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1.43 pm

Mr. Elfyn Llwyd (Meirionnydd Nant Conwy): I congratulate the hon. Member for Merthyr Tydfil and Rhymney (Mr. Rowlands) on obtaining time for the debate, and thank him for his generosity in allowing me to speak for a couple of minutes.

The hon. Gentleman spoke at length about anomalies and interpretation. I have read the leading judgment on the subject--the Crown and Secretary of State for the Home Department ex parte Kirklees borough council. No doubt, the Minister is acquainted with it. Mr. Justice Taylor refers to interpretation throughout the judgment. As a lawyer, I believe that the law needs to be clarified, not only in the specific context of the people of Merthyr Tydfil--of whom the hon. Gentleman spoke so forcefully--but in a wider context. I am sure that many people in Wales, England and Scotland are in similar circumstances, and I, too, urge the Minister to reconsider.

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Let me make two specific points. First, does the Minister think it fair that elderly people who are cared for at home by their relations do not qualify for the concessionary scheme, while those who are in registered homes do? Ultimately, the concession is allowed to the elderly person rather than anyone else. It is clear from the 1991 regulations--which I have read--that the matter could be resolved easily by means of an amendment of the kind suggested by the hon. Member for Merthyr Tydfil and Rhymney.

Secondly, the residents of Ganllwyd and Abergeirw, near Dolgellau, do not receive terrestrial television transmissions; they rely on satellite television. However, they must pay the licence fee. Is it right for people to pay for a service that they do not receive? Good sense and common law suggest that it is not. Is that being investigated? There are dozens, if not hundreds, of similar localities throughout Wales, because it is a mountainous country.

1.46 pm

The Minister of State, Department of National Heritage (Mr. Iain Sproat): I congratulate the hon. Member for Merthyr Tydfil and Rhymney (Mr. Rowlands) on securing the debate, and thank him for the courteous and persuasive way in which he put his case. I take what he has said very seriously, and, while I cede no principle or practice at this stage, I should be happy to speak to him about the matter. I should also be happy to speak to the hon. Member for Meirionnydd Nant Conwy (Mr. Llwyd). They may wish to talk to me, either together or separately.My hon. Friend the Member for Worcester (Mr. Luff) has an even tighter case: I believe that only one flat in 50 is owner-occupied in Severn house, but that prevents all the other people in the block from benefiting from the concessionary scheme.

I know that the hon. Member for Merthyr Tydfil and Rhymney has devoted considerable time to this subject over the years. He has campaigned long and hard in respect of the application for St Tydfil's court to be granted concessionary licence status, and this afternoon he has demonstrated that he is familiar with the general position as set out in the White Paper. He will also know that, since 1 April 1991, the BBC has been responsible for the administration of the television licensing system. That role is primarily exercised by way of its agents in Bristol, TV Licensing, and includes determining whether individual applications for concessionary licences can be granted. It would not be appropriate for the Government to intervene in individual cases, other than to say, "Come and explain why you think that the arrangements should be changed."

Nor is there any option for the BBC to exercise discretion in how the relevant regulations are interpreted. That would erode the framework of general application provided by those regulations and would lead to numerous disputes. Although the circumstances of St Tydfil's court remain a matter on which the BBC must reach judgment, I am sorry that, so far, it seems to the people who have considered the scheme that it fails to meet the qualifying criteria set out in the regulations--the point on which the hon. Gentleman has sought to persuade me otherwise.

The House is familiar with problems raised by constituents who, understandably, do not always understand the reasons for the concessionary scheme

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existing in its present form. The scheme is of particular concern, because it directly affects some of the more elderly members of society and disabled people. It is right therefore that the scheme should be kept under close scrutiny. The Government have done that and, although there has been no significant change since the last full, detailed review in 1988, it would be wrong to assume that we are not aware of the hard cases and anomalous positions that can and do arise.

That is an inevitable consequence with any position in which lines must be drawn, but it does not mean that the scheme as a whole is unfair, nor that it necessarily needs to be changed. It has been kept under close review and, while we accept that it does not always yield results that make everybody content, we find little advantage at the moment in conducting a further review of the scheme.

It may assist hon. Members if I give a little background about the introduction and development of the concessionary scheme. Its modern history may be familiar to some, but, oddly, the scheme originated by default more than 40 years ago as individual postmasters took it upon themselves to waive the requirement for certain old people living in old people's homes to pay a radio or television licence fee.

Later, Post Office headquarters stopped granting further concessions, thus creating an arbitrary distinction between individual cases. In 1966, the Postmaster General considered ending the concession altogether, but decided that that would be unjust, and offered the concession to all old people's homes. Importantly, at that stage, sheltered housing schemes for pensioners, with some communal facility that rendered them comparable to old people's homes, were included in the scheme.

In 1968, the plans for the concessionary scheme were put on to a formal footing and the first set of regulations laid. Incidentally, in that year, a separate colour television licence was introduced, making the possibility of a concessionary fee that much more attractive. The opportunity was taken to clarify the qualifying conditions, and further consideration was given to the precise definition of sheltered housing, which is crucial to any discussion of the scheme.

In subsequent years, external pressure for further reviews was exerted. All sorts of possibilities were given serious consideration--extending the scheme, introducing some discretion or abolishing it--but in no case did the Government in power at the time consider that the proposed solution would have enabled the concessionary television licence scheme to be operated more fairly, while remaining true to its original intentions. The proposals would have been too complex to administer, too expensive or simply unacceptable.

Nevertheless, as all hon. Members know, there is pressure even now for pensioners to be given a general concession against the cost of the full television licence, but often it is not realised that concessionary £5 licences for all the 7.75 million pensioner households would cost more than £500 million in lost licence fee revenue.

Mr. Rowlands: I never made that case.

Mr. Sproat: I understand, but it is important for hon. Members and the outside world to realise the context in which this matter is set. If time allows, I shall return to the application of my comments to St. Tydfil's court.

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Of course, the Government recognise television's important role for people of pensionable age, but we do not believe that a general concession could be justified. That would necessitate an unacceptably large increase in the fee for everyone else, possibly raising it to almost £130 each year, and many of the people who would have to pay such a huge increase in their licence fee might be worse off financially than many pensioners. If the fee were not adjusted, the BBC believes that its capacity to fulfil its public service broadcasting remit would be severely threatened.

In the past 20 years, the only significant changes have been connected with the qualifying criteria for sheltered housing, which the hon. Gentleman mentioned. Those changes sought to retain an equitable approach, although remaining true to the scheme's original intentions. The Government believe that that is still the correct view to take.

In 1982, physically disabled and mentally disordered people, living in comparable accommodation to that already covered by the scheme, were brought within the scheme's scope. That was on the ground that it would be an unacceptable anomaly to treat them differently from pensioners occupying similar accommodation, and there has been no dispute in that respect.

Towards the end of 1984, Kirklees metropolitan borough council applied for concessionary licences for some of its residents in accommodation served by housing stewards, whose duties included rent collection, care of the housing stock and provision of advice and assistance to residents. The Home Office refused to grant the claim on the ground that that was not a valid interpretation of the "common facility" required by the regulations, but in 1987 the council won the case at judicial review. That had far-reaching and unacceptable implications.

In effect, that judgment opened the way for local authorities to bring many eligible categories of people living in ordinary council housing into the concessionary scheme. They would simply need to claim that these were "groups" of "specially provided" housing. The housing would not even have had to be sheltered, which would have been contrary to the concessionary scheme's intention and extremely costly.


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