Part of Orders of the Day — Consolidated Fund (Appropriation) Bill. – in the House of Commons am ar 2 Awst 1922.
I put the exact position to my hon. and gallant Friend:
We have been for some time past endeavouring to find a solution to this question and are engaged in preparing a scheme now which will, I hope, meet the difficulty on equitable lines.
I am sorry to have detained the House so long, but these matters are of vital importance. We have had a very important memorandum issued from Liverpool as to the actual position. There is talk in that memorandum about an undertaking being given in 1916:
No undertaking was given to the House in 1916 with regard to need pensions because this class of pension did not then exist. The discussion in the House, which is referred to by the Liverpool memorandum, arose in connection with pre-War dependence pensions and supplements to those pensions by the Statutory Committee, and Mr. McKenna rightly stated that as regards the pre-War dependence pensions the State did not wish to take advantage of private benefaction. The pre-War dependence pension was based on the actual amount which the son had contributed before his death or before enlistment to his parent. In regard to this class of pension the undertaking given has been faithfully observed by this Department. Need pensions are on a different footing from pre-War dependence pensions, but in regard to these also the instruction given by my Department make it quite clear that temporary and occasional grants from private funds are disregarded. On the other hand we are bound to take into account—because the need pension is based on the average existing circumstances of the claimant—regular income from whatever source it is derived. The basis of need pension as recommended by the Select Committee on Pensions to the House was the amount of support which the deceased son might reasonably be expected to give had he survived. This principle was approved by the House and it is on this principle that need pensions are at present being administered.