Orders of the Day — Budget Proposals and Economic Situation

Part of the debate – in the House of Commons at 12:00 am on 5 April 1960.

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Photo of Mr Douglas Houghton Mr Douglas Houghton , Sowerby 12:00, 5 April 1960

I was just referring to the direct relief given last year and to the imposition a new tax this year. Those who got direct relief last year do not have to suffer this time. It is the smoker who has to pay this year.

I hope that the Chancellor is not getting weary of constant references to the position of old-age pensioners because, at Budget time, of all times, we feel bound to impress their case upon him. On these benches there is a growing conviction that the Government do not intend to do anything for old-age pensioners in the foreseeable future.

During the General Election campaign, the Conservative Party and the Government made firm promises to the old-age pensioners that they would have a share in rising prosperity, and the Prime Minister emphasised that those were not mere words. We have pressed the Government in recent weeks to declare themselves in this matter. What are their intentions? We are assured by the Minister of Pensions and National Insurance that the matter is under constant review. Constant review is all very well so long as it produces some results, but, otherwise, it is merely evasive action; it puts off the old-age pensioners and does not give their case serious consideration.

I come now to one aspect of Government expenditure which, I think, has not been fully appreciated in the House or in the country. The increases in Government expenditure which we are asked to provide for contain a fairly serious backlog of pay increases in the public and near-public services. For some years, those employed in administration and services have not kept abreast of the rising level of pay in industry and commerce. A battery of committees and commissions has been appointed by the Government recently to examine the growing gap between levels of pay in the public and near-public services and those for comparable work outside.

We had the Priestley Commission for the Civil Service. We had the Pilkington Commission for doctors and dentists. We have had the Guillebaud Committee for railwaymen, and now we have the Willink Commission for the police. Those are the four patron saints of fair comparisons.