Con)]

11. What transitional arrangements his Department will make in respect of the ending of basic state pension inheritance.

[The Minister of State, Department for Work and Pensions (Steve Webb)]

The ability to access or increase a state pension based on the national insurance record of a partner or former partner was introduced in the 1940s, but less than 5% of people reaching pension age after the single tier is introduced will be affected by the removal of this facility. We are putting in place transitional arrangements for certain women who paid the married woman’s stamp, but to go beyond that and make transitional arrangements for a broader group would severely damage the simplicity of the scheme.

[Dr Offord]

Can my hon. Friend confirm that protection will be put in place for those women who have paid the married woman’s stamp, to ensure that they receive a decent state pension?

[Steve Webb]

Yes, I can. Women who paid the married woman’s stamp at any point in the 35 years before the scheme comes in will get the pension that they expected—namely, the 60% for married women and the 100% widow’s pension.

--- Later in debate ---

[Mr Duncan Smith]

Yet again, what we have from the hon. Lady is a moan about a policy that helps people in difficult circumstances. I said earlier that not once has she come to the Dispatch Box and said that she was concerned about those her party left behind living in overcrowded accommodation. Not once has she mentioned the 1 million on the waiting list or apologised for the fact that building levels for social housing fell to their lowest point since the ’20s. Of course we will look after those affected by the policy, but she must make it clear that she supports one of these policies; otherwise, there will be a total cost to the Exchequer. The shambles is on the Opposition’s part.

[Dr Matthew Offord (Hendon) (Con)]

T7. Will the Minister confirm that under the new system, 80% of individuals will be entitled to a full single-tier pension in their own right by 2030?

[Steve Webb]

I am encouraged by the close interest my hon. Friend is taking in the single-tier pension, and I feel he is a kindred spirit. He is right that, as the 35-year qualifying rule includes not just earned contributions but credits for caring and so on, the vast majority of people will qualify for the full single-tier pension.