New Clause 34 — Financial assistance scheme for members of certain pension schemes

Part of Orders of the Day — Pensions Bill — [2nd Allotted Day] – in the House of Commons at 1:44 pm on 19 May 2004.

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Photo of Malcolm Wicks Malcolm Wicks Minister for pensions, Department for Work and Pensions 1:44, 19 May 2004

No, I shall make some progress. I hope that my right hon. Friend will not think me discourteous, but he has already intervened once.

I would like briefly to take the House through how we intend to turn our commitment into reality. It involves four phases of work: first, we shall engage with our partners and industry experts, including the trade unions; secondly, we shall design the detail of the policy and the operational framework; thirdly, we shall prepare to implement the scheme; and fourthly, we shall go live and make payments.

The House will want to know about the key milestones in that process. By the end of May, we will have established our working relationships with key partners at all levels. This week, the Secretary of State will write to stakeholders to open a discussion, so that we can address the choices that we must make in partnership. As part of that engagement, the Secretary of State and I plan to meet key stakeholders as soon as possible.

By the end of June, as already promised, we shall lay a report on the results of our investigations to establish the extent of the problem and the numbers affected. Over the summer, we shall work closely with industry experts in a design phase and in exploring the options for operational delivery, on which a number of alternatives are available. Some alternatives involve running on schemes and topping them up, while others involve winding up schemes and providing assistance. Options for delivery might include that undertaken by the DWP, an industry-led body or a stand-alone trust.

By the end of November, we can begin to consult on the details of the regulations. As we expect to use affirmative regulations, hon. Members will have the opportunity to consider our proposals in depth in Committee, and debate will also occur in the other place. By the spring of 2005, we intend to have the scheme in existence with a view to being able to make the first payments as quickly as possible. The programme is demanding, and successful delivery will be possible only through a close working partnership, the establishment of which is our immediate priority.