Mineworkers’ Pension Scheme

Debate between William Cash and Claire Perry

Thursday 14th February 2019 Commons Chamber

[Claire Perry]

I am afraid that there is a fundamental fallacy in some of the arguments that have been advanced. I suspect that the Labour Government made the decision not to review the surplus sharing for the same reason, which is that the money that comes to the Government is then being spent to support pensioners in many ways, providing them with, for instance, free prescriptions and bus passes. It is not correct to say that the money is just sitting there.

[Sir William Cash]

rose—

[Claire Perry]

No, I will not give way. Some important questions have been answered. I think that I was generous in allowing two speeches to be made before my response.

As the hon. Member for Barnsley East rightly said, the scheme continues to function and the numbers are falling. The only scheme that resembles this one is the one that was set up for rail workers. Again, the Government are the guarantor, which means that any liabilities incurred by the scheme will come back to them. For that reason, the trustees, who include ex-miners, have done an amazing investment job. Because of that guarantee—it is basically a Government-backed scheme—the returns are at least a third higher than they would otherwise have been, so it has generated a lot of value.