Parliamentary Contributory Pension Fund

Debate between Lord Young of Cookham and Brian H. Donohoe

Monday 17th October 2011 Commons Chamber

[Sir George Young]

It would be quite wrong to say that, in principle, our pay should be determined by IPSA but to try, by the back door, to circumscribe that decision by voting down the money it had determined should be paid as our salaries. That would not be an independent determination of our salaries.

[Mr Brian H. Donohoe (Central Ayrshire) (Lab)]

rose—

[Sir George Young]

I will give way to the chairman of the trustees.

[Mr Donohoe]

May I ask why the motion does exactly what the right hon. Gentleman is saying?

[Sir George Young]

I am not sure that I follow the hon. Gentleman. The motion transfers responsibility for determining MPs’ pensions to IPSA and delivers a commitment made in the Parliamentary Standards Act and the CRAG Act, which I believe were passed without dissent in the previous Parliament.

[Mr Donohoe]

The second part of the motion does the exact opposite. The Leader of the House is trying to suggest that the independent IPSA should take on board what he proposes in the motion, which is that the contributions made by Members of Parliament should increase in line with those of people in the public sector.

[Sir George Young]

I am grateful to the hon. Gentleman for clarifying his point. If he looks at the legislation, he will see that he and the House are statutory consultees for IPSA: if it wishes to make any changes to the scheme, it is obliged to consult the trustees, the Senior Salaries Review Body and anyone who might be affected, which includes all of us in this Chamber. We therefore have some locus in the consultation. The second part of the motion expresses a view on behalf of the House, which we are entitled to do under the legislation. It is right that Members make it clear to their constituents that they expect to be treated no differently from others in the public sector in the determination of their pension contributions.