BRITAIN’S PENSION SCHEME.

Timaru Herald, Volume XCVIII, 7 May 1925, Page 7

BRITAIN’S PENSION SCHEME.

Budget Proposals Outlined.

GENEROUS PROVISIONS

EXPLAINED.

By Cablf—Press Association—Copyright, and N.Z. CaUio Asaoiuatiua

LONDON, May. 5

The pensions scneinea outlined by Mr Churchill m tne Budget speech, dealt in detail with widows’, orphans' and old age contributory pensions. The Bui was published to-day, accompanied by an explanatory memoi'anduni, and the Government actuary's report. The new scheme contemplates old age pensions at 65, instead of 7(J, which pass on attainment of the age of 70 into pensions under the Old Age Pensions Act, freed from the restrictions and disqualifications at present applying thereto. Persons ceasing to be compulsorily insurable 011 leaving employment, or who have already ceased to be insured before the inception of the new scheme are given, the option to continue or resume insurance as voluntary contributors, at full rate contribution, ordinarily payable by the employer and employee jointly. Thus everyone who is insurably -employed lor a minimum period of two years is ouabled to take advantage of the scheme.

For health insurance and pensions certain classes of persons who are exempted from liability will be insured under the health insurance, will now be required to be insured. Special provision is made for widows and children of insureds, who died before the inception of the scheme.

The provisions to safeguard the scheme against abuse, include clausos whereby wives and widows of men marrying after 60 are only entitled to a pension when or if married four years, unless in the case of widows there are children.

Provision is made for the payment of children’s or widows’ pensions to third parties for the beneficiaries’ account, if the circumstances justify. A widow’s pension may be cancelled or suspended if the Court reports any conviction. A widow is disqualified if cohabiting with a man. The Government actuary estimates tlie capital value of the liability assumed by the Exchequer under the scheme: for compulsory insured £566,000,000; voluntary contributors £12,000,000; widowed mothers and children £42,000,000; extended rights to old age pensions at 70 years £126,000,000. The scheme provides that insureds must continuously have in Britain at least two years immediately prior to death or the date of attaining age of 65, find the last employment, excluding temporary _ employment, must have been in Britain.