N.Z. PENSIONS BILL

Hawke's Bay Tribune, Volume XXV, Issue 163, 26 June 1935, Page 14

N.Z. PENSIONS BILL

Three Million a Year DEPARTMENT’S HEAVY TASK By Telegraph—Press Association. WELLINGTON, June 2b. Describing the work of the Pensions Department as colossal, and very ably done, the Minister of Pensions, Hon. J. G. Cobbe, to-day said that pensions paid to all New Zealanders entitled to them under 'yarious Parliamentary enactments, now amount to well over £3,000,000 a year. Since 1931 there had been •n increase of over 19,000 persons • to the pensions pay-roll. The most noticeable increases had been in respect of old-age pensions and family allowances. The .swelling of the pensions bill could b» attributed in a large measure, •aid the Minister, to the unfortunate eoonr'tnic conditions the Dominion had expa’ienced. Classifying pensioners in the following return, Mr Cobbe said that the figures he would quote were a significant answer to one or two critics who eeemingly must state that Government had not done enough ter pensioners. At March 31, 1931, war pensioners mtabered 21,025, costing £1,245,499. At MarA 31, 1935, the figures were 21,678, costing £1,264,110. Old-age fignics in the same sequence as war pensions were 28,995 (£1,158,788), 40,141 (£1,519,889); widows, 4566 <£325,996), 4505 (£296,565), Maori War ]ft) (£9102), 65 £3607); miners «f« (£58,441), 783 (£58,740), epidemic 188 (£6322), 34 (£1983); blind, 330 ♦615,796), 474 (£21,227); Boer War M (M 2620 53 (£2084); sundry pensions and annuities 114 (£10,624), 139 (£12,120); Ciril Service Act, 1908, 27 (£9251), 15 (£15211); family allowances, 4617 (£63,608), 12,321 (£152,818). In 1931 there wese 60,917 pensioners; today there are 80,208, an increase of 19,291. The Minister said it was patent from the figures set out that the expenditure on pensions had greatly expanded, and that it would be perceived that the outstanding increases were in respect of old-age and family allowance payments.

Expenditure for special services to pensioners is summarised as follows:— At March 31, 1931, medical treatment of pensioners cost £83,394, For the same period in 1935 the cost was £67,912. Medical fees (in same sequence) were £6937 and £6673; railway concessions £1876 and £1684; loading on life insurance policies £196 and £175.

The cost per head of the European population for pensions at March 31, 1931, was £2 0/3; to-day it is £2 5/-.

“There are many persons,” said Mr Cobbe, “who feel that there should bo an all-round increase of pensions in spite of the huge bill the country has had to pay for them, and pays to-day. Undoubtedly there are some classes of our pensions we would all like to see put up, but the question is: Could the country’s economic condition stand up sufficiently to the increases? I personally, and so would the Government, like to see invalid pensions granted. It is a matter I have long had under consideration. I am bringing my investigations before Cabinet again for review.”

Speaking of administration costs, Mr Cobbe said that at March 31, 1931, the cost was £70,109, with 2.24 percentage ef cost of administration to total payments made. At the same month this year the administration cast was £63,819, with 1.79 percentage of cost of administration to total payments made. “That result I consider to be a fine achievement in efficient management,” concluded Mr Cobbe.