Tory support for Labour motion on ASW pensions March 2004

 

Gordon Henderson, who is the Conservative Prospective Parliamentary Candidate for Sittingbourne & Sheppey, has welcomed news that Conservative members of parliament are being encouraged by the Shadow Cabinet to sign an early day motion put down by Labour MP, Frank Field, and supported by local MP, Derek Wyatt, calling on the Government to allow an amendment to the Pensions Bill, currently going through Parliament, that could lead to compensation being paid to ASW workers who lost their pensions when their pension fund was wound up.

 

Mr Henderson said:

 

‘This is grown up politics of the best kind. Too often members of parliament split along tribal lines and do not support an EDM because it happens to have been put forward by an MP from another party.

 

‘I believe this demonstrates the importance with which the Conservative Front Bench regards the issue of occupational pensions. They genuinely want to do something to see that people who lost all, or most of their pensions, through no fault of their own, are helped in some way.

 

‘Unfortunately, early day motions are little more than a mechanism for demonstrating the strength of feeling in Parliament and are never actually debated. For this reason, David Willetts and his team have put down an amendment to the Pensions Bill, currently going through Parliament, which will set up an Interim Pension Protection Fund.

 

‘Such a fund, which would raise money from “unclaimed assets” held in banks, could provide a means for securing compensation for people like the ASW workers.’

 

……ends……..

 

Contact details for Gordon Henderson

Day time telephone:      07866 719923

Evening telephone:        01795 669108

Fax:                              01795 666998

Email: gordonhenderson@smsinternet.co.uk

 

Note to editors: The text of the Conservative amendment follows as Page 2 of this press release.

-2-

 

 

Mr David Willetts

Mr Nigel Waterson

Mr George Osborne

Mr Peter Atkinson

 

 

To move the following Clause:—

    '(1)   The Interim Pension Protection Fund shall consist of—

(a) 

property and rights transferred to the Board from salary-related occupational pension schemes—

 

(i) 

to which section 56 of the Pensions Act 1995 (c. 26) applies;

 

(ii) 

which are being wound up prior to the coming into force of Part 2 of this Act; and

 

(iii) 

where prima facie there is a shortfall of assets to meet all obligations to current and future pensioners thereunder, and

 

(b) 

proceeds of the interim levy upon unclaimed assets.

    (2)   Regulations must make provision for imposing a levy ("the interim levy") to be applied to unclaimed assets.

    (3)   The regulations must prescribe—

(a) 

the identification of unclaimed assets for the purposes of this Act,

 

(b) 

the factors by reference to which the interim levy is to be assessed,

 

(c) 

the rate of the levy, and

 

(d) 

the time or times during the interim period when the levy becomes payable.

    (4)   The Board shall have the same powers of compensation in respect of schemes hereunder as those set out in section 124 and Schedule 7 of this Act.

    (5)   In no circumstances may any of the proceeds of the levies established pursuant to sections 136 and 137 of this Act be applied for the purposes of this section.'.

 

LETTER