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Mr. Hayes: To ask the Prime Minister, pursuant to his oral statement of 11 November 1998, Official Report, column 361, if he will list the support given to (a) St. Dunstan's and (b) other such organisations. [60202]
The Prime Minister: We are very conscious of the tireless and highly professional way organisations such as St. Dunstan's assist their former colleagues and know how greatly their efforts are valued both by the present Service community and by ex-Servicemen and women.
There is, however, a considerable amount of Government assistance for those ex-service personnel who are disabled, including St. Dunstaners, including payment of tax-free War Pensions and enhanced occupational pensions through the Armed Forces Pensions Scheme (AFPS). Taken together, the AFPS and the War Pension Scheme provide a system of compensation for anyone disabled or widowed as a result of service in the Armed Forces. All War Pensioners are entitled to priority treatment through the National Health Service for treatment of their disability.
However, in keeping with the long standing practice of successive Governments, that public funds, raised through taxation, are not provided to assist charities' core activities, St. Dunstan's, in common with all registered charities, be they concerned with the Armed Forces or otherwise, is required to raise its own funding. The Charity Commissioners advise there are some 180,000 charities and it would be impossible for central Government to assist with fairness to any measurable degree. Again in common with all other charities, St. Dunstan's does receive support from the Government by way of certain tax reliefs.
Under Section 64 of the Health Services and Public Health Act 1968, there are powers to fund voluntary organisations whose activities support the Department of Health's policy objectives relating to health and personal and social services. However, the budget is finite and more applications are received than it is possible to meet. Earlier this year, an application from the Diana Gubbay Trust for the Blind, which is administered by St. Dunstan's, was reluctantly turned down as it was for more than the total amount of money available. A further application has been received by the Department of Health and will be given serious consideration.
Mr. Gordon Prentice:
To ask the Prime Minister (1) if he will make a statement on the constitutional and practical implications of the agreement between the Government and the Liberal Democrats; [60239]
(3) which members of the Liberal Democrat party will sit on Cabinet sub-committees as a result of his recent agreement with the leader of the Liberal Democrats; [60238]
(4) if the constitutional convention of collective Cabinet responsibility extends to Liberal Democrats serving on Cabinet sub-committees. [60240]
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The Prime Minister:
Members of the Liberal Democrat Party sit on only one Cabinet Committee: the Joint Consultative Committee (JCC). It is a matter for the Liberal Democrats as to which of their members attend. These arrangements will not change as a result of my recent joint statement with the leader of the Liberal Democrats.
Members of the Liberal Democrat Party who attend the Joint Consultative Committee are not bound by the constitutional convention of collective responsibility for decisions of the Government. However, they naturally receive the papers and minutes of the Committee, which, as is usual for Cabinet Committees, are classified documents.
No new constitutional implications arise as a result of my joint statement with the leader of the Liberal Democrats. Any practical implications will emerge from the review of the work of the JCC which is being undertaken by my right hon. Friend the Minister for the Cabinet Office and the right hon. Member for Berwick-upon-Tweed (Mr. Beith).
Mr. Flynn:
To ask the Secretary of State for Social Security what was the total cost to the National Insurance Fund of the 2 per cent. inducement to purchase personal pension schemes; and how much of it was provided in respect of schemes which were mis-sold. [59759]
Mr. Denham:
For tax years 1987-88 to 1992-93 inclusive, most people who contracted-out of the State Earnings Related Pension Scheme (SERPS) with an Appropriate Personal Pension (APP), qualified for an additional 2 per cent. incentive payment of minimum contributions. Up to the end of January 1998 (the last month for which figures are available) the total amount paid was £3,396.8 million.
Figures are not available for the amount paid to schemes that were mis-sold. People who were previously in their employer's contracted-out pension scheme for two years or more, and who were entitled to stay in that scheme but left voluntarily after 5 April 1988 while continuing to work for the same employer, would not have qualified for the incentive. The majority of people who were mis-sold an APP would have left their employer's scheme and would not therefore have qualified for the 2 per cent. incentive.
Mr. Flynn:
To ask the Secretary of State for Social Security what is his latest estimate of the cost to the National Insurance Fund for 1999-2000 and subsequent years, of the changes in (a) employers' and (b) employees' contributions announced by the Chancellor of the Exchequer in his Financial Statement on 17 March 1998, Official Report, columns 1097-111, and his pre-Budget statement on 3 November 1998, Official Report, columns 681-88. [59756]
Mr. Timms:
The proposed changes to employees' National Insurance contributions from April 1999 are broadly revenue neutral for employers as a whole. The
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changes to employees' contributions will reduce contribution revenue to the National Insurance Fund by £1.2 billion in 1999-2000 and by £1.4 billion a year in 2000-01 and 2001-02.
Mr. Flynn:
To ask the Secretary of State for Social Security what is the estimated cost to the National Insurance Fund of the reduction in employers' contributions in April 1997 for the years 1997-98 and 1998-99. [59818]
(2) if Liberal Democrat Members who sit on Cabinet sub-committees are in receipt of classified material not available to all hon. Members belonging to the Government party; [60236]
Source:
Government Actuary's Department.
£ million | |
---|---|
Year | Reduction in employers' contributions |
1997-98 | 590 |
1998-99 | 640 |
Source:
Government Actuary's Department
Mr. Rendel: To ask the Secretary of State for Social Security, pursuant to his answer of 4 November 1998, Official Report, column 603, in how many cases new claimants for incapacity benefit have claims remaining to be processed, or have been referred to income support, as a result of the problems with the implementation of NIRS2; and when those claimants will be given correct payments of incapacity benefit. [59297]
Mr. Timms [holding answer 11 November 1998]: 95 per cent. of Incapacity Benefit claims received since 19 June 1998 have been processed normally by obtaining the contributions information from other sources. The remainder are either awaiting processing as normal or have been referred to Income Support. It is estimated that approximately 8,000 claimants have been referred to Income Support because the contributions information could not be obtained from other sources. These claimants will have their Incapacity Benefit claims reviewed as soon as the NIRS2 system is available.
It is planned that all new claims to Incapacity Benefit should be processed through NIRS2 from 18 November.
Mr. Rendel:
To ask the Secretary of State for Social Security what contingency plans the Contributions Agency and Benefits Agency developed to accommodate the phased implementation of the introduction of NIRS2. [59285]
Mr. Timms
[holding answer 11 November 1998]: Due to the scale, complexity and sensitivity of the NIRS2 system it has been thoroughly tested prior to acceptance by the Contributions Agency (CA). During the first year of operation the system is being introduced through a series of pilots leading to national implementation.
Contingency plans were developed by both the CA and the Benefits Agency (BA) in order to accommodate the phased implementation and the attendant difficulties. The CA appointed a Continuity Planning Manager in January 1998 with the aim of ensuring that CA, BA, Inland Revenue and other major stakeholders involved
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with NIRS2 developed robust and comprehensive contingency plans. These plans have been systematically updated to ensure minimum impact on contributors and benefit claimants.
The BA's contingency plans are based upon long-standing emergency procedures. As part of those procedures, managers and staff were provided with comprehensive guidance to enable them to deal with claims that could be affected by problems with the introduction of NIRS2. The guidance was issued at the beginning of the year and has been revised as required.
Mr. Rendel:
To ask the Secretary of State for Social Security, pursuant to his answer of 4 November 1998, Official Report, column 603, how much of the NIRS2 system remains to be switched on. [59286]
Mr. Timms
[holding answer 11 November 1998]: On the 13 July 1998, the majority of the new system was switched on. With effect from 14 September 1998 further parts of the system were integrated with those already available.
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